FPSO Operation Increased 84% in Past Decade

Thursday, August 08, 2013
FPSOs in operation in 2003 and 2013

IMA/EMA recently completed an in-depth analysis of the floating production sector. Highlighted below are some key findings in Floating Production Systems: assessment of the outlook for FPSOs, Semis, TLPs, Spars, FLNGs, FSRUs and FSOs.

Inventory of floating production systems now at 269 units

FPSOs account for 61% of the existing systems. The balance is comprised of production semis, tension leg platforms, production spars, production barges and floating regasification/storage units. Thirteen units (twelveFPSOs and one Semi) are off field and available for reuse – resulting in an overall utilization rate of 95.2%. Another 93 floating storage/offloading units (without production capability) are in service.

Backlog of production floater orders remains at an all-time high

Current order backlog consists of 72 production floaters – 40 FPSOs, six production semis, five TLPs, four spars, one production barge, four FLNGs and 12 FSRUs. Almost half of floater fabrication work is taking place in Asia, principally conversion work in Singapore and China, with newbuilding work principally in Korea. Since March 2013, contracts for 10 production units totaling more than $11 billion have been placed, including the most expensive FPSO ever ordered at $3 billion. This continues the trend of increasingly higher prices, with the cost of a production floater now averaging close to $1 billion.

FPSO processing capacity has more than doubled in the past decade

The FPSO industry continues to see advances in processing capacity as well as sheer numbers of units. In mid-2003 there were 83 FPSOs in operation. This figure has now grown to 153 units, excluding available FPSOs and a few small units used for well testing. In the past 10 years, oil processing capacity on these FPSOs has grown from 6.1 million b/d to over 13.7 million b/d. Not only are there more FPSOs installed, but their oil processing capacity has increased – from an average of 74,000 b/d to 90,000 b/d during the past decade.

However, could recent deferrals indicate deeper troubles ahead?

Despite the spectacular growth in unit numbers and increasing order values, we see indications that deepwater investment may slow. According to Jim McCaul, head of IMA,“maybe it is more than a coincidence that five major deepwater projects have been deferred over the past several months. Each project had its own reason for deferral. But five in such a short period sends warning signals to everyone in this sector.”



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


Teekay LNG Partners Declare Distribution

Teekay GP LLC, the general partner of Teekay LNG Partners L.P. has declared a cash distribution of $0.70 per unit for the quarter ended September 30, 2015. The

TMS Cardiff Gas Orders First LPG Carriers

TMS Cardiff Gas Ltd. has signed a contract with Hyundai Heavy Industries of Korea for the construction of two 78,700 cbm LPG carriers with the option to build another two.

Eletrobras says Compensation for Hydro Plants Could be $330 mln

Brazil's state-run utility Eletrobras said on Friday a report into six hydroelectric plants found the assets had a remaining value of 1.3 billion reais ($332


Debris Appears to Belong to Cargo Ship Missing in Bahamas

Search and rescue teams on Sunday located debris which appeared to belong to the cargo ship El Faro that went missing in the eye of Hurricane Joaquin with 33 mostly American crew members aboard,

Woman Medevaced from Cruise Ship off SouthWest Pass

The Coast Guard medevaced a 50-year-old woman from a cruise ship 225 miles southeast of Southwest Pass, Saturday. Watchstanders at Coast Guard District 8 received a call at approximately 9 a.

Demands for Icebreaker Tours Spiral

Plans to terminate commercial tours to the North Pole on the nuclear-powered icebreakers of the Atomflot company in 2016 have surged the demand for these tours.


AEP to Sell AEP River Ops To ACL

American Electric Power (AEP) has signed an agreement to sell its commercial barge transportation subsidiary, AEP River Operations LLC, to American Commercial Lines (ACL),

SubM Debut Now Set for February 2016

Outsourcing, E-Solutions Help Mariners “Say What You Mean, Mean What You Say, and Prove it.” The perennial “Year of Subchapter M” has been kicked forward again, this time to February 2016.

Seaspan Unveils Massive Barge in Canada

Seaspan bulks up investment in BC’s marine sector, celebrates addition of fourth new barge in the past 10 months  Seaspan Marine unveiled the newest addition to its marine fleet,

Offshore Energy

Kruszewski Joins Braemar Engineering

Braemar Engineering, the specialist maritime engineering consultancy, today announced the appointment of Chis Kruszewski to the role of Senior Electrical Engineer in its Offshore,

RigNet Partners Inmarsat to Offer Fleet Xpress

RigNet, Inc., a global provider of remote managed offshore communications solutions, telecoms systems integration services and collaborative applications to the oil and gas industry,

Ulstein Systems Ordered for New Rock Installers

Ulstein Power & Control announced it has been contracted by Chinese shipbuilder AVIC Weihai Shipyard Co. Ltd. to deliver power and control for two subsea rock installation

Maritime Careers / Shipboard Positions Maritime Security Naval Architecture Offshore Oil Pipelines Pod Propulsion Ship Electronics Ship Repair Shipbuilding / Vessel Construction 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: 0.1796 sec (6 req/sec)