Press Release

South America FPSO Vessel Market growth to Grow with a robust CAGR through to 2028

Rising exploration in deep- and ultra-deepwater is expected to drive the South America FPSO Vessel Market growth in the forecast period, 2024-2028.

 

According to TechSci Research report, “South America FPSO Vessel Market - By Country, Competition, Forecast and Opportunities, 2018-2028”, the South America FPSO Vessel Market is expected to register robust during the forecast period, 2024-2028. The industrialization of the deep sea is expanding globally. Deepwater areas are crucial for boosting oil and gas reserves and production on a global scale. As a result, they are becoming a focal point for oil and gas exploration due to the depletion of easily accessible resources and advancements in technology. Consequently, the South America FPSO Vessel market is experiencing significant growth.There is an increasing focus on sustainability and environmental responsibility within the oil and gas industry, prompted by regulatory changes and ESG (Environmental, Social, and Governance) considerations. FPSOs provide companies with the chance to showcase their dedication to sustainable practices through emissions reduction, waste management, and responsible material sourcing. Meeting these environmental standards can bolster the reputation and competitiveness of FPSO projects in the South American market.

 

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Based on carrier type, Converted segment has emerged as the predominant market leader. Regulatory frameworks in South American countries, particularly Brazil, incorporate local content requirements that significantly impact the FPSO market. Ensuring compliance with these regulations is imperative for operators, often necessitating partnerships with local businesses and the development of a robust domestic supply chain. Moreover, South American governments are progressively implementing stricter environmental regulations and adopting ESG criteria for offshore operations. This industry segment entails the adoption of sustainable practices, emissions reduction, waste management, and responsible sourcing of materials to meet both regulatory standards and market expectations. Technological advancements form an integral part of the FPSO industry, with continuous innovations in design and operations. The integration of digitalization, automation, AI, and IoT technologies has significantly enhanced operational efficiency, safety, and environmental performance. Notably, digital twin technology and data-driven operations have emerged as distinct segments, empowering operators to optimize production, simulate scenarios, and predict equipment failures. Leveraging data for proactive maintenance and operational decision-making is the primary focus of this segment. The FPSO market is witnessing an evolving landscape, characterized by the emergence of smaller, specialized operators and international companies exploring niche opportunities. This market segment underscores the diversification of market players and emphasizes the potential for collaboration between local and international entities. Collaboration plays a pivotal role, driving innovation, knowledge exchange, and fostering the development of FPSO projects through partnerships between international oil majors, national oil companies, and service providers.

Based on propulsion, Self-propelled segment is expected to grow during the forecast period. South America, like numerous regions, has been implementing stricter environmental regulations in response to concerns about climate change. This has exerted pressure on the industry to adopt cleaner propulsion technologies. FPSOs equipped with advanced self-propelled systems can efficiently navigate to various offshore locations, minimizing downtime and enhancing operational flexibility. Improved propulsion technology also plays a critical role in station-keeping, ensuring the stability of FPSOs in challenging offshore conditions. Local shipbuilders and technology providers are actively contributing to the advancement of self-propelled propulsion technologies. The increasing demand for clean energy and the imperative to reduce greenhouse gas emissions present opportunities for companies offering innovative propulsion solutions. Collaborations and partnerships among energy companies, shipbuilders, and technology providers can expedite the adoption of advanced propulsion systems. The South America FPSO vessel market is projected to continue its growth, with a likely shift towards more sustainable and efficient technologies in the self-propelled propulsion segment. As the industry strives to achieve environmental targets, increased investment in research and development to further advance propulsion technology is expected.


Major companies operating in South America FPSO Vessel Market are:

  • Petrobras
  • SBM Offshore
  • MODEC
  • Teekay Offshore Partners
  • Yinson Holdings Berhad
  • BW Offshore
  • Bluewater Energy Services
  • Ocyan
  • COSCO Shipping Heavy Industry
  • Karoon Energy


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“Brazil is expected to dominate the market during the forecast period. Brazil has emerged as a leader in technological advancements for FPSO design and operation. The integration of digitalization, automation, and advanced materials has significantly enhanced the efficiency, safety, and environmental performance of FPSO projects. These technological advancements not only boost the competitiveness of FPSOs, but also establish Brazil as a prominent hub for innovation in the offshore oil and gas industry.,” said Mr. Karan Chechi, Research Director with TechSci Research, a research-based management consulting firm.

South America FPSO Vessel Market By Product Type (Oil, LPG and LNG), By Carrier Type (New built, Converted and Others), By Water Depth (Shallow, Deep and Ultra-deep), By Propulsion (Self-propelled, Towed, Single-hull and Double-hull), By Country, By Competition Forecast & Opportunities, 2018-2028”, has evaluated the future growth potential of South America FPSO Vessel Market and provides statistics & information on market size, structure and future market growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in South America FPSO Vessel Market.


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