UK subsea sector grows 30%

Source: Offshore247

A new study carried out by Arthur D. Little and commissioned by industry body Subsea UK has revealed that the Subsea oil and gas sector has grown from £3.35 billion in 2006 to £4.3 billion in 2007.

Stephen Rogers, Global head of ADL’s energy practice, said: "The subsea market has shown a strong revenue growth of 29% in the last year, driven by increased demand and rising raw material costs.

“ADL’s data shows that an increasing percentage of oil and gas production is based on subsea production; for example our most recent estimates indicate that 29% of UK production is from subsea tie-backs, compared to 23.5% in 2003. As a result, Arthur D. Little market research forecasts continued growth for the medium term."

The year-on-year growth rate exceeds market expectations with further increases expected for the short term, the company added.

Some 800 companies, providing direct employment