Increasing prevalence of long-term contracts consisting of construction and operation of the FPSO vessels augmenting the growth of floating production storage & offloading market
FPSO or floating production storage and offloading vessel is a designed unit catering to the needs of the oil and gas industry in producing and storing enormous quantities of hydrocarbons from offshore basins. These uniquely qualified vessel units are used at different water depths for storage purpose further facilitating processing of crude oil that is produced from wells.
The global FPSO (floating production storage and offloading) market size is estimated to size-up to approximately USD 19.3 billion by 2028. In addition, it is anticipated to acquire a significant CAGR of 15.3% over the forecast period 2021 to 2028. FPSOs are typically manufactured using either an existing ship adding few nuances and modifications based on the contractor’s requirements or by designing a completely new vessel from scratch displaying advanced capabilities. The vessel displays a range of advanced equipment capable of performing treatment processes or separation of crude oil.
The market progress is traced down from the current dynamics to the future forecast observing the growth trends and industry traction. Major growth derivatives reflect upon the growth prospects and opportunities of the FPSO market. Factors such as strengthening imposition of long-term agreements within industry participants based on the enhancement of building and operating vessels including FEED focus primarily on capabilities associated with technology upgradation, commissioning, operations and maintenance is a major trend resulting in rapid adoption of FPSOs.
Rising energy consumption coupled with the need for highly efficient production and storage technologies is boosting the growth of the FPSO market over the forecast. Furthermore, large energy companies are drilling several wildcat wells across different basins to validate their findings and examine production capacities is compelling a promising future for the floating production storage and offloading market.
Adroit Market Research report on the global floating production storage and offloading market offers a comprehensive overview of the market from 2018 to 2028, covering major factors including the influential market drivers, restrains, opportunities and challenges. The holistic evaluation of the market progresses from study through the historic years 2018 to 2020, with the base year of market estimations as 2020 and the future forecast spanning from 2021 to 2028. The report provides analysis of the present scenario followed by future landscape and associated traits. The market analysis of the current dynamics and future outlook is conducted at local as well as international level. It further analyses the market in-depth driven by Porter’s five forces analysis and a SWOT analysis. Positioning of the key market players is driven by their market identity, revenue specifications, geographic placement and strategic significance.
The floating production storage and offloading market has a firm competition between the large-scale robust market players and the new business entrants. The FPSO market players are branching out trying to capture new potential market in order to gain a competitive advantage among other industry players with several initiatives for business expansion including mergers with other large players or young participants, collaborating resources with different players such as skills, capital and technologies to enhance the portfolio attractiveness.
Based on the construction type, the market showcases three categories including redeployed, converted and new-build FPSOs. New-build segment is expected to grow at a significant rate accounting for a large chunk of share owing to customizable design flexibility allowing advanced modifications driving the growth of the segment. The new-build FPSO segment offers array of configurations catering to specific needs thereby boosting the demand for the segment type over the forecast.
Asia Pacific is expected to grow at a sustainable rate with emerging economies such as the India and China witnessing exponential rise in the rate of energy demand and investments and funding for research and advancements of technologies. Middle East and Africa are prominent regions anticipated to witness highest growth in the market space with lucrative opportunities for the FPSO market. the region has a huge expanse of business opportunities and large energy companies all over the world are investing heavily for oil and gas exploration along with discovery of new bulk reserves. North America also projects to grow at a stable rate with the presence of large enterprises driving global initiatives in the floating production storage and offloading market.
The major players of the global FPSO market are Exxon Mobil, Petrobras, Chevron Corporation, China National Offshore Oil Corporation (CNOOC), Saipem, Bumi Armada Berhad, SBM Offshore, Royal Dutch Shell, BP, Teekay Corporation, Woodside Energy, Dommo Energia, Keppel Offshore and Marine and Hyundai Heavy Industries. The FPSO market landscape consists of well-known historically prevalent players along with prospective players. Key players are taking striding efforts and strategic initiatives to remain competitive in the global market.
Key Segments of the Global Floating Production Storage and Offloading (FPSO) Market
Type Overview, 2018-2028 (USD Billion)
Hull Type Overview, 2018-2028 (USD Billion)
- Single Hull
- Double Hull
Propulsion Overview, 2018-2028 (USD Billion)
End-Use Overview, 2018-2028 (USD Billion)
- Shallow Water
- Ultra-Deep Water
Regional Overview, 2018-2028 (USD Billion)
- Rest of Europe
- Rest of Asia Pacific
- Rest of South America
Middle East & Africa