Deepwater: $25B annually by 2012

Thursday, October 11, 2007
A new study published today by analysts Douglas-Westwood The World Deepwater Market Report 2008-2012 forecasts that nearly $25 billion will be spent annually in deepwater capital expenditure by 2012.

Speaking at the Deep Offshore Technology International Conference 2007, Stavanger, today, John Westwood, Douglas-Westwood MD commented that “the deepwater oil & gas industry is set for continued growth through to 2012, with over 30% growth forecast for the 2008-2012 period when compared with the previous five years.

Deepwater oil production currently accounts for almost 15% of total offshore production, but over the next few years its share relative to shallow water output will grow – accounting for around 20% of offshore production by 2011.

“Africa is expected to be the leading deepwater development area over the 2008-2012 period, accounting for nearly 40% of the global deepwater spend. Since the first deepwater ‘elephants’ Africa has emerged as perhaps the most significant deepwater region in the world, with some stunning successes, such as Girassol, Xikomba and Kizomba.

“The Latin America region is dominated by Brazil in terms of deepwater activity. National operator Petrobras has established itself as a pioneer in the use of innovative technology to achieve production from tremendous water depths. Overall, the region is expected to account for nearly 20% of world deepwater development spend over the 2008-2012 period.

“The North America region is expected to account for over 25% of deepwater development Capex over the 2008-2012 period. With a few notable exceptions, deepwater fields in the US Gulf of Mexico tend to be smaller than those in other deepwater ‘hotspots’ such as Brazil or West Africa. The region’s extensive offshore infrastructure and the relative proximity of supply and service centres have a significant influence on E&P activity, turning otherwise marginal prospects into viable commercial propositions. These factors also mean that project lead times tend to be shorter than in other regions.

“The ‘Golden Triangle’ of deepwater, namely the Africa, Gulf of Mexico and Brazilian areas, will still account for 84% of global deepwater expenditure over the forecast period but the rapid emergence of Asia as a significant deepwater region should not be overlooked. Indonesia, Malaysia and India all have development prospects on screen for the 2008-2012 period and the region should account for 10% of deepwater Capex during this time.

Maritime Reporter April 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Offshore

De Beers Confirms Kleven Newbuild Contract

Norwegian shipbuilder Kleven announced its contract with De Beers Marine Namibia, part of De Beers Group, for the building of a specialized vessel for deep water mineral exploration,

DNV GL Issues Design Guidelines for DP Operations

Advanced dynamic positioning (DP) vessels can now meet critical safety regulations while gaining operational flexibility, efficiency and cost savings through new design and monitoring methods.

CEVA Appoint Two Sr Executive

Hoofddorp, the Netherlands, 27 April, 2015 – CEVA Logistics, one of the world's leading supply chain companies, today announced the appointment of two senior

Coast Guard

US Detains Bulker for Safety Violations

A 738-foot motor vessel Kind Seas was detained by the U.S. Coast Guard after significant safety violations were found during an inspection in Kalama, Washington, Friday.

U.S. Renews Security Pledge to Japan

U.S. Secretary of State John Kerry told Japanese leaders on Monday that Washington's treaty commitments to Japan's security remain "iron-clad" and cover all territories under Tokyo's administration,

China "Extremely Concerned" by ASEAN Statements

China's foreign ministry said on Tuesday that it was "extremely concerned" after leaders of Southeast Asian countries expressed worry about land reclamation and

 
 
Maritime Contracts Maritime Standards Naval Architecture Navigation Salvage Ship Repair Ship Simulators Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1871 sec (5 req/sec)