Orders for Floating Production Storage & Offloading facilities are likely to remain high this year.
Operators will proceed with the development of larger fields even in a recession, according to ODS Petrodata.
Analyst Kelvin Sam is predicting orders for at least 15 FPSOs in 2011 compared to 23 last year, an exceptional year boosted by an eight-unit order from Brazil’s Petrobras to develop the country’s deepwater oil and gas resources.
Compatriot OGX has also emerged as a major force after ordering 4 units this year.
ODS is less optimistic about the prospects for 2012 and predicts 10 to 15 FPSOs will be ordered because of the risk of a recession, higher costs and tighter capacity at yards.
Currently there are more units under construction than at any time in the last three years and Korean players Hyundai Heavy Industries, Daewoo Shipbuilding & Marine Engineering and Samsung Heavy Industries have record backlogs for orders including rigs and ships.
Should oil prices remain at current levels ODS expects deliveries to peak again around 2014/15 absorbing spare capacity in Korea.