We proudly present our second Dutch oilfield services (OFS) industry analysis, in which we take a look at financial results and discuss the dynamics of the industry going forward.
The report shows that 2014 has been a productive year for the Dutch OFS industry - with growth in all its sectors - building on a rich heritage and with oil & gas projects on the Dutch Continental Shelf (DCS) and around the globe. These relatively good results are much needed in current times of margins under pressure.
However, the dramatic drop in oil prices have a profound effect on production going forward. On the DCS exploration for new reserves diminishes and older production sites are being decommissioned. This calls for expansion beyond the DCS and redirection of activities on the DCS.
Larger Dutch OFS companies already profit from a large international footprint, smaller companies should also look into expanding internationally, possibly by joining forces with other smaller OFS companies. Decommissioning of platforms on the DCS is another opportunity for the industry, redirecting resources to the deconstruction of sites.
The innovative character of the Dutch OFS industry is much called for to secure future revenue, finding new ways to make exploration and production more economical for producers.
We hope that you find the report useful, and we welcome any feedback you may have.