Seismic vessels are ships that are used for conducting seismic surveys in oceans and high seas. These vessels are used for pinpointing and locating the best possible subsea areas for oil drilling.
Key Drivers and Restraints of Seismic Vessel Market
The seismic vessel market is primarily driven by factors such as presence of aging oil and gas fields in onshore locations and availability of vast untapped potential of oil & gas reserves in offshore areas
Consumption of petroleum products has been increasing significantly across the globe due to rapid industrialization and urbanization. Constant rise in demand for refined products in several end-use industries has boosted investments in the exploration and production of oil & gas reserves in offshore locations. This is estimated to propel the demand for seismic vessels during the forecast period.
Volatility in prices of oil and gas is anticipated to hamper the seismic vessel market in the near future
COVID-19 Impact Analysis
In the initial phase of the COVID-19 outbreak, lockdowns were imposed across the globe to limit the spread of the disease. This led to restriction on the movement of goods and the people, thereby adversely impacting the demand for oil and gas.
Major producers of oil halted drilling activities and development expenditure. Offshore drilling activities have declined significantly due to the pandemic. Decrease in investment in offshore activities led to a drop in oil and gas spot price, thereby affecting the demand for seismic vessels.
Deep Water Application Segment Expected to Hold Prominent Share of Global Market
The global seismic vessel market can be segmented based on technology, application, and region
In terms of technology, the seismic vessel market can be divided into 2D imaging, 3D imaging, and 4D imaging. The 3D imaging segment accounted for key share of seismic vessel market in 2020, as the technology offers clearer images of geological structures. Furthermore, 3D imaging helps oil & gas companies reduce uncertainties in exploration, development, and production operations. This feature of 3D imaging is boosting the 3D imaging segment of the seismic vessel market.
Based on application, the global seismic vessel market can be segregated into shallow water and deep water. Rapid depletion of oil & gas reserves in onshore locations has led to an increase in investment of oil & gas operators in the development of offshore areas.
Europe and Middle East & Africa Expected to Constitute Major Share of Global Seismic Vessel Market
In terms of region, the global seismic vessel market can be divided into Middle East & Africa, Latin America, Asia Pacific, Europe, and North America
Europe is key region of the global seismic vessel market. Rise in E&P investments in Norway and Russia is anticipated to propel the seismic vessel market in the region. Furthermore, rise in number of mature oil & gas fields in onshore locations and decrease in production cost of oil and gas in offshore areas are expected to propel the seismic vessel market in Europe.
The seismic vessel market in Asia Pacific is estimated to witness growth during the forecast period due to the rise in demand for crude oil and natural gas as feedstock in refineries in order to meet the significantly increasing demand for petroleum product across the region. According to BP statistics, consumption of oil products increased from 7,617 thousand barrels per day in 2018 to 7,650 thousand barrels per day in 2019.
The seismic vessel market in Middle East & Africa is anticipated to expand significantly during the forecast period. Growth of the market in the region can be ascribed to the ongoing investment in discovery of oil & gas reserves in offshore locations.
Key Players Operating in Global Market
Key companies operating in the global seismic vessel market include:
MITSUBISHI HEAVY INDUSTRIES, LTD.
Ulstein Verft AS
PT. Newport Marine Services
Global Seismic Vessel Market: Research Scope
Global Seismic Vessel Market, by Technology
Global Seismic Vessel Market, by Application
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aartimule Joined: April 16th, 2020 Articles Posted: 1,188