Name of the Report :
North Sea Decommissioning Market Forecast 2016-2040

Published Date : 15 February 2016

Summary

This new North Sea Decommissioning Market Forecast 2016-2040 predicts that
between 2016 and 2040 $70-$82 billion (bn) will be spent on decommissioning
activity in Denmark, Germany, Norway and the UK; a marked increase on any past work
that has been completed, as the region enters a permanent decline.

Decommissioning activity is expected to grow over the next few years, driven by the sustained
low oil price, the maturity of North Sea fields and the age of infrastructure that has pushed
maintenance costs up, leading to a high breakeven price.

The forecast includes two different scenarios, one assumes that decommissioning methods
will remain the same, with reverse installations utilising Heavy Lift Vessels (HLVs) as the
most common method. The other scenario considers the impact the Single Lift Vessel (SLV)
Pioneering Spirit and others that follow it could have on the market. Scenario 2 will see
cost reductions of around $12bn on Scenario 1, demonstrating this impact. It has to be
stressed however, that this is contingent on E&P operators embracing this method of
removal over the more established method. As a result a huge amount will depend on
the success of early removal projects Yme and Brent.

As the country with the largest amount of installed infrastructure, as well as the oldest
platforms, the UK will make up over half of all expenditure, with a total cost of over $50bn
in Scenario 1 or $43bn in Scenario 2. Unlike the other countries in the report, the UK will
see reasonably high levels of activity throughout the forecast period. From 2030 onwards,
however, Norway will grow to become an incredibly important part of the decommissioning
market. It is expected to account for 32% of the total spend 2016-2040, with 79% of this
coming in the last ten years, as the large hubs finally begin to lose commerciality.

This represents a powerful opportunity for specialist companies to establish themselves in
the industry and become trusted and reliable partners to the platform operators who will
desire speed, safety, cost effectiveness and reliability, as they aim to keep decommissioning
costs low and ensure removal work is completed without incident.

The North Sea Decommissioning Market Forecast is supported by analysis, insight and
industry consultation and includes:

- Drivers & indicators – a review of the factors influencing the North Sea decommissioning
market, including: oil & gas prices; maturity of fields; tax regimes; operations and maintenance
costs; legislation and challenges in the oil & gas industry.
- Overview of decommissioning process – an in-depth look into how decommissioning is
completed, from the cessation of production all the way through to the onshore deconstruction
phase. This details the different options available to operators, including the use of HLVs and
SLVs and a section on the current HLV and HTV fleets.
- The supply chain – detailed analysis of the supply chain, outlining the specialised well
abandonment firms, system inerting companies, disconnection specialists, infrastructure
removal businesses and disposal companies.
- Market forecast – summary of total expenditure, weight removed and the number of
platform and well removals for the four countries featured in the report, as well as a
country-by-country breakdown. Expenditure is split into two different scenarios, one
showing the impact SLVs could have and one assuming the market continues as it
previously has. In addition, for each scenario and country, expenditure is broken
down into the following segments: FPS removal, heavy transport, onshore deconstruction,
PSV (and DSV), substructure removal, topside removal and well decommissioning.
There is also a separate section on the onshore deconstruction market.
- Supporting databook – the report will be released with a supporting Excel workbook
that features all of the tables and charts that are included in the report.

Why purchase the North Sea Decommissioning Market Forecast?

This market forecasting is trusted by sector players worldwide, with clients including
the world’s top-10 oil & gas companies, top-10 oilfield services companies
and top-10 private equity firms.

The report is essential for financial institutions, equipment manufacturers, offshore
engineering, operations & maintenance companies, ROV operators, cutting service
companies, contractors, oil & gas companies and agencies & government
departments wanting to make more informed investment decisions.

Our proven approach includes:

- Unique and proprietary data – updated year-round from published sources and insight
gained from industry consultation.
- Detailed methodology – analysis is based on this reports in-house Oil & Gas database
which details every field in the North Sea. The data feeds into the market model to
generate forecasts of decommissioning activity on a yearly basis.
- Comprehensive analysis – comprehensive examination, analysis and 25-year coverage
of decommissioning expenditure, tonnage removal and the number of platform and
well removals each year.
- Concise report layout – consistent with this reports commitment to delivering value
for our clients, all our market forecasts have a concise layout consisting of industry
background and supporting materials condensed to enable quick review with
‘speed-read’ summaries of key points throughout.

Price 

Single User PDF : £5,350
Single User Hardcopy : £5,350
Multi-User PDF (5 users) : £6,350
Multi-User Hardcopy (5 copies) : £6,350

Disclaimer
All Rights Reserved.

No part of this publication may be reproduced, stored in a retrieval system or transmitted
in any form by any means, electronic, mechanical, photocopying, recording or otherwise,
without the prior permission of the publisher.

The facts of this report are believed to be correct at the time of publication but cannot be
guaranteed. Please note that the findings, conclusions and recommendations that the
publisher delivers will be based on information gathered in good faith from both primary
and secondary sources, whose accuracy we are not always in a position to guarantee.
As such the publisher accept no liability whatever for actions taken based on any
information that may subsequently prove to be incorrect.

To order this report, please send an email to mail@worldoils.com
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Search words (for official use only) :
North Sea Decommissioning Market Forecast 2016-2040-$70-$82 billion 
Overview Of Decommissioning Process
Market Forecast – Summary of Total Expenditure
North Sea Decommissioning Market Forecast - Detailed Methodology
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