Surging Investments in Oil and Gas Industry Augur Well for AIM Services Adoption
Asset integrity management (AIM), a continuous process of applying the knowledge and experience throughout the life cycle to manage the risk of failures, and events in design, construction, and during operation of facilities, aims to ensure the optimal production without compromising on safety, health, and environmental requirements. AIM services include inspection, risk assessment, maintenance, obsolescence mitigation, corrosion services, process safety, mechanical integrity services, and health, safety & environmental strategies (HSE). The oil and gas asset integrity management services market is primarily driven by an increasing number of investments in the global oil and gas industry to meet the escalating demand.
A greater number of oil and gas companies have been realising the significance of improved operations, and profitability, and thus investing efforts in achieving the same. This is also a prime factor driving the demand for AIM services. As a large number of wells around the world are maturing, a large number of oil and gas companies are focusing on exploring new oilfields, as well as improving the recovery rates of existing fields to meet the future demand pull. However, technological challenges continue to limit the desired improvement process. Moreover, lack of proper support from oil and gas companies remains the key reason behind limited effectiveness of AIM, which is thereby affecting the growth of the global oil and gas AIM services market.
High CAPEX/OPEX, Followed by Falling Oil and Gas Prices, to Restrain Market Growth
Asset integrity management services offer help to framework, offices, and equipment through the origination, plan, development, dispatching, activities, and decommissioning stages. An effective AIM programme fuses plan, upkeep, examination, cycle, activities, and the board ideas since this load of disciplines holds an influence on the uprightness of foundation, and gear. The objective of resourcing the executives is to viably oversee corporate resources to acquire the most extreme worth, productivity, and returns while protecting workforce, the local area, and the climate. The offshore oil and gas platforms are exposed to serious sea flows, destructive saltwater, and successive typhoons. In contrast to penetrating apparatuses, which are versatile, stages cannot be brought to the shore for fixes. A considerable lot of the stages are exceptionally old, and the support records are either absent, or untrustworthy. With the maturing foundation, the global demand for AIM services in the oil and gas area is relied upon to increment in order to draw out the existence of these resources. Nonetheless, the lower costs of oil and gas prompted decreased consumption on CAPEX, and OPEX by a few significant AIM service providers, globally. This factor is expected to obstruct the growth of the market.
Oil and Gas Downstream Sector Set for Notable Developments
The oil and gas refineries, and other interaction plants tend to generate significant demand for asset integrity management services so as to assist with the exhibition of resources, complete assessments, and work on the unwavering quality of equipment, plant security, and benefit. The worldwide refining area is seeing an expanded interest for refined items from the chemical, and petrochemical industries. The higher edges have pushed the break spread, which is a significant factor for the benefit of oil refiners. The capacity expansion of refineries also might lead the way as industry players put resources into foundation that can deal with more unrefined petroleum. Moreover, the construction, and the plan of plants are becoming complicated step- by-step. Besides, in the past two decades, many significant mishaps have been recorded across the process plants worldwide, inferable from the variables, similar to defer in giving hardware for examination, overstretching gear run, ill-advised support rehearses, and not endeavouring legitimate review upon fix. The refining companies have thus been effectively, rather optimally utilising resources with an aim to reduce overall costs. Consequently, the downstream area is anticipated to observe critical developments during the estimated time frame.
North America Dominates on Back of Ageing Infrastructure; Asia Pacific Holds High-growth Opportunities
Generally, oil and gas industry assets like rigs, offshore platforms, and pipelines are used much beyond their design life. AIM service providers serve to regularly maintain the assets of oil and gas companies so that they experience the maximum productivity. The safety, and reliability of these services can be further enhanced if companies opt for tailor-made AIM programmes to meet their specific needs, and thereby achieving risk management, and regulatory compliance. Currently, North America has one of the most seasoned halfway oil and gas midstream foundations, with many oil and gas pipelines established more than 40 years ago. The upstream framework in the region is likewise maturing. A greater part of the active platforms in the Gulf of Mexico (GOM) is more seasoned than 25 years. Besides, the current upstream, and halfway framework in the area is huge. The US has about 2.5 million km of oil and gas pipeline, while Canada has around 800,000 km of pipeline. Because of the massive, ageing oil and gas infrastructure, North America will continue to generate substantial demand for oil and gas asset integrity management services during the projection period. China, and India, accounting for a majority of oil consumption globally, will also raise notable demand for oil and gas AIM services. While North America continues to lead its way in the global oil and gas AIM services market, followed by Asia Pacific, the latter is expected to exhibit a remarkable growth rate during the period of forecast - most likely overtaking the North American market over the next five years.
Competitive Landscape Analysis of Global Oil and Gas AIM Services Market
Some of the key players in the oil and gas asset integrity management services market include SGS SA, Intertek Group plc, Applus+, Element Materials Technology, DNV GL, TWI Ltd, Bureau Veritas S A, Fluor Corporation, Technip FMC, Aker Solutions ASA, Worley Parson Limited, Oceaneering International Inc., GE, and SRJ Technologies. In August 2021, Oceaneering International, Inc. secured a new multi-year contract in Papua New Guinea (PNG) with a major operator. The three-years contract comes with two one-year extensions. The same month, a leading engineering and containment management solutions provider SRJ Technologies also won a supply contract with BoltEx inventory to facilities owned by one of the world’s largest producers of gas, and liquefied natural gas (LNG) - Qatar Petroleum. Furthermore, Chevron Australia Pty Ltd (Chevron) awarded Worley a contract for the provision of engineering and construction management services in support of Chevron’s Jansz-Io Compression (J-IC) project.