Buyuma Weekly Energy Roundup(Wk 45)

Hello There,

Welcome to this week's global Buyuma?oil and gas weekly update covering the latest energy news that made waves around the world.

GlobalData’s new Oil and Gas Industry Contracts Analytics by Sector, Region, Planned and Awarded Contracts and Top Contractors, Q3 2023 report shows that the global oil and gas contracts activity witnessed a decline of 21% in the number of contracts, from 1,425 in Q2 2023 to 1,128 in Q3 2023.? A??notable contract?in?Q3 2023 is HD Hyundai Heavy Industries’ $3.9bn agreement with QatarEnergy for the construction of 17 ultra-modern LNG carriers

Below are?updates that made the headlines in the Oil and Gas industry

Energy Maritime Associates (EMA) New Floating Production Outlook Report

As the global oil and gas industry pivots towards floating production systems, Energy Maritime Associates (EMA) has released a new report forecasting robust demand, with projected orders reaching up to $173 billion for as many as 168 units within the next five years.

The market is predominantly driven by floating production storage and offloading vessels (FPSOs), floating liquefied natural gas (FLNG) units, and production semisubmersibles. However, this surge in demand comes with its own set of challenges, the report says.?

EMA says that its “Floating Production Outlook Report (2024-2028)” offers a thorough analysis of the market but also warns of potential supply chain bottlenecks. With shipyard slots for FPSO hulls and other integral orders nearly fully booked through to 2026, the industry could face significant project timing and cost implications as constructors scramble for alternative suppliers.?

Download report?here

Oil And Gas Contract Volume And Value Fall In Q3 2023

Global oil and gas contracts activity witnessed a decline of 21% in the number of contracts, from 1,425 in Q2 2023 to 1,128 in Q3 2023. Also at the same time, the quarter witnessed a decrease of 26% in combined disclosed value from $57.4bn in Q2 2023 to $42.6bn in Q3 2023.

Some of the notable contracts during the quarter include HD Hyundai Heavy Industries’ agreement worth QR14.2bn ($3.9bn) with QatarEnergy for the construction of 17 ultra-modern liquefied natural gas (LNG) carriers, as part of the North Field LNG expansion and Golden Pass LNG export projects, as well as long-term fleet replacement requirements in Qatar.?

The upstream sector reported 858 contracts during Q3 2023, followed by midstream and downstream/petrochemical sectors with 189 and 100 contracts, respectively during the quarter.

Europe recorded most of the contracts, with 370 contracts in Q3 2023, followed by North America and Asia with 296 and 217 contracts, respectively during the quarter.

Operation and maintenance (O&M) represented 59% of the total contracts in Q3 2023, followed by procurement scope with 15%, and contracts with multiple scopes, such as construction, design and engineering, installation, O&M, and procurement, which accounted for 13%. Further details can be found in GlobalData’s new report,?Oil and Gas Industry Contracts Analytics by Sector, Region, Planned and Awarded Contracts and Top Contractors, Q3 2023.

Interventek Launches Revolution-7 Subsea Landing String

Aberdeen-based, subsea well intervention technology specialist Interventek announced the commercial launch of a new API 17G qualified, in-riser subsea landing string system. The Revolution-7 landing string is an advanced, 7-inch nominal, 10,000psi rated system incorporating Interventek’s Revolution safety valve. The system also includes Interventek’s PowerPlus technology, which is a unique arrangement of a locally integrated, gas-accumulated power source, providing valve actuation in less than a second.

The landing string incorporates lower and upper subsea test tree valves, a latch, a retainer valve, and lubricator valve. A slick joint, shear sub, and project specific adaptors enable space out in the blowout preventer (BOP) and interface with the tubing hanger running tool and landing string tubulars. The system components are integrated via pre-loaded connections which provide high operational performance and fatigue resistance.

Interventek said its new Revolution-7 landing string is market-ready and noted the first systems were dispatched to a customer earlier this month. The technology has been designed, engineered, and fully qualified by Interventek, with testing to meet the latest API 17G 3rd edition industry specifications.

Plexus to Provide Equipment for Neptune Energy's North Sea Well Abandonment Project

Plexus Holdings has secured a rental contract award for Exact Adjustable Wellhead and Centric Mudline Suspension Equipment from oil and gas company Neptune Energy UK.

The contract is for Adjustable Surface Wellhead Equipment and Mudline Tooling to allow the permanent abandonment of a UK North Sea well, with operations planned for start-up and completion during Q2 2024.

The value of the contract is more than ￡175,000, and, Plexus says, is yet another example of the growing rental wellhead market for jack-up rigs engaged in both plug and abandonment ('P&A') operations and exploration well drilling.

According to Plexus, the number of wells that must be permanently plugged and abandoned is fast growing, particularly in mature offshore locations such as the North Sea

Nondestructive Testing (NDT) Equipment Market to grow by USD 848.26 million from 2022 to 2027

Technavio's latest report on Non-Destructive Testing (NDT) Equipment Market - Forecast and Analysis 2023-2027 - shows the NDT equipment market will grow by USD 848.26 million from 2022 to 2027 - Increase in oil and gas and power generation projects to drive the growth

However, the growth momentum of the market will progress at a CAGR of 5.95% during the forecast period.

The report recognizes the following as some of the key players in the nondestructive testing(NDT) equipment market:

Acuren, Ashtead Technology, Carl Zeiss AG, Eddyfi NDT Inc., FPrimeC Solutions Inc., FUJIFILM Corp., General Electric Co., HELMUT FISCHER GMBH INSTITUT FUR ELEKTRONIK UND MESSTECHNIK, Illinois Tool Works Inc., Labquip NDT Ltd., Mistras Group Inc., MME Group, Nikon Corp., Roper Technologies Inc., Sonatest Inc., TWI Ltd., YXLON International GmbH, Zetec Inc., Cygnus Instruments Ltd., and Olympus Corp. Market Dynamics:

Major Trend

• The advent of new types of materials for manufacturing is a major trend in the market.?
• To meet the changing requirements of end customers, manufacturers experiment with new types of materials in their production processes.
• For example, a number of new grades of advanced high-strength steel, such as advanced high-strength steel (AHSS) 101, are being used in the automotive and aeronautics sectors.

Significant Challenge

• The growing availability of pre-used variants of NDT equipment is a significant challenge restricting the market growth.
• Many end users also prefer to buy used NDT equipment, which costs much less than new equipment.
• In addition, Sales of new units are likely to be negatively affected by increased end users' preference for used NDT models.

That's it for this week. Until next time, Cheers!