Oil Spill Management Market To Generate $179.6 Billion Revenue by 2030

The oil spill management market size is expected to advance at a CAGR of 3.2% during 2022–2030, to reach $179.6 billion by 2030.

The growth of the market is attributed to the implementation of stringent government regulations, rising incidence of hull breaching of tanker ships, and surging offshore drilling activities to meet the ever-increasing oil demand. The associated methodologies are largely used to lessen the long-term ecological impact of the undesired discharge of oil on the land and in waterbodies. The spills’ effect lasts for decades, which is why suitable pre- and post-spill methods have become essential to prevent and control the hazards.

High Contribution from Offshore Market

The offshore category captured the larger market share, around 70%, in 2022, as offshore E&P firms try to match the ever-increasing oil demand and manage the spills before and once they occur, to avert destructive effects on waterbodies and the aquatic life. Further, the rapid increase in the offshore exploration activities in recent years is expected to drive the offshore category with a significant CAGR in the future.

Wide Usage of Mechanical Containment Technology

Within the post-oil spill management market, mechanical containment methods held the largest share, of around 55%, in 2022. The method involves the use of booms, skimmers, and sorbents for cleaning up the spilled petroleum. Among these, floating barriers and booms are commonly used to contain oil spread on water.

Recent Deployments of Oil Spill Managing Technologies

Some of the recent deployments of the related technologies include the successful launch of Lamor’s in-built oil recovery system (LORS) by South Korean shipbuilder Hanjin Heavy Industries and Construction (HHIC). It is a vessel-mounted skimming system based on the company’s conveyor chain brush technology. The system consists of a hydraulic unit pack, a brush skimmer package, and several oil pumps to deal with oils of different viscosity. It is designed to work in wave heights of up to four meters. Further, the expansion of the company’s footprint in other regions is expected to enhance the market growth.

Europe is expected to witness a significant rise in the market revenue due to the increasing offshore drilling activities; offshore reserves are the major producers of hydrocarbons in Europe.

After Brexit, there are around 193 offshore installations in European waters, which is a massive decrease from the 363 before the U.K.’s departure from the EU. Now, the rising investments in drilling activities are bolstering the market growth. For instance, in August 2022, Aker BP, a Norwegian oil and gas firm, announced plans to invest more than USD 15 billion in expansion projects on the Norwegian continental shelf for the next five to six years.

Since Lundin Energy merged into Aker BP in 2022, Aker BP has undertaken nearly 15 development projects on the Norwegian continental shelf. Among them, the cost of the largest development project, which involves the development of several fields in the NOAKA area in the North Sea, is USD 10 billion. Furthermore, NOK 40–50 billion is to be spent on the construction of a new platform on the Valhall field and the integration of a new platform into the Fenris field.

Further, the APAC market growth is expected to accelerate due to a considerable surge in oil production activities in countries such as China and India. The growth prospects are further enhanced by the presence of big shipping businesses in Singapore and South Korea.

The biggest oil spill management market players are Osprey Spill Control, NOV Inc., SkimOIL LLC, General Electric Company, Cameron International Corporation, Northern Tanker Company, Lamor Corporation Plc, Fender & Spill Response Services LLC, and Markleen Management SL.