Market Size of Gulf of Mexico Oil & Gas Decommissioning Industry
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | 6.89 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Gulf of Mexico Oil & Gas Decommissioning Market Analysis
The market for Gulf of Mexico oil & gas decommissioning is expected to grow at a CAGR of approximately 6.89% during 2020 - 2025. Demand for the offshore decommissioning services in the Gulf of Mexico (GoM) is primarily driven by the maturing production fields, aging offshore platform infrastructure, and damaged platforms and pipelines due to hurricanes and other windstorms, among other factors. However, deteriorating infrastructure, late-life technical limits and regulatory pressure, has led mature basin operators to focus on the expensive and technically complicated challenge of decommissioning.
- The decommissioning market in shallow waters holds the largest market in recent years. But, the deepwater regions is expected to grow faster during 2020-2025, as the number of potential projects available in shallow waters is drying up.
- Deepwater projects are subject to greater levels of regulatory scrutiny and require specialized heavy-lift vessels to remove topsides. The unit cost to decommission deepwater projects is much greater, due to operational complexity and increased spread rates for marine vessels. The shift toward decommissioning deepwater facilities will present a range of new opportunities, as well as challenges for companies.
Gulf of Mexico Oil & Gas Decommissioning Industry Segmentation
The Gulf of Mexico oil & gas decommissioning market report include:
| Water Depth | |
| Shallow Water | |
| Deepwater |
Gulf of Mexico Oil & Gas Decommissioning Market Size Summary
The Gulf of Mexico oil and gas decommissioning market is poised for growth, driven by the aging infrastructure of offshore platforms and the impact of environmental factors such as hurricanes. As production fields mature, the need for decommissioning services becomes more pressing, with operators facing the challenges of deteriorating infrastructure and regulatory pressures. While shallow water decommissioning has historically dominated the market, the deepwater segment is expected to experience faster growth due to the depletion of available projects in shallow waters. This shift presents both opportunities and challenges, as deepwater projects require specialized equipment and adherence to stricter regulatory standards, leading to higher operational costs.
The deepwater decommissioning market, despite its complexities, offers promising prospects due to the potential for technological advancements and increased oil prices. The demand for innovative technologies that enhance safety and reduce costs is anticipated to rise, facilitating the next phase of offshore removals and abandonment in the United States. The market is characterized by fragmentation, with key players such as Proserv Group Inc., Ramboll Group, Ardent, and TETRA Technologies, Inc. actively participating. These companies are navigating the intricate landscape of deepwater decommissioning, where the need for purpose-built vessels and specialized operations underscores the market's evolving nature.
Gulf of Mexico Oil & Gas Decommissioning Market Size - Table of Contents
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1. MARKET OVERVIEW
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1.1 Introduction
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1.2 Market Size and Demand Forecast in USD billion, till 2025
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1.3 Recent Trends and Developments
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1.4 Government Policies and Regulations
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1.5 Market Dynamics
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1.5.1 Drivers
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1.5.2 Restraints
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1.6 Supply Chain Analysis
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1.7 Porter's Five Forces Analysis
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1.7.1 Bargaining Power of Suppliers
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1.7.2 Bargaining Power of Consumers
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1.7.3 Threat of New Entrants
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1.7.4 Threat of Substitutes Products and Services
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1.7.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 Water Depth
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2.1.1 Shallow Water
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2.1.2 Deepwater
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Gulf of Mexico Oil & Gas Decommissioning Market Size FAQs
What is the current Gulf of Mexico Oil & Gas Decommissioning Market size?
The Gulf of Mexico Oil & Gas Decommissioning Market is projected to register a CAGR of less than 6.89% during the forecast period (2024-2029)
Who are the key players in Gulf of Mexico Oil & Gas Decommissioning Market?
Proserv Group Inc., Ramboll Group, TETRA Technologies, Inc. and Ardent Global LLC are the major companies operating in the Gulf of Mexico Oil & Gas Decommissioning Market.
