Using VesselsValue data, Charlie Long, Commercial Offshore Analyst, explores the oil and gas industries in the Middle East, focussing on the regions of Saudi Arabia and Abu Dhabi. This article addresses the trends in S&P activity, utilisation and asset values within the Middle East Offshore markets. You can read the full piece here.Â
“The Middle East are investing heavily in their respective oil and gas industries, and making no bones about their growth and expansion plans. Saudi Arabia announced they would be rapidly scaling up oil production in the region, producing 12 million barrels per day and aiming for 13 million barrels per day by 2027. Within Abu Dhabi, state oil company ADNOC has projected a target of 5 million barrels of oil per day in production by 2025.
The mixture of market fundamentals, including the large CAPEX spending plans projected by NOCs, ageing OSV fleet, distinct lack of newbuilding seen in last 7 years, units sold out of sector and assets sold for demolition as part of some larger owners’ fleet renewal programs, leave many confident that there will be a continual positive trend ahead for the Middle East OSV market.
With Saudi Aramco proposing a target of 90 Jack Ups operating within the KSA region by the end of 2024, this has led to significant S&P activity by one KSA player. Ades International In 2022 alone, the company purchased 21 rigs and spent c. USD 1 billion. The Middle East shows no sign of slowing down and its clear they are committed to their oil and gas heritage and industry…”
The Current Middle Eastern Fleet AHTS & PSV Utilisation Using VesselsValue’s Recency of AIS Tool.
