Offshore drilling represents nearly 50 per cent of offshore capex within the global E&P business. This report has been prepared in recognition of
drilling’s importance to the turnover of almost every oil and gas company and service provider working in the sector. Drilling has a fundamental role in the location and extraction of all the oil and gas production that can be realized from offshore locations.
The report explains, quantifies and costs the offshore drilling market, providing historic drilling and spending trends and forecast trends over the period
2010 to 2014. It presents a series of estimates and forecasts for drilling and spending on all offshore wells and discusses key drilling events in each
country. It also provides a regional synthesis of shallow versus deep water spending and exploratory versus development spending, and includes a
broad discussion of new and improved drilling technology, looking at how this may affect the drilling spend market over subsequent years.
Key findings and highlights
• Approximately 3,110 wells are estimated to have been drilled offshore North America from 2005 to 2009, with around 95 per cent in the Gulf of
Mexico. A rounded total of 3,320 exploratory and development wells are forecast over the next five years, with around a quarter expected to be
located in deep waters.
• The only Latin American countries to have witnessed significant offshore drilling are Mexico, Trinidad and Tobago and Brazil. Approximately 1,516
wells were drilled from 2005 to 2009, with 90 per cent in these three nations. A rounded total of 1,815 exploratory and development wells are
forecast to be drilled over the next five years.
• Mexico's entire offshore region is licensed to Pemex Exploration and Production (PEP), the upstream subsidiary of Petróleos Mexicanos (PEMEX).
PEP has been trying to increase its oil output, and for a while was achieving this, mainly from its offshore fields, but since 2004 production has been
declining rapidly even as well numbers increase.
Reasons to buy
• Develop a drilling investment strategy targeted around exploration and production hotspots
• Evaluate likely technology driven growth opportunities created by the medium term evolution of the drilling sector
• Analyze how drilling spending patterns will vary between different technology sectors and geographies over a five-year forecast period