June 2022 Monthly Floating Production Systems Report
Global oil demand continues to rebound from the pandemic low. At the current growth trajectory, by end-2023 global oil consumption is expected to surpass pre-pandemic level. Meanwhile, global oil supply has had difficulty keeping up with growing demand and the market remains tight. As a result, crude has been trading above $100, generating record profits for E&P operators – and slowly coaxing more operators to increase capital spending on new projects. We expect this to continue. As detailed in the report, deepwater development remains very strong, with more than 30 production floater contracts queued for the award over the next 18 months. The limiting constraint will be the ability of the supply chain to keep up with the pace of demand for new production facilities. All is discussed in WER's June floater report. Also in the data section of the report are details for 194 floater projects in the planning stage, 68 production or storage floaters now on order, 304 floating production units currently in service, and 22 production floaters available for redeployment contracts. Accompanying excel spreadsheets provide the report data in sortable format. Information is current as of 30 June.