The FPSO market in North America is expected to grow from US$ 1,650.80 million in 2021 to US$ 2,477.67 million by 2028; it is estimated to register a CAGR of 5.9% from 2021 to 2028.
A significant increase in oil and gas production in deep and ultra-deepwater is the major factor driving the North America FPSO market growth. The industrialization of the deep sea is growing globally. Deepwater areas are one of the important fields for increasing oil and gas reserves and production. Hence, they are emerging as a hotspot for North America oil and gas exploration due to the depletion of easily accessible oil and gas resources and technological improvements.
The FPSO market is stimulated by rising offshore operations in deepwater and ultra-deep seas due to increased investments in such areas. According to EIA, the US produces the bulk of oil and gas from deepwater and ultra-deepwater. Since the last decade, the share of crude oil output from deepwater or ultra-deepwater developments has been growing in this country.
The oil & gas exploration companies, such as Equinor ASA, increasingly focus on deepwater and ultra-deepwater oil and gas extraction. For instance, in 2022, Shell started producing oil at the PowerNap field, with the highest estimated production of 20,000 barrels of oil equivalent per day. Further, in 2018, Equinor ASA Corporation announced that the Equinor ASA-operated Big Foot deepwater project, located in the US has started crude oil and natural gas production. Thus, rising oil and gas production in deepwater and ultra-deepwater is driving the demand for the integration of FPSOs into the ships used to explore oil and gas, which fuels the growth of the FPSO market.
With new features and technologies, vendors can attract new customers and expand their footprints in emerging markets. This factor is likely to drive the North America FPSO market at a notable CAGR during the forecast period.
The North America FPSO market is segmented into water-depth, hull, mooring, construction, and country. Based on water depth, the market is segmented into shallow water, deep water, and ultra-deep water. The shallow water segment held the largest market share in 2021. Based on hull, the market is bifurcated into single hull and double hull. The double hill segment held a larger market share in 2021. Based on mooring, the market is divided into spread mooring and disconnectable mooring. The spread mooring segment held a larger market share in 2021. Based on construction, the market is bifurcated into newly built and converted. The converted segment held a larger market share in 2021. Based on country, the North America FPSO market is segmented into the US, Canada, and Mexico. Further, the US held the largest market share in 2021.
BW Offshore; CNOOC Limited; Energies; Equinor ASA; Exxon Mobil Corporation; MODEC, Inc; Petrobras; SBM Offshore; and Shell Plc are among the leading companies operating in the North America FPSO market.