OSV Market Poised for Growth -Report
The global offshore support vessel (OSV) market is expected to grow from an estimated $20.06 billion in 2018 to $25.66 billion by 2023, according to a recent report published by MarketsandMarkets.
Ongoing offshore activities across the U.S., China, Brazil and the North Sea will help the market to expand at a CAGR of 5.04 percent during the forecast period, according to the report. Offshore exploration and production investments in the Middle East and the Asia Pacific regions are also expected to play a role in the forecasted growth.
The AHTS vessels segment is estimated to have the largest share of the market in 2018, while the MPSV segment is projected to grow at the fastest pace among all the vessel types. Demand for offshore drilling is projected to recover slowly, particularly in deepwater fields as oil prices stabilize, thus, helping the AHTS market.
The shallow segment is the fastest-growing market and is projected to dominate during the forecast period. The application of OSVs in shallow water projects is estimated to lead the market, both in terms of market value and growth. The shallow water basins in Asia-Pacific, Europe and North America will play a major role in driving the OSV market.
Asia Pacific is estimated to be the largest market, by value, for OSVs in 2018, driven largely by China. Stabilizing oil prices have already led to oil and gas operators increasing exploration and production spending in the Chinese offshore market, with capital expenditures allocations estimated to resume steadily. The market for OSVs in North America and the Middle East regions is also expected to grow during the forecast period due to the growing focus on developing offshore reserves to replace maturing onshore fields.
