Page 39: of Maritime Reporter Magazine (September 2014)

www.marinelink.com 39 lands and BP delaying proceeding with the $10+ billion Mad Dog 2 project in the GOM. Each deferral of a production fl oater investment decision has unique reasons – but all eventually come down to management not wanting to take the risk of proceeding. So a long list of projects ready to move to development is only part of the story. It provides the inventory of possible projects – but not the tempo of future orders. Ultimately, the pace at which potential projects will be transformed into orders for new pro- duction systems will depend on twelve underlying business drivers: • Future growth in oil/gas demand • Future need to fi nd new sources of oil/gas • Perceived risk of conventional supply disruption • Future oil/gas price expectations • Competitiveness of deepwater as a source of future supply • Relative fi nancial return fron deep water investment • Capex budgets of oil companies • Availablity of adequate drilling equipment for deepwater E&D • Constraints in the supply chain • Cost escalation in deepwater development • Access to fi nancing of deepwater equipment • Major environmental incident involving deepwater production

All drivers have an impact on the num- ber and timing of future production fl oater orders. A new fl oating production report out shortly examines each of these business drivers and provides a detailed forecast of production fl oater orders over the next fi ve years (2015-2019). Details for the new IMA fl oating production report and the accompanying business intelligence database are available at www.worldenergyreports.com

IMA provides market analysis and stra- tegic planning advice in the marine and offshore sectors. Over 40 years we have performed more than 350 business consulting assignments for 170+ clients in 40+ countries. t: 1 202 333 8501; e: [email protected]

Breakdown of Planned

Projects by

Location of Field (As of September 1, 2014)

Project Location # of Projects

Africa 49

Brazil 43

SE Asia 39

GOM 24

No. Europe 23

Aust/NZ 16

Medit 10

SW Asia 10

Other 15

Total 229

Breakdown of Planned

Projects by Type of

Production System (As of September 1, 2014)

Type System # of Projects

FPSO 133

Other FPS 29

FLNG 32

FSRU 20

FSO 15

Total 229

Number of Floating Production and Storage Units

In Service, On Order or Available for Reuse (As of September 1, 2014) Total Active On Order Available

Oil/Gas Production

FPSO 216 161 38 17

Production Barge 10 8 2 0

Production Semi 48 41 2 5

Production Spar 22 20 2 0

TLP 28 24 4 0

Total 324 254 48 22

LNG Production

FLNG 5 0 5 0

FSRU 24 13 11 0

Storage Systems

FSO 102 93 8 1

Chart 1

Chart 2 Chart 3

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