Authored By: Sarah
11 Jul 2024

 Offshore Drilling Rigs Market Size to grow by USD 1861.1 million between 2024-2028

According to a research report “ Offshore Drilling Rigs Market” by Type (Bottom-supported rigs, Floating rigs) Application (Shallow water, Deepwater, Ultra-deepwater) Geography (North America, Middle East and Africa, Europe, APAC, South America)- Global Forecast to 2028 published by Technavio, the market size is estimated to grow by USD 1861.1 million, at a CAGR of almost 2.09% during the forecast period. In light of escalating energy demands driven by population growth and industrialization, countries are actively pursuing untapped oil and gas resources through advanced technologies. The depletion of conventional oilfields' production poses a significant challenge, leading oil and gas operators to invest heavily in mature fields to optimize revenue. Upstream investments by oil and gas E&P companies are surging to enhance production, thereby fueling the demand for offshore drilling rigs. This trend is anticipated to persist, bolstering offshore drilling rig market growth throughout the forecast period.

Browse market data tables, figures, and in-depth TOC on “Offshore Drilling Rigs Market” by Type (Bottom-supported rigs, Floating rigs) Application (Shallow water, Deepwater, Ultra-deepwater) Geography (North America, Middle East and Africa, Europe, APAC, South America) Global Forecast to 2028. Download Free Sample

 

By Type, the Bottom-supported rigs segment is projected to dominate the market size in 2024

In the offshore drilling industry, shallow water is currently defined as depths below 1000 feet (305 meters). Jackup rigs, submersibles, and drill barges are the preferred equipment for drilling in this category. Among these, jackup rigs are the most widely used due to their versatility and cost-effectiveness. They are particularly suitable for water depths up to 400-500 feet (122-152 meters). However, advanced jackup rigs can operate in deeper waters. The selection of a jackup rig is contingent upon several factors, including the rig's age, specifications, operational location, and weather conditions.

By Application, Shallow water  segment is expected to hold the largest market size for the year 2024

In the global offshore drilling rigs market, bottom-supported rigs, which include jack-up rigs and platform rigs, held a significant market share in 2023. Jack-up rigs, characterized by their retractable legs that are secured to the seabed, are widely adopted due to their mobility and cost-effectiveness. However, their operational depth is limited to the length of their legs, typically up to 500 feet. Conversely, platform rigs, with their fixed steel columns anchoring the drilling platform, offer greater operational depth capabilities but come with higher costs and complex installation processes.

North America is forecasted to hold the largest market size by region in 2024

The Offshore Drilling Rigs market represents a significant business opportunity for key players, driven by increasing energy demand and the exploration of deepwater resources. This sector's growth is underpinned by advancements in drilling technology, which enable efficient and cost-effective operations in challenging environments. Market size is expected to expand, driven by investments in offshore projects and the need for energy security.

The Offshore Drilling Rigs Market growth and forecasting report also includes detailed analyses of the competitive landscape of the market growth and forecasting and information about 20 market companies, including:

  • Archer Ltd.
  • China Oilfield Services Ltd.
  • Diamond Offshore Drilling Inc.
  • Helmerich and Payne Inc.
  • KCA Deutag Alpha Ltd.
  • Nabors Industries Ltd.
  • Noble Corp. Plc
  • NOV Inc.
  • Parker Drilling Co.
  • Patterson UTI Energy Inc.
  • PR Marriott Drilling Ltd.
  • Precision Drilling Corp.
  • Saipem S.p.A.
  • Schlumberger Ltd.
  • Seadrill Ltd.
  • Stena AB
  • Transocean Ltd.
  • Valaris Ltd.
  • Weatherford International Plc
.

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Research Analysis Overview

The Offshore Drilling Rigs market is witnessing significant growth due to the exploration and production of shallow water reserves, untapped oil and gas reserves in onshore and offshore regions, and the latest drilling technologies. Advanced drilling rigs with dynamic positioning systems and subsea systems are increasingly being used for drilling activities in deepwater and ultradeepwater areas. These rigs are equipped with the latest technology to ensure operational viability in the challenging aquatic environment, while minimizing fuel consumption and reducing environmental impact. Drilling in deepwater and ultradeepwater areas involves the use of advanced equipment and drilling technologies, such as those used in the Winterfell project, which can drill wells in water depths of up to 3,000 meters. However, rising environmental concerns and the need to protect the marine environment have led to increased scrutiny of drilling activities, particularly in untapped regions. Natural gas consumption is also a concern, as natural gas is a significant component of drilling operations and fuel consumption. Overall, the Offshore Drilling Rigs market is expected to continue growing, driven by the need to extract untapped resources and the efficiency gains offered by the latest technology.

Market Research Overview

The Offshore Drilling Rigs market is witnessing significant growth due to the increasing exploration activities in untapped regions, particularly in deepwater and ultradeepwater areas. Companies like Velesto Drilling and Vestigo Petroleum are leading the charge, utilizing advanced drilling technologies such as jackup rigs, drillships, and subsea systems to access deepwater reserves. These rigs, equipped with dynamic positioning and machine learning capabilities, enable efficient drilling in challenging marine environments. Key players, including Wintershall and Perro Negro7, are investing in the latest technology to make onshore drilling more efficient and reduce fuel consumption. However, rising environmental concerns and the need for infrastructure to support offshore drilling activities present challenges. The market for offshore drilling rigs is expected to grow, driven by energy demand and the exploration of untapped oil and gas reserves. The Norwegian Continental Shelf, for instance, holds significant shallow water and deepwater gas reserves, making it a hotspot for upstream companies. The use of advanced drilling technologies and subsea systems is crucial for the operational viability of deepwater and ultradeepwater activities. The future of offshore drilling lies in the integration of artificial neural networks and machine learning to optimize drilling activities and well intervention, while minimizing natural gas consumption and ensuring the aquatic environment remains protected.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/

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