Offshore Decommissioning Market by Service, Depth, Structure, Removal and Region - Global Forecast to 2027 - ResearchAndMarkets.com
DUBLIN--(BUSINESS WIRE)--Jul 22, 2021--
The “Global Offshore Decommissioning Market by Service (Well Plugging & Abandonment, Platform Removal, Conductor Removal) Depth (Shallow, Deepwater) Structure (Topsides, Substructure) Removal (Leave in Place, Partial, Complete), and Region - Forecast to 2027” report has been added to ResearchAndMarkets.com’s offering.
The global offshore decommissioning market is projected to reach USD 8 billion by 2027 from an estimated USD 5.2 billion in 2021, at a CAGR of 7.4% during the forecast period.
The factors driving the market include maturing oil & gas fields, low crude oil prices, and aging offshore infrastructure. Offshore decommissioning refers to ending oil & gas operations on offshore platforms and restoring marine life and seafloor to its pre-production conditions.
Well plugging & abandonment segment dominates the global market
The well plugging & abandonment segment is expected to be the largest market, by service type during the forecast period. This growth is evident owing to key activity to be performed regardless of decommissioning type; it ensures that oil wells do not have any type of leakage after the cessation of production. According to norms and regulations, wells that are matured and no longer productive need to be properly plugged & abandoned. It is essential to plug the wells before platform removal to prevent any kind of leakages, which can pollute the seafloor and damage the surrounding marine environment.
Complete removal dominate the global offshore decommissioning market
The complete removal segment of offshore decommissioning is estimated to be the largest market during the forecast period. Complete removal involves restoring the oilfield site to its natural or pre-commissioning state. It is an expensive decommissioning option for both operating companies and taxpayers. In the North Sea, a complete removal is currently required by the Convention for the Protection of the Marine Environment of the North-East Atlantic, or the ‘OSPAR’ agreement.
Europe to lead the global offshore decommissioning market in terms of growth rate
Europe is the largest market, by value, for offshore decommissioning, followed by North America. Owing to mature oil and gas fields, particularly in the UK and the North Sea. The impending cessation of production in major oil and gas fields would ensure that the European market would grow at the highest pace. Europe is estimated to witness the highest offshore decommissioning spending, with its well-developed regulatory framework compared to other regions.
- Growing Number of Abandoned Wells and Presence of Large Mature Offshore Oilfields Worldwide
- Fluctuations in Oil Prices Boost Offshore Decommissioning Activities
- High Cost Associated with Offshore Decommissioning Processes
- Lack of Skilled Workers in Developing Countries
- Environmental Concerns Associated with Offshore Decommissioning
- Aging Offshore Infrastructures, Especially in North Sea and Gulf of Mexico
- Deepwater Discovery and Development in Offshore Areas
- Growing Adoption of Technologies to Increase Production from Mature Fields
- Impact of COVID-19 on Offshore Decommissioning Spending
- Able UK
- Acteon Group
- AF Gruppen
- Aker Solutions
- Allseas Group
- Baker Hughes Company
- Deepocean Group
- Heerema Marine Contractors
- John Wood Group plc
- Mactech Offshore
- Maersk Decom
- Oceaneering International
- Royal Boskalis Westminster N.V.
- Subsea 7
For more information about this report visit https://www.researchandmarkets.com/r/dw13m6
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INDUSTRY KEYWORD: OIL/GAS ENERGY
SOURCE: Research and Markets
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PUB: 07/22/2021 08:08 AM/DISC: 07/22/2021 08:08 AM