Global Market Outlook Ð The Energy Sector
19 January, 2011
Global Market Outlook – The Energy Sector
19 January 2011 Aberdeen Branch Lunch Seminar
Chairman Alistair Birnie, CEO, Subsea UK
Sponsored by Infield and Quest Offshore
Over the past two years there has been significant fluctuations in the global energy market, caused by the financial situation/global recession, which in turn has affected energy prices.
However 2011 would appear to be the turning point and this evening meeting’s presentations reviewed the opinions of two major market analysts and their viewpoint for 2011 and beyond. This included a debate on the impact to the UK’s subsea industry but more importantly the overall global market.
Kader Dicko, Analyst, Infield
As the oil and gas industry is slowly recovering from the global financial crisis and the Macondo disaster, albeit with a looming fear of a double dip recession due to the European sovereign debt crisis, the global subsea and offshore construction market shows some promising signs of revival in the near future. Strengthening oil prices and rising tendering activities for subsea production systems and offshore construction activities will eventually improve the market in the medium term on the back of higher project sanctioning. Whilst contract awards in the North Sea have been slow to pick up in 2010, we expect a more buoyant level of activity from late 2011/early 2012. The aim of this presentation was to illustrate the current state and medium term outlook of the subsea and offshore construction market on a global scope.
Caitlin Shaw, Director Market Research & Data Division, Quest
Quest Offshore, a leading provider for deepwater market intelligence, focused this presentation on the future of the global subsea market. The subsea market has been truly dynamic in the past few years as the industry adjusts to a number of global events, but with growing confidence in the future, activity is expected to regain significant momentum. THe presentation explained to attendees where the market has come from in recent years and how that will change in the future and the drivers behind those changes.