‘Delicate recovery’ continues for offshore operations

Global offshore prospects for 2010 call for a “delicate recovery” according to Steven Kopits, MD, Douglas-Westwood, speaking at the opening plenary session of DOT in Houston.

Offshore staff

HOUSTON -- Global offshore prospects for 2010 call for a “delicate recovery” according to Steven Kopits, MD, Douglas-Westwood, speaking at the opening plenary session of DOT in Houston.

There are positive signs for the near-term, Kopits said, including recent increases in US GDP and consumer spending. However, this good news is counter-balanced by high personal debt, high unemployment, and deficit spending.

Looking specifically at offshore exploration and production worldwide, Kopits said spending in 2010 should be up 11% over 2009 at $439 billion. The offshore drilling spend is expected to rise 57% to 2013, reaching $89 billion, and operations and maintenance spending should total $330 billion over the next five years.

In looking ahead, Kopits said that it is necessary to differentiate between shallow water and deepwater activities when predicting levels of spending

02/02/2010

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