Gulf Of Mexico Oil And Gas Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | 2.67 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Gulf Of Mexico Oil And Gas Market Analysis
The Gulf Of Mexico oil and gas market size is expected to grow from USD 22.56 billion by the end of this year to USD 25.74 billion after five years, at a CAGR of 2.67% during the forecast period.
- Over the medium term, the GOM oil and gas market is expected to thrive in the coming years due to the high resource potential in huge oil and gas reserves and a high active rig count.
- On the other hand, the volatility of oil and gas prices globally is expected to impede market growth in the near future.
- Nevertheless, the region contains bright prospects for deepwater exploration and production, which is expected to create significant opportunities during the forecasted period.
Gulf Of Mexico Oil And Gas Market Trends
Upstream Segment Expected to Dominate the Market
- The Gulf of Mexico has significant oil and gas reserves in shallow and deepwater areas. The region has a long history of exploration and production activities, and there is still untapped potential, particularly in deepwater and ultra-deepwater regions. The exploration and development of these reserves drive the upstream segment's dominance in the Gulf of Mexico market.
- In recent years, as onshore oil fields have matured, offshore exploration and production (E&P) activities have seen a noticeable increase. The Gulf of Mexico region has experienced consistent growth in crude oil and natural gas production for four decades.
- This growth can be attributed to significant discoveries of oil and gas reserves in both shallow and deepwater areas of the Gulf and advancements in technology for offshore drilling operations. As of May 2023, the number of offshore rigs in the Gulf of Mexico had reached 22, indicating the continued expansion of E&P activities in the region.
- Furthermore, the expansion and exploration activities have led to various regional discoveries, further driving the market. For instance, in January 2023, Talos Energy, a Houston-based company, successfully identified significant oil and natural gas reserves in two deepwater discoveries in the US Gulf of Mexico. The company intends to develop these discoveries by establishing subsea tie-backs to its existing Ram Powell tension-leg platform (TLP).
- Furthermore, as deepwater and ultra-deepwater activities in the Gulf of Mexico continue to rise, production from these fields is anticipated to reach 7.6 million barrels per day in three years and 9 million per day in eighteen years. Consequently, there is an expected surge in demand for subsea production systems, which will further propel the market forward.
- Owing to the above points, the upstream segment is expected to dominate the Gulf of Mexico oil and gas market during the forecast period.
GOM Federal Offshore or the United States PART Expected to Dominate the Market
- The United States has a significant coastline along the Gulf of Mexico, providing direct access to the region's oil and gas reserves. This proximity gives U.S.-based companies a logistical advantage in exploration, production, and transportation activities.
- The United States has an extensive network of pipelines, platforms, and support services already established in the Gulf of Mexico. This infrastructure enables efficient extraction, processing, and distribution of oil and gas resources, contributing to the dominance of the U.S. in the market.
- According to the United States Energy Information Administration (EIA), the GOM Federal Offshore region's average crude oil production reached 1,742 thousand barrels daily in 2022. This figure is anticipated to experience a positive trajectory in the upcoming years, primarily driven by multiple upcoming projects in offshore waters.
- For instance, in April 2023, B.P. announced that it had successfully commenced oil production at its Argos offshore platform, which comes at a crucial moment, bolstering bp's status as a prominent producer in the deepwater region of the U.S. Gulf of Mexico. Argos, bp's fifth platform in the Gulf of Mexico, holds a gross production capacity of up to 140,000 barrels of oil per day. Notably, it is bp's first newly operated production facility in the region since 2008.
- Additionally, in March 2023, Shell Plc, a significant player in the oil industry, approved the development of the Dover offshore oil field in the Gulf of Mexico (GoM). Shell also revealed its intentions to establish the project as a subsea tieback to Shell's Appomattox offshore production platform. The project aims to commence production by the end of 2024, with peak rates estimated to reach 21,000 barrels of oil equivalent per day (boe/d).
- Such developments are expected to accelerate oil and gas production in the GOM Federal Offshore region in the near future.
Gulf Of Mexico Oil And Gas Industry Overview
The Gulf of Mexico oil and gas market is fragmented. Some of the key players (in no particular order) include Chevron Corporation, Shell PLC, BP PLC, ExxonMobil Corp., and Delfin LNG LLC, among others.
Gulf Of Mexico Oil And Gas Market Leaders
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Chevron Corporation
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Shell Plc.
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BP Plc.
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Exxon Mobil Corp
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Delfin LNG LLC
*Disclaimer: Major Players sorted in no particular order
Gulf Of Mexico Oil And Gas Market News
- March 2023: Fossil fuel energy companies seeking to extract oil and natural gas from the Gulf of Mexico in US waters received a positive development when they successfully acquired access to 1.6 million acres of available waters through an auction conducted by the Bureau of Ocean Energy Management (BOEM), a department within the U.S. government. The auction, known as Lease Sale 259, involved bidding for approximately 13,600 blocks of "outer continental shelf" acreage in the Gulf of Mexico.
- July 2022: Subsea Integration Alliance partnered OneSubsea, and Subsea 7 to secure an engineering, procurement, construction, and installation (EPCI) contract with Kosmos Energy to deliver an integrated subsea boosting system for the Odd Job field in the Gulf of Mexico.
- January 2022: Subsea 7 SA announced that the company won the contract to install subsea systems at Beacon Offshore Energy LLC's Shenandoah host facility in the Gulf of Mexico in water depths up to 6,300 feet.
Gulf Of Mexico Oil And Gas Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Scope of the Study
- 1.2 Market Definition
- 1.3 Study Assumptions
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET OVERVIEW
- 4.1 Introduction
- 4.2 Market Size and Demand Forecast in USD, till 2028
- 4.3 Recent Trends and Developments
- 4.4 Government Policies and Regulations
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4.5 Market Dynamics
- 4.5.1 Drivers
- 4.5.1.1 Increasing Demand for Oil and Gas
- 4.5.1.2 Presence of Proven Oil and Gas Reserves
- 4.5.2 Restraints
- 4.5.2.1 Volatile Oil and Gas Prices
- 4.6 Supply Chain Analysis
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4.7 Porter's Five Forces Analysis
- 4.7.1 Bargaining Power of Suppliers
- 4.7.2 Bargaining Power of Consumers
- 4.7.3 Threat of New Entrants
- 4.7.4 Threat of Substitute Products and Services
- 4.7.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
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5.1 Location
- 5.1.1 Onshore
- 5.1.2 Offshore
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5.2 Operations
- 5.2.1 Upstream
- 5.2.2 Downstream
- 5.2.3 Midstream
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5.3 Geography Regional Market Analysis {Market Size and Demand Forecast till 2028 (for regions only)}
- 5.3.1 GOM Federal Offshore or the United States PART
- 5.3.2 Mexico PART
- 5.3.3 Cuba PART
6. COMPETITIVE LANDSCAPE
- 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
- 6.2 Strategies Adopted by Leading Players
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6.3 Company Profiles
- 6.3.1 Chevron Corporation
- 6.3.2 Shell PLC
- 6.3.3 BP PLC
- 6.3.4 ExxonMobil Corp.
- 6.3.5 Delfin LNG LLC
- 6.3.6 Beacon Offshore Energy LLC
- 6.3.7 Conco Philips
- 6.3.8 Allseas Group SA
- 6.3.9 Hess Corporation
- 6.3.10 Anadarko Petroleum Corp.
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
- 7.1 Increasing Deepwater Exploration and Production in the Region
Gulf Of Mexico Oil And Gas Industry Segmentation
The oil and gas market refers to the global industry involved in the exploration, production, refining, distribution, and marketing of petroleum products, including crude oil, natural gas, and their derived products. It encompasses various activities and sectors essential for meeting the world's energy demands. The oil and gas market is a significant component of the global economy and plays a crucial role in numerous industries, including transportation, power generation, manufacturing, and petrochemicals.
The Gulf of Mexico oil and gas market is segmented by location, operation, and geography. By location, the market is segmented into onshore and offshore. By operation, the market is segmented into upstream, midstream, and downstream. By geography, the market is segmented into GOM Federal Offshore or the United States Part, Mexico Part, and Cuba Part. The report also covers the market size and forecasts for the oil and gas market across major regions. For each segment, the market sizing and forecasts have been done based on revenue in USD.
| Location | Onshore |
| Offshore | |
| Operations | Upstream |
| Downstream | |
| Midstream | |
| Geography Regional Market Analysis {Market Size and Demand Forecast till 2028 (for regions only)} | GOM Federal Offshore or the United States PART |
| Mexico PART | |
| Cuba PART |
Gulf Of Mexico Oil And Gas Market Research FAQs
What is the current Gulf Of Mexico Oil And Gas Market size?
The Gulf Of Mexico Oil And Gas Market is projected to register a CAGR of 2.67% during the forecast period (2024-2029)
Who are the key players in Gulf Of Mexico Oil And Gas Market?
Chevron Corporation, Shell Plc., BP Plc., Exxon Mobil Corp and Delfin LNG LLC are the major companies operating in the Gulf Of Mexico Oil And Gas Market.
What years does this Gulf Of Mexico Oil And Gas Market cover?
The report covers the Gulf Of Mexico Oil And Gas Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Gulf Of Mexico Oil And Gas Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Gulf Of Mexico Oil And Gas Industry Report
Statistics for the 2024 Gulf Of Mexico Oil And Gas market share, size and revenue growth rate, created by Mordor Intelligenceā¢ Industry Reports. Gulf Of Mexico Oil And Gas analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
