United Kingdom Offshore Decommissioning Market Size is Expected to Reach US$ 2.40 Billion by 2031, Report by CoherentMI

The United Kingdom offshore decommissioning market is estimated to be valued at US$ 1.30 Bn in 2023, growing at a CAGR of 8.5% during the forecast period 2024-2031, as highlighted in a new report published by CoherentMI. Companies overviewed in this report such as Acteon Group Limited, Topicus Finan BV, Tetra Technologies Inc., Allseas Group S.A., DeepOcean Group Holding B.V., John Wood Group Plc, Exxon Mobil Corporation, Veolia Environnement S.A., Derrick Services (UK) Ltd., Perenco SA, Ramboll Group A/S, and AF Gruppen ASA.

/EIN News/ -- Burlingame, Aug. 13, 2024 (GLOBE NEWSWIRE) -- CoherentMI published a report, titled, United Kingdom Offshore Decommissioning Market is estimated to value at US$ 1.30 Billion in the year 2024, and is anticipated to reach a US$ 2.40 Billion by 2031, with growing at a CAGR of 8.5% during forecast period 2024-2031. With majority of the UK continental shelf oil and gas infrastructure reaching end of operational life in the coming years, there will be substantial decommissioning activity in the UK North Sea region. A significant number of platforms, pipelines and other structures installed in the 1960s-70s are coming towards the end of their productive lifespan. The growing inventory of ageing assets requiring decommissioning works is a major driver fueling growth of the UK offshore decommissioning market.

Market Report Scope:

Report Coverage	Details
Market Revenue in 2024:	US$ 1.30 Billion
Estimated Value by 2031:	US$ 2.40 Billion
Growth Rate:	Poised to grow at a CAGR of 8.5%
Historical Data:	2019–2023
Forecast Period:	2024–2031
Forecast Units:	Value (USD Million/Billion)
Report Coverage:	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
Segments Covered:	By Service, By Water Depth
Geographies Covered:	United Kingdom
Growth Drivers:	• Growing number of mature oil and gas fields
	• Increasing expenditure on offshore decommissioning projects
Restraints & Challenges:	• Environmental legislations and authorization delays
	• Lack of skilled workforce

Market Dynamics:

The growth of the UK offshore decommissioning market is attributed to ageing offshore oil and gas infrastructure and stringent government regulations regarding decommissioning of offshore assets. Many offshore platforms and pipelines installed decades ago have already outlived their design lives and are nearing the end of production. According to Oil & Gas UK, around 50 platforms in the UK North Sea need to be decommissioned by 2025. This presents significant opportunities for contractors engaged in dismantling and removal works. Moreover, regulations such as the Petroleum Act 1998 and OSPAR Decision 98/3 make operators fully responsible for environmental remediation and prevent pollution from offshore installations being abandoned. Non-compliance can lead to heavy penalties, thereby driving increased spending on decommissioning activities.

Key Market Takeaways:

• The United Kingdom offshore decommissioning market size is anticipated to witness a CAGR of 8.5% during the forecast period 2024-2031, owing to large number of aging offshore infrastructure in North Sea reaching end of productive life.
  
  
• On the basis of water depth, deep water segment is expected to hold a dominant position, accounting for over 35% of the market in 2031 due to presence of many large offshore fields.
  
  
• On the basis of service, removal segment is expected to hold a dominant position, owing to technical complexity involved in dismantling of offshore structures.
  
  
• By region, UK is expected to hold a dominant position over the forecast period, due to extensive offshore oil and gas operations in North Sea since 1960s.
  
  
• Key players operating in the United Kingdom offshore decommissioning market include Veolia Environnement S.A., Derrick Services (UK) Ltd, Perenco SA among others. Consolidation is expected in the market with large international contractors acquiring smaller regional players to benefit from economies of scale.
  

Market Trends:

Rise in complex heavy lifting projects: With numerous large platforms and modules reaching the end of their lifecycle, there is growing demand for specialized heavy lifting and marine operations. For example, in 2023-24 complex projects such as the deepwater Leviathan and Tyra platforms in Denmark and Mariner field in UK are scheduled for removal.

Advanced engineering solutions: To safely and cost-effectively dismantle huge offshore infrastructures, contractors are increasingly adopting innovative engineering technologies such as modular lifting, simultaneous operations, hydraulic shears and mega-lifts. For instance, use of floating heavy lift vessels capable of lifting 10,000 tons is transforming heavy lifting capacity in the industry.

Recent Developments:

• In November 2022, there were more than 2,000 abandoned oil and gas wells in the North Sea, and the high number of abandoned wells is expected to lead to an increase in activity as operations worth US$ 21.72 billion are decommissioned and shut down. The research was conducted by industry, Offshore Energies UK (OEUK), formerly Oil & Gas UK, which provides fresh insight into petroleum decommissioning efforts.
• The HAF Consortium, Heerema Marine Contractors, and AF Offshore Decom were contracted to execute the operation on behalf of Abu Dhabi National Energy Company PJSC (TAQA). The operation, which was the latest in TAQA’s extensive Uk Continental Shelf decommissioning program, involved the removal and transport of more than 12,000 metric tons of material from the Brae field in the U.K. North Sea.

For more detailed information click here: https://www.coherentmi.com/industry-reports/united-kingdom-offshore-decommissioning-market

Market Opportunities for the United Kingdom Offshore Decommissioning Market:

Removal Services:

Removal services form an important part of the decommissioning process. It involves removal of offshore structures and facilities such as topsides, jackets, modules, and pipelines. Removal of offshore structures is a complex operation that requires proper planning and use of specialist equipment. Several methods are used for removal including the use of heavy lift vessels or float over operations. Removal services accounted for over 30% of the overall United Kingdom offshore decommissioning market in 2023 due to large number of aging platforms in shallow and deep waters of the North Sea.

Disposal Services:

Disposal of offshore facilities and platforms is another key market for decommissioning services. It involves transportation of decommissioned infrastructure to disposal and recycling yards. Recycling and disposal of steel and other materials from decommissioned assets provide opportunities for circular economy. Disposal services are expected to witness significant growth during the forecast period supported by increasing number of mature fields in UK waters reaching end of field life. Stringent environmental regulations related to offshore disposal are also driving the need for recycling and reuse of decommissioned materials.

United Kingdom Offshore Decommissioning Market Segmentation:

• By Service:
  • Removal
  • Disposal
  • Remediation and Environmental Studies
  • Modelling and Sampling
  • Waste Mapping and Handling
  • Others (Stress Analysis, Lifting and Rigging Procedures, etc.)
• By Water Depth:
  • Shallow
  • Deep Water
  • Ultra Deep Water
    

Purchase Latest Edition of this Research Report @ https://www.coherentmi.com/industry-reports/united-kingdom-offshore-decommissioning-market/buynow

Top Questions Answered in this Report:

1. What factors are impeding the growth of the United Kingdom Offshore Decommissioning Market?
2. What are the primary drivers fueling the growth of the United Kingdom Offshore Decommissioning Market?
3. Which segment stands out as the leading component in the United Kingdom Offshore Decommissioning Market?
4. Who are the key players actively participating in the United Kingdom Offshore Decommissioning Market?
5. Which region is poised to take the lead in the United Kingdom Offshore Decommissioning Market?
6. What is the projected CAGR for the United Kingdom Offshore Decommissioning Market?

Key insights provided by the report that could help you take critical strategic decisions?

➞ Regional report analysis highlighting the consumption of products/services in a region also shows the factors that influence the market in each region.
➞ Reports provide opportunities and threats faced by suppliers in the United Kingdom Offshore Decommissioning industry around the world.
➞ The report shows regions and sectors with the fastest growth potential.
➞ A competitive environment that includes market rankings of major companies, along with new product launches, partnerships, business expansions, and acquisitions.
➞ The report provides an extensive corporate profile consisting of company overviews, company insights, product benchmarks, and SWOT analysis for key market participants.
➞ This report provides the industry's current and future market outlook on the recent development, growth opportunities, drivers, challenges, and two regional constraints emerging in advanced regions.

Browse More Trending Reports:

Solar Panel Recycling Market: The solar panel recycling market size is expected to reach US$ 1,049.4 Mn by 2030, from US$ 298 Mn in 2023, exhibiting a compound annual growth rate (CAGR) of 19.7% during the forecast period.

Dual Axis Solar Tracker Market: The dual axis solar tracker market size is expected to reach US$ 13.76 Bn by 2030, from US$ 6.46 Bn in 2023, at a CAGR of 11.4% during the forecast period.

Magnesium Rod Market: The magnesium rod market size is expected to reach US$ 6.37 Bn by 2030, from US$ 4.27 Bn in 2023, exhibiting a compound annual growth rate (CAGR) of 6.65% during the forecast period.

About Us:

At CoherentMI, we are a leading global market intelligence company dedicated to providing comprehensive insights, analysis, and strategic solutions to empower businesses and organizations worldwide. Moreover, CoherentMI is a subsidiary of Coherent Market Insights Pvt Ltd., which is a market intelligence and consulting organization that helps businesses in critical business decisions. With our cutting-edge technology and experienced team of industry experts, we deliver actionable intelligence that helps our clients make informed decisions and stay ahead in today's rapidly changing business landscape.

Mr. Shah
                    Senior Client Partner – Business Development
                    CoherentMI
                    
                    Phone:
                    
                    U.S.: +1-650-918-5898
                    U.K: +44-020-8133-4027
                    AUSTRALIA: +61-2-4786-0457
                    INDIA: +91-848-285-0837
                    Email: sales@coherentmi.com
                    Website: https://www.coherentmi.com