Slow new cycle. I’m milking my sources for all they are worth.
Dateline 2015-05-13. Marketwatch:
“A lot of different players ranging from large multinational companies to medium- to small-sized regional and local companies have been driving total market revenues,” he added.
As the shallow water oil fields in Asia start to mature, O&G companies are facing the pressure of declining production. As a result, O&G companies based in countries such as Malaysia and Indonesia are developing deepwater fields. With Malaysia and Indonesia witnessing the highest exploration activity in Southeast Asia, these countries will become the largest markets for O&G offshore support services and pipeline services.
Nevertheless, existing challenges such as tackling the high risks of working in remote locations, extreme weather, and shortage of highly skilled human resources could reduce deepwater drilling to some extent. This, along with the need for offshore O&G service providers to comply with complex government regulations, could negatively impact the market growth.