In a launch despatched to Rigzone not too long ago, GlobalData outlined that the oil and fuel trade exhibited “resilience” final yr.
The sector noticed a “important decline” of twenty-two % in disclosed contract quantity from 7,550 contracts in 2022 to five,915 in 2023, GlobalData famous within the launch. The corporate added, nonetheless, that, regardless of this lower, “the trade managed to keep up momentum in contract worth”.
This was primarily fueled by contracts for main initiatives akin to North Subject South LNG, Golden Cross LNG, Hail and Ghasha discipline, Agogo FPSO, and the growth of the Amiral petrochemicals facility, amidst difficult market circumstances, GlobalData acknowledged within the launch.
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The corporate highlighted within the launch that its newest report on oil and fuel trade contracts revealed that “the full disclosed contract worth saved momentum at $187.48 billion in 2023, solely barely decrease than the $189.94 billion reported in 2022”.
In keeping with a chart included within the launch exhibiting oil and fuel trade contracts by scope in 2023, operations and upkeep offers took the most important share, with 3,040 contracts, adopted by procurement offers, with 1,457 contracts, offers with a a number of scope, which totaled 725 contracts, design and engineering offers, which totaled 454 contracts, building offers, with 209 contracts, set up offers, with 22 contracts, and asset retirement offers, with eight contracts.
“This resilience is attributed to high-value contracts from notable contractors akin to Technip Energies and Consolidated Contractors’ that secured $10 billion EPCC contract for QatarEnergy’s North Subject South LNG venture,” Pritam Kad, an Oil and Fuel Analyst at GlobalData, mentioned within the launch.
Kad additionally highlighted “Tecnimont’s $8.7 billion, Saipem and NPCC Consortiums’ $8.2 billion EPC contracts for the Hail and Ghasha Growth Venture within the UAE, Yinson Holdings’ $5.3 billion Agogo FPSO constitution and upkeep, and Hyundai’s $5 billion EPC work for Amiral petrochemicals facility growth in Saudi Arabia”.
“The oil and fuel trade’s means to safe high-value contracts for main initiatives underscores its enduring power and adaptableness in navigating turbulent instances,” Kad went on to notice within the launch.
In a launch posted on its web site in March final yr, GlobalData introduced that the oil and fuel trade witnessed a yr on yr enhance of three % in general contract worth in 2022, “regardless of a 4 % lower in contract quantity”.
In that launch, the corporate highlighted that its newest report on the time on oil and fuel trade contracts confirmed that general contract worth elevated from $178.86 billion in 2021 to $183.63 billion in 2022, “although contract quantity noticed a marginal lower from 6,972 in 2021 to six,668 in 2022”.
“The curler coaster journey in the course of the Covid-19 pandemic seems to be coming to an finish, with contract exercise returning to regular for the worldwide oil and fuel trade, regardless of the continuing Russia-Ukraine battle and volatility in crude oil costs,” GlobalData acknowledged in that launch.
Operation and upkeep represented 50 % of the full contracts in 2022, adopted by contracts associated to procurement accounting at 24 %, and contracts involving a number of scopes at 13 %, the corporate outlined in that launch.
“Petrobras’ three floating manufacturing storage and offloading (FPSO) contracts value $8.75 billion to Keppel Shipyard (P-80 and P-83 FPSO) and Sembcorp Marine (P82 FPSO) for the Buzios discipline within the pre-salt Santos basin, Brazil, have been the numerous contributors to the general contract worth in the course of the yr,” Kad acknowledged within the 2022 launch.
“The oil and fuel trade is prone to see some aid within the brief time period for now, however the environmental considerations and the latest advances in direction of sustainable inexperienced gasoline, and vitality transition initiatives will current some important challenges to progress in future,” Kad added in that launch.
To contact the writer, e-mail andreas.exarheas@rigzone.com
