The global capital expenditure value in the subsea production & processing systems market is set to reach $8.89 billion in 2012.
With production equipment located on the seafloor rather than on a fixed or floating platform, subsea processing provides a less expensive solution for myriad offshore environments. Originally conceived as a way to overcome the challenges of extremely deepwater situations, subsea processing has become a viable solution for fields located in harsh conditions where processing equipment on the water's surface might be at risk.
Subsea systems not only enable operating companies to optimise production from offshore fields, they also increase the total amount of recoverable hydrocarbons over the life of the well. For example, with pressure boosting systems, total oil recovery rates are significantly increased. Some deepwater oil and gas reservoirs would not have been fully exploited without the aid of subsea systems.
Subsea production and processing systems are advancing further to enable companies to produce from very sensitive and harsh environments such as the Arctic and high temperature, high pressure (HTHP) reservoirs. Subsea systems will not be affected by surface ice formations unlike floating platforms and can provide more controlled production from HTHP wells.
The world market for subsea hardware is also set for strong growth over the period to 2015, growing at a compound annual growth rate of 23%. Projections for the period suggest market value could total $139 billion.
For more information on the subsea production & processing systems market, see the latest research: Subsea Production & Processing Systems Market
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