Subsea Technologies for Oil and Gas Offshore Exploration and Production - Thematic Research

Subsea Technologies for Oil and Gas Offshore Exploration and Production - Thematic Research

Summary

High capital costs are a major deterrent for deepwater oil and gas projects. Exploration and production (E&P) in deepwater areas slowed down in 2020 following the COVID-induced drop in energy demand. However, a resurgence in overall global demand amid the Russia-Ukraine conflict has propelled prices to over $100 in 2022. With regions such as the Europe Union looking to phase out Russian imports, the global crude oil supply will remain tight in the next two to three years and will support prices. This could encourage oil and gas producers to invest in subsea developments over this timeframe.

Moreover, the subsea industry has benefitted from process improvements that led to a dip in the project costs. Subsea equipment manufacturers have been working to reduce the cost of machinery installed on the seabed for deepwater production. Their efforts in streamlining material procurement, optimizing subsea architecture, and simplifying equipment installation have brought about an overall reduction in the complexity of subsea systems.

Besides, engineering, procurement, and construction (EPC) contractors have managed to lower the project execution cycle time to further improve the viability of subsea developments. In one instance, TechnipFMC, a leading subsea contractor, cut the cycle time at Shell’s Kaikias oilfield in the US Gulf of Mexico by about six months using advanced equipment designs and an integrated project execution approach.

Scope

• An overview of subsea as a theme within the offshore oil and gas industry, encompassing the shallow water, deepwater, and ultra-deepwater terrains.
• Highlights the prevalent sectoral, technology, and macroeconomic trends impacting the subsea theme.
• Evaluates the offshore industry and tracks the key subsea developments and contracts across different regions.
• A brief overview of the subsea value chain in the oil and gas industry context.
• Assessment of competitive positions of the major companies, equipment and services providers in the subsea theme.

• Understand the importance of subsea in the exploration and production of hydrocarbons.
• Identify trends and regional hotspots for the subsea theme
• Outlook for the global offshore oil and gas production against the backdrop of high oil prices
• Identify and benchmark key oil and gas producers and contractors in the subsea theme