Dublin, Sept. 22, 2023 (GLOBE NEWSWIRE) -- The "Offshore Drilling Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)" report has been added to ResearchAndMarkets.com's offering.
The Offshore Drilling Market is poised for substantial growth, with projections indicating a rise from USD 28.12 billion in 2023 to an estimated USD 35.92 billion by 2028. This robust expansion represents a Compound Annual Growth Rate (CAGR) of 5.02% during the forecast period from 2023 to 2028.
Key Highlights of the Offshore Drilling Market:
- Deepwater and Ultra-deepwater Potential: Long-term growth in the deepwater and ultra-deepwater segment is expected, driven by technological innovations and the increasing viability of such operations. These areas provide access to vast untapped oil and gas reserves, often located far from the coastline and beyond the reach of shallow-water drilling.
- Volatility Challenges: Despite the market's potential, volatility in crude oil prices may pose challenges to offshore drilling growth in the coming years. However, advances in offshore drilling technologies and equipment have expanded capabilities, bolstering the market's outlook.
- Middle-East and Africa as a Key Market: The Middle-East and Africa regions are poised to become significant markets for offshore drilling, with substantial demand emerging from countries such as Nigeria, Angola, and Egypt.
Offshore Drilling Market Trends:
- Dominance of Deepwater and Ultra-deepwater Segment: Deepwater and ultra-deepwater drilling have gained prominence in offshore basins due to their ability to access substantial untapped oil and gas reserves. These areas often yield large hydrocarbon deposits, making them attractive for exploration and production. Additionally, the growing demand for natural gas, driven by environmental considerations, is expected to boost hydrocarbon production, further fueling deepwater and ultra-deepwater activities.
- Key Collaborations and Agreements: Recent collaborations in the offshore drilling sector illustrate its growth potential. For example, in March 2023, the Oil and Natural Gas Corp. (ONGC) partnered with TotalEnergies to explore deepwater blocks in India. Such collaborations are expected to contribute significantly to market expansion.
- Support from Financial Institutions: Banks worldwide are increasingly financing offshore activities, contributing to the growth of the offshore drilling market. This support enables oil and gas exploration and production companies to expand their portfolio of sustainable deepwater developments.
Middle-East and Africa's Role:
- Untapped Reserves in the Middle East & Africa: The Middle-East & Africa region boasts substantial proven oil and gas field reserves, holding nearly half of the world's crude oil reserves (about 64.1% as of 2021) and a significant share of natural gas reserves (48.3% as of 2021). Offshore oil production in this region is a crucial energy source and offers lucrative opportunities for exploration.
- Offshore Exploration Spending: The Middle East & Africa region is expected to witness significant growth in offshore oil and gas exploration spending. Abundant resources and the potential to recover oil and gas from deepwater and ultra-deepwater areas make this region particularly attractive for offshore drilling.
- Strategic Initiatives: Various countries in the Middle East and Africa are actively pursuing offshore oil and gas exploration and production projects. For example, in February 2022, Abu Dhabi National Oil Company (ADNOC) initiated a bid process for further development at its Lower Zakum offshore oilfield. Additionally, several approved upstream projects in the Middle East & Africa for 2021-2025 are anticipated to drive the offshore drilling market's growth.
Offshore Drilling Industry Overview:
The offshore drilling market features several key players, including Baker Hughes Company, Haliburton Company, Schlumberger Limited, Transocean Limited, and Saipem SpA. These players, while facing a partially fragmented market, are actively contributing to the industry's growth through innovation and strategic collaborations.
The global offshore drilling market is poised for substantial expansion, driven by technological advancements, growing demand for natural gas, and increased exploration and production activities in regions like the Middle East & Africa. As the industry continues to evolve, it presents numerous opportunities for both established players and emerging participants.
A selection of companies mentioned in this report includes
- Baker Hughes Company
- China National Offshore Oil Corporation
- China Oilfield Services Ltd
- Exxon Mobil Corporation
- Halliburton Company
- Maersk Drilling AS
- Saipem SpA
- Schlumberger Limited
- Transocean Limited
- Weatherford International PLC
For more information about this report visit https://www.researchandmarkets.com/r/djq1da
About ResearchAndMarkets.com
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.
Attachment
