Umbilical Market size is set to surpass USD 1.7 billion by 2028, according to a new research report by Global Market Insights Inc.
Growing requirement for oil & gas in a variety of application verticals has expedited the demand for different petroleum products, creating new growth opportunities for the market. As per a BP Statistical Review of World Energy report in June 2022, the global energy consumption reached more than 595.1 exajoules in 2021 in comparison to 564 exajoules in 2020, indicating an annual rise of 5.5%.
Preference for deploying advanced offshore solutions
According to the report, a growing interest in new initiatives for integrating advanced remote solutions to limit physical intervention will propel the industry demand. These initiatives will allow operators to perform subsea activities and reduce incidents. Additionally, explorations across deep and shallow depths coupled with favorable government initiatives to improve energy security will push the market growth. A rise in the overall energy intake will also present new opportunities for the market expansion.
Abundant oil & gas exploration activities in deep waters
Growing exploration & production activities across several hundred meters depths in water to extract oil & gas resources will strengthen the industry outlook from the deep segment. Moreover, initiatives to improve personnel and well safety as well as production efficiency will further drive segmental growth.
Browse key industry insights spread across 165 pages with 185 market data tables & 23 figures & charts from the report, “Umbilical Market Size By Depth (Shallow, Deep, Ultra-Deep), COVID-19 Impact Analysis, Regional Outlook, Application Potential, Competitive Market Share & Forecast, 2022 – 2028” in detail along with the table of contents
Increased financial assistance for E&P activities across the North American region
North America umbilical industry accounted for USD 200 million in 2021, credited to increased investments across the E&P activities for hydrocarbon fields. In addition, supportive government initiatives to retain output from wells of different depths are expected to bolster the regional industry growth.
Strategic agreements between prominent players
Some of the major companies operational in the industry comprise TechnipFMC plc, Vallourec, Oceaneering International, Inc., Schlumberger Limited, Aker Solutions, John Wood Group, Plc, Prysmian Group, Saipem, McDermott, NOV, Inc., Subsea 7, HALLIBURTON, Baker Hughes Company, and Nexans. Strategic initiatives such as partnerships, agreements and M&As are among the measures being implemented by these participants to ensure a stronghold in the global market.
For instance, in August 2021, McDermott announced a five-year engineering services framework agreement with UAE-based ADNOC (Abu Dhabi National Oil Company) worth USD 1 billion. This agreement was aimed at reinforcing the company’s presence in the Middle East, through the provision of FEED (Front-End Engineering Design) services for key regional projects.