The Assignment / Client’s Problem

  • In-depth review of short-to-medium term opportunities for self-elevating support vessels (SESVs) within the core oil and gas (O&G) market
  • Review the Western European offshore wind (OWF) market in order to evaluate the scale of opportunity for traditional O&G focussed SESVs
  • Can a traditional O&G SESV company transition seamlessly into OWF?

Westwood’s Approach & Analysis

  • Use of proprietary data for offshore platforms, subsea hardware, and offshore wind projects, with global coverage of each market
  • Bespoke modelling exercise provided market size and supply/ demand estimates by vessel type in the form of vessel days and unit demand. Further segmentation by workscope served to differentiate between Opex and Capex-led activities
  • In-depth examination of regional SESV fleet to understand operator KPIs within O&G, as well as to identify vessel suitability for OWF workscopes
  • Industry consultations with key stakeholders and SESV customers to assess market outlook, competitive landscape, and regional preferences

The Outcome & Benefit

  • Concluded that O&G is likely to remain challenged until the end of the decade, with downward pricing pressure unlikely to yield due to the oversupply of SESVs
  • Review of the OWF market and regional fleets identified tangible opportunities – future project listings were also presented
  • Generated five-year utilisation and day rate forecasts by specification classes
  • The OWF installation market could become undersupplied by the end of the decade, presenting opportunities for O&G-centric SESV contractors, although at comparatively lower day rates