Page 49: of Offshore Engineer Magazine (Aug/Sep 2015)

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Southeast Asia

PFLNG-1. Photo from Petronas.

Bach Ho oil feld in Cuu Long basin. Photo from PetroVietnam.

service markets collectively earned rev- and the commercialization of gas felds enues of $200 billion in 2014, this is set throughout the region. to reach $241 billion in 2018.

“One such key bellwether will be the “Despite the oil price situation, the

Lengo feld also in Indonesia, which SEA offshore oil and gas services market looks to capitalize on the local East Java managed to generate revenues of $25 gas market. But the fnal investment billion in 2014,” notes the frm’s energy decision (FID) will heavily depend on the and environmental consultant, Daniel long-term contract prices currently under Wicaksana.

negotiation,” Gatdula says. “A lot of different players ranging

Located 197ft in the Bulu production from large multinational companies to sharing contract (PSC), the Lengo feld medium- to small-sized regional and

Petronas engineers. Photo from Petronas.

operated by KrisEnergy is estimated to local companies have been driving total produce some 70 MMcf/d of gas. market revenues,” Wicaksana explains. associated with deepwater work,

Furthermore, a report by consulting global exporters of LNG.

Issues and challenges national oil companies (NOC) will have frm Frost and Sullivan revealed that “While deepwater prospects within to work with experienced operators and

Malaysia and Indonesia are set to become While aging offshore infrastructures and the region have been on the increase, contractors from outside the region,” the most lucrative markets in SEA’s off- declining production are particular chal- we have seen a number of delays over she adds.

shore oil and gas services sector. lenges in SEA, the Indonesian offshore the last eight months, although Infeld

With both countries witnessing the sector lacks investment, Podevyn says. Systems does not expect the current low GlobalData expects operators to push highest exploration activities, they will Coupled with rising domestic energy oil price to prevail over the long-term,” equipment and service providers even become the largest markets for offshore demand, this has resulted in the country Podevyn says. harder in cost reductions in the offshore “Deepwater development also brings support and pipeline services. now facing the possibility of becom- sector, as refected by the signifcant drop with it operational and technical chal-

The report found that while global ing a net gas importer by the end of the in day rates for rigs in the region. lenges, and in a region not traditionally drilling, marine and pipeline support decade, despite being one of the leading “We also anticipate operators oedigital.com August 2015 | OE 51 050_OE0815_Geofocus1_Raj.indd 51 7/21/15 9:56 PM