Offshore Decommissioning Market Scope
Offshore Decommissioning is applied when oil and gas fields end production, and those facilities are dismantled. The decommissioning offshore perform cleaning and removing all pipeline risers, all bottom-founded components, disposing of the platform in a scrap yard or fabrication yard. The global offshore decommissioning is further expected to grow due to the growing incidences of safety and the sanity of the offshore environment. Also, many key players are also developing disruptive and innovative technologies advancement in platforms for the market. The global market presents a decent growth opportunity such as improvement in regulatory frameworks and new guidelines, along with the rising inventory of structures nearing the end of life and operating beyond the lifespan. Growing government support towards the offshore decomposing also help to trigger market growth, For example, on March 2018 HM Treasury had entered into 86 decommissioning relief deeds and had made payments to one operator because it was meeting a partner operator’s share of decommissioning costs. HM Treasury paid this operator £45 million during 2017-18 and expects to pay it a further £299 million in future years.
Attributes | Details |
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Study Period | 2018-2030 |
Base Year | 2023 |
High Growth Market | Europe |
Largest Market | Europe |
Unit | Value (USD Million) |
Key Companies Profiled | Amec Foster Wheeler (United Kingdom), TechnipFMC plc (United Kingdom), Ramboll (Denmark), ABB (Switzerland), John Wood Group (United Kingdom), Tetra Technologies (United States), Heerema Marine Contractors (the Netherlands), Petrofac (Jersey), Claxton Engineering Services (United Kingdom), Aker Solutions (Norway), Af Gruppen Asa (Norway) and Dnv Gl As (Norway) |
CAGR | 20.3% |
The global offshore decommissioning market is highly competitive and consists of some key players. In terms of market share, few of the key players presently dominate the global market. These market players are leveraging on strategic collaborative creativities to intensification their market share and escalation their profitability.The Manufacturers having a strong hold in the market are Technipfmc, Plc, John Wood Group, Plc, Subsea 7 S.A.. Research Analyst at AMA estimates that United States Manufacturers will contribute to the maximum growth of Global Offshore Decommissioning market throughout the predicted period.
Amec Foster Wheeler (United Kingdom), TechnipFMC plc (United Kingdom), Ramboll (Denmark), ABB (Switzerland), John Wood Group (United Kingdom), Tetra Technologies (United States), Heerema Marine Contractors (the Netherlands), Petrofac (Jersey), Claxton Engineering Services (United Kingdom), Aker Solutions (Norway), Af Gruppen Asa (Norway) and Dnv Gl As (Norway) are some of the key players that are part of study coverage. Additionally, the Manufacturers which are also part of the research are Allseas (Switzerland), Deepocean Group Holding (the Netherlands), Oceaneering International (United States), Subsea 7 S.A. (Luxembourg), Able U.K., Ltd. (United Kingdom), Allseas Group S.A. (United Kingdom) and Deepocean Group Holding B.V. (the Netherlands).
About Approach
The research aims to propose a patent-based approach in searching for potential technology partners as a supporting tool for enabling open innovation. The study also proposes a systematic searching process of technology partners as a preliminary step to select the emerging and key players that are involved in implementing market estimations. While patent analysis is employed to overcome the aforementioned data- and process-related limitations, as expenses occurred in that technology allows us to estimate the market size by evolving segments as target market from the total available market.
Segmentation Overview
The study have segmented the market of Global Offshore Decommissioning market by Type and Region with country level break-up. On the basis of Type, Well Plugging and Abandonment are dominating the market in the year 2023 where as Platform Preparation, Project Management, Engineering, And Planning stood as second largest market share.
On the basis of geography, the market of Offshore Decommissioning has been segmented into South America (Brazil, Argentina, Rest of South America), Asia Pacific (China, Japan, India, South Korea, Taiwan, Australia, Rest of Asia-Pacific), Europe (Germany, France, Italy, United Kingdom, Netherlands, Rest of Europe), MEA (Middle East, Africa), North America (United States, Canada, Mexico). Europe region held largest market share in the year 2023. South America on the other hand stood as second largest market due to the presence of key companies into the region and high technological advancement.
Market Leaders and their expansionary development strategies
In March 2022, Acteon’s drilling and decommissioning segment acquired Oceaneering decommissioning personnel and assets from Acteon’s. From the anticipated closure date of 30 March 2022, certain Oceaneering staff based in Norway transfer to Claxton, along with decommissioning assets including well and pile abrasive cutting and recovery systems and associated tooling. Conductor drilling, pinning and cutting systems, diamond wire saws, dredges and various ancillary equipment items are also included in the deal.
In September 2022, AF Gruppen was awarded a contract from Total energies EP Nederland B.V for the removal and recycling of platforms in the Dutch sector of the North Sea. The contract includes engineering, preparatory works, removal, transportation, recycling and disposal (EPRD) of 10 platforms with a combined weight of 17,000 tonnes. The platforms transported to AF environmental base vat for recycling.
Influencing Trend:
Increase Number of Wells Decommissioning For Plugging and Abandonment
Market Growth Drivers:
Growing Number of Offshore Rigs Are Reaching End of Their Production Cycle, Rising Global Need for Technical Decommissioning Specialists and Rapid Expansion of Oil and Gas Industry
Challenges:
Removal of Heavy Structures from the Harshest Offshore Environments
Restraints:
High Operational and Maintenance Cost Of Decommissioning A Platform and High Adoption of Wind and Water Power Generation, As an Alternatives to Decommissioning Any Platform
Opportunities:
High Growth Decommissioning Offshore Wind Farms, Strong Growth Potential in the UK Offshore Industry, Due To Oil Price Fall and Increasing Offshore Activities in the North Sea, Due To Their Existing Infrastructure Are At End of Its Productive Life
Key Target Audience
Venture Capitalists and Private Equity Firms, New Entrants/Investors, Analysts and Strategic Business Planners, Offshore Decommissioning providers, Raw Material Suppliers, Government Regulatory and Research Organizations and End-Use Industries