The Subsea Umbilicals, Risers, and Flowlines (SURF) Market is estimated to be valued at US$ 43.47 Bn in 2023 and is expected to exhibit a CAGR of 10% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

The SURF market comprises products that are used for gathering, processing, and transporting hydrocarbons from seafloor wells to offshore platforms or platforms located on land. SURF products include umbilicals, risers, and flowlines. Umbilicals are flexible pipes that transfer electric power, hydraulic fluid, and chemical injection from offshore platforms to subsea wellheads, blowout preventers, and other subsea components. Risers are steel pipes that connect the subsea wellhead to the offshore platform. Flowlines transport hydrocarbons from wellheads located on the seafloor to connecting manifolds located either on the seafloor or on offshore platforms.

Market Dynamics:

The SURF market is expected to grow at a robust pace during the forecast period due to rising demand for energy and increasing offshore oil and gas exploration and production activities. Rising energy demand from emerging economies coupled with depleting onshore reserves is prompting oil and gas companies to tap into deepwater and ultra-deepwater reserves. According to the International Energy Agency, about 30% of new oil and gas exploration projects between 2020 and 2025 targeted offshore ultra-deepwater reserves. This rising trend of offshore exploration and production is anticipated to drive demand for SURF systems to develop subsea oil and gas infrastructure.

Furthermore, technological advancements in the areas of flexible pipe lining, connectors, and coatings are enabling the sustainable development of reservoirs located in deeper waters and harsher environments. Advanced SURF products that can withstand higher pressures and temperatures are providing access to reserves that were previously not economically or technically viable. This is expanding the addressable market for SURF system providers and supporting strong revenue growth over the forecast period.

Segment Analysis

The global SURF (Subsea Umbilicals, Risers, and Flowlines) market is divided into umbilicals, risers and flowlines segments. The umbilicals segment currently dominates the market, accounting for over 35% share due to increase in deepwater and ultra-deepwater projects that require long and heavy duty umbilicals for subsea production systems.

PEST Analysis

Political: Stable political policies related to offshore oil & gas exploration and production in major economies is boosting investments.

Economic: Recovery in oil prices has improved profitability of oil & gas companies and ramped up offshore capital expenditure.

Social: Growing energy needs is increasing reliance on offshore oil reserves.

Technological: Advancements in subsea technologies enable exploitation of reserves in deeper waters.

Key Takeaways

The global SURF (Subsea Umbilicals, Risers, and Flowlines) market is expected to witness high growth, exhibiting CAGR of 10% over the forecast period, due to increasing offshore exploration and production activities, particularly in deep and ultra-deepwater reserves. The market size for 2023 is estimated at US$ 43.47 Bn.

North America currently dominates the market, supported by ongoing offshore projects in Gulf of Mexico. Growing hydrocarbon reserves in offshore locations of Latin America and Asia Pacific are likely to boost demand over the coming years.

Key players operating in the SURF (Subsea Umbilicals, Risers and Flowlines) market are Prysmian Group, Aker Solutions, TechnipFMC plc, SUBSEA 7, Saipem S.p.A., McDermott International, Ltd., DeepOcean Group Holding BV, Schlumberger, Halliburton, NOV Inc., Vallourec, Oceaneering International, and Siemens. The companies are engaging in contracts to supply SURF systems for offshore oil & gas projects and adopt strategies like mergers & acquisitions to gain competitive advantage.

Regional analysis

The Asia Pacific region is expected to witness fastest growth in the market Supported by increasing offshore activities in countries like India and China as they aim to boost domestic production to meet rising energy demand. Major ongoing and planned offshore projects in Brazil and Guyana will likely aid growth of Latin America market over the forecast period.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it