Russian Oil & Gas Service Boom

Tuesday, June 26, 2007
While the recent high-profile problems of the western oil majors’ adventures in Russia have occupied the attention of politicians, the giant Russian oilfield services industry continues to work delivering the products and services that produce the oil. Speaking at conferences in both London and St. Petersburg, executives from energy analysts Douglas-Westwood (DWL) outlined the scale of the opportunities available to investors.

John Westwood, DWL managing director speaking at the SubseaTECH 2007 Conference in St. Petersburg stressed the importance of Russia as an oil and gas producer, “Russian oil production at over 9 million barrels per day is on a par with Saudi Arabia and Russian gas used in power generation is keeping many of the lights on in Western Europe.”

Addressing members of the Energy Institute in London, DWL’s assistant director Steve Robertson stated that, “the oilfield services industry has evolved rapidly in recent years, driven by operators’ increasing use of outsourced services and a move to Western business models. However, the market remains fragmented and further consolidation is expected in the coming years, with independent indigenous companies and western providers playing an increasingly important role.” Analyst Rod Westwood explained that major changes were underway as some of the existing producing regions decline, whilst growth in Eastern Siberia will soar 43% in the next five years.

“Opportunities abound as aging infrastructure such as drilling rigs are overdue for replacement, whilst on the demand-side activity is expected to grow as the new regions prove a far tougher challenge than the ‘easy oil’ previously developed in Western Siberia.

“Onshore oilfield services of seismic, well drilling and workover sectors were a market valued at $11.4 billion in 2006 and we forecast this will reach $22.5 billion by 2011.” Back in St Petersburg, John Westwood told delegates that the new offshore developments in Russia’s arctic waters will stretch the limits of available know-how and will probably need to make use of Norwegian experience of such conditions.

“However,” he said, “this is not all a one-way street and Russia has a considerable track record of leading technological developments for military applications that could well be applied in offshore oil & gas applications.”

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

People & Company News

Obangame Express 2015 Concludes in the Gulf of Guinea

Maritime forces from Gulf of Guinea nations, Europe, South America, and the United States and several regional and international organizations concluded the multinational maritime exercise,

Scandlines Ferry Back in Service by End June

The damaged Scandlines ferry M/V Prinsesse Benedikte is being repaired at the Polish shipyard Remontowa and is expected to be ready before the end of June 2015.

Greece Will Sell Piraeus Port Stake in Weeks

The Greek government will sell its majority stake in the port of Piraeus within weeks, the country's deputy prime minister told China's official Xinhua news agency,

Contracts

USA Urged Not to Delay Arctic Drilling

The U.S. should immediately begin a push to exploit its enormous trove of oil in the Arctic waters off of Alaska, or risk a renewed reliance on imported oil in the future, reports AP.

JV Wins $2bln Freeport LNG Contract in US

A joint venture (JV) between CB&I, Chiyoda International and Zachry Industrial has won a contract worth over $2bn from FLNG Liquefaction 3 for a liquefied natural

Viking Bags Charter Deal for AHTS Brage Viking

Viking Supply Ships has entered into a contract with an Oil major for the charter of “Brage Viking” commencing 1stof April 2015. The duration is for 2 years and 8 months firm,

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Maritime Standards Navigation Offshore Oil Pipelines Pod Propulsion Ship Electronics Sonar
rss | archive | history | articles | privacy | terms and conditions | 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: 0.1744 sec (6 req/sec)