Energy & Power

Offshore Decommissioning Market

By Segment, By Region, And Segment Forecasts, 2015 – 2023

Vertical: EnPBase Year: 201610 Sections

Executive Summary

Offshore Decommissioning Market — Snapshot

  • Market Size (2015)

    2015

    $4.35B

  • Projected (2023)

    2023

    $7.35B

  • CAGR (2015–2023)

    6.8%

    6.8%
  • Key Players

    113+

Offshore decommissioning refers to the decommissioning of oil and gas facilities that are approaching the end of their useful design life or economic operation. Aging offshore oil and gas structures are a major environmental concern and liability to countries, operators, contactors and affects surrounding marine environment.

The market is driven by various factors such as increasing oil and gas platform around the world. Especially in the North Sea region and Gulf of Mexico, the oil and gas industry is determined to remove these structures to reduce environmental penalties and also to reduce operating cost of these aging wells. However, the growth of this market is expected to be hindered by the uncertain cost and strict environmental and regulation laws surrounding the offshore decommissioning projects.

The global offshore decommissioning market is expected to grow at 6.93% CAGR during the forecast period. In 2016, the market was led by Europe, with a 70.1% share, followed by North America and Asia-Pacific with shares of 18.9% and 8.9%, respectively.

The global offshore decommissioning market has been segmented based type, service type, application and by region. On the basis of type, topside structures accounted for the largest market share of 56 % in 2016, with a market value of USD 2,586.4 million and is projected to grow at the highest CAGR of 9.05% during the forecast period. Based on application, shallow water accounted for the largest market share of 71.2 % in 2016, with a market value of USD 3,294.3 million and is projected to grow at a CAGR of 7.98% during the forecast period.

Key Insight

The Offshore Decommissioning Market market is projected to grow at a CAGR of 6.8% from 2015 to 2023.

Market Performance Trend

Historical performance and future projections (2020–2030, USD Billion)

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Market Scope & Coverage

What this report covers

  • Geographic Coverage: This analysis covers 4 regions: Asia Pacific, Europe, Rest of the World, North America.
  • Market Segmentation: The market is analyzed across 3 segments: Topside, Substructure, Sub Infrastructure. Forecasts are provided for each segment from 2015 to 2023.
  • Competitive Landscape: 113 leading companies are profiled, covering market positioning, strategies, and recent developments.

Market Size (USD Mn)

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Market Overview

Offshore Decommissioning Market — Growth Trajectory

Offshore decommissioning of aging oil and gas platforms, subsea wells, and related infrastructure is essential to safely remove the equipment used for oil or gas exploration and production, and dispose them at the end of their production. The process of decommissioning of offshore oil and gas platforms, is critical in terms of environmental protection concerns, as it has probable effects on the marine ecosystem, along with disposal of hazardous substances. Offshore decommissioning encompasses different activities for removal of installations, namely, project management, engineering and planning, permitting and regulatory compliance, platform preparation, well plugging and abandonment, conductor removal, mobilization and demobilization of derrick barges, platform removal, pipeline and power cable decommissioning, materials disposal, and site clearance.

Offshore Decommissioning Market — Growth Trajectory

Topside
Substructure

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Market Size Trend (USD Mn)

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Market Dimensions

How this market is segmented

  • Type Type is broken down into: Topside, Substructure, Sub Infrastructure.
  • Service Type Service Type is broken down into: Well Plugging And Abandonment, Conductor Removal, Platform Removal, Others.
  • Application Application is broken down into: Shallow Water, Deepwater.

Geographic Analysis

Regional market breakdown

  • Asia Pacific Asia Pacific market size reached $397.30M in 2015 and is projected to reach $513.30M by 2023, growing at a CAGR of 3.3%.
  • Europe Europe market size reached $3.03B in 2015 and is projected to reach $5.33B by 2023, growing at a CAGR of 7.3%.
  • Rest of the World Rest of the World market size reached $97.10M in 2015 and is projected to reach $121.70M by 2023, growing at a CAGR of 2.9%.
  • North America North America market size reached $825.30M in 2015 and is projected to reach $1.38B by 2023, growing at a CAGR of 6.7%.

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Research Methodology

Offshore Decommissioning Market — How We Researched This Market

This report applies a rigorous multi-stage research process combining primary interviews, secondary data sources, and bottom-up market modelling to ensure accuracy and completeness across all segments and geographies.

  • Base Year

    2016

  • Historical Period

    2015 – 2016

  • Forecast Period

    2016 – 2023

  • Primary Interviews

    150+

Research Process

Historical data (2015–2016) and forecast period (2016–2023)

1

Problem Definition

  • Market scoping
  • Objective setting
  • Framework design
2

Secondary Research

  • Literature review
  • Data mining
  • Trend analysis
3

Primary Research

  • Expert interviews
  • Field visits
  • Surveys
4

Data Analysis

  • Quantitative modeling
  • Statistical testing
  • Validation
5

Insights & Reporting

  • Synthesis
  • Recommendations
  • Visualization

Research Depth

Our research process spans primary interviews with industry stakeholders combined with comprehensive secondary data analysis, validated through triangulation across multiple independent sources.

Historical vs. Forecast Data

Historical (observed)
Forecast (modelled)

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Competitive Landscape & Porter's Five Forces

Offshore Decommissioning Market — Competitive Analysis

Threat of New Entrants

Offshore decommissioning companies, trying to enter the market, are required to meet high capital requirements to procure technologies and vessels required for offshore decommissioning. Also, the requirements of high technology and technically advanced resources along with government regulations further increase the threat for new entrants to enter the market. Hence, the threat of new entrants in offshore decommissioning market is low.

Bargaining Power of Suppliers

The suppliers in the offshore decommissioning market are the technology and decommissioning vessel suppliers. Supplier concentration in low due to minimum number of suppliers offering various offshore decommissioning technologies. Switching cost of these suppliers is also high, as manufacturers tend to enter into long-term associations with them, in order to ensure uninterrupted decommissioning activity, resulting in the bargaining power of suppliers in the market ranging from high to medium.

Threat of Substitutes

The threat of substitutes is very low in the global offshore decommissioning market. There are no close substitute technologies in the offshore decommissioning market. On the other hand, the price differentiation of different substitutes offered by different companies is high.

Bargaining Power of Buyers

The market has a large number of buyers comprising of oil and gas extraction companies, pipeline installers and offshore platform operators. The competition is, thus, expected to intensify over the period of time and would increase the bargaining power of buyers making it medium to high in the offshore decommissioning market.

Rivalry

The intensity of competitive rivalry is low to medium, as there are several firms offering the offshore decommissioning technology and services. The competition is increased by the presence of new technologies among key players and new entrants, who managed to enter the industry in spite of high entry barriers.

Quantitative Analysis

Regional Breakdown

Regional market breakdown for Offshore Decommissioning Market.

Regional Market Size (USD Mn)

Market estimates by geography (2023)

USD Mn

InsightEurope leads with $5.33B by 2023.

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Regional Market Data

REGION201520162023CAGRSHARE
Asia Pacific$397.30M$445.50M$513.30M3.3%7%
Europe$3.03B$3.97B$5.33B7.3%73%
Rest of the World$97.10M$107.20M$121.70M2.9%2%
North America$825.30M$1.05B$1.38B6.7%19%
Total$4.35B$5.57B$7.35B6.8%100%

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Segment Revenue (2023)

Topside
Substructure
Sub Infrastructure
01300259938995198

Segment Market Share

  • Topside64%
  • Substructure20%
  • Sub Infrastructure16%

Total Market Size

$7.35B

Market by Segment (2023)

APPLICATIONREVENUE ($B)GROWTH RATEMARKET PENETRATION
Topside$4.72B6.8%
72%
Substructure$1.46B6.8%
66%
Sub Infrastructure$1.16B6.8%
77%

* Revenue projections based on 2025 estimates. Growth rates represent CAGR 2024–2030. Market penetration indicates current adoption rate within addressable market segments.

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Analytics

Offshore Decommissioning Market — Key Findings

Analytical insights on Offshore Decommissioning Market covering market dynamics, competitive landscape, and strategic outlook.

Key Analytical Findings

The Offshore Decommissioning Market market is projected to reach $7.35B by 2023, growing at 6.8% CAGR. The Topside segment holds the largest share.

Market Drivers

There is an increasing demand for decommissioning of aging oil and gas platforms around the world, with more than 600 projects expected to be dismantled during the next five years. Aging oil and gas fields, are predominant in the North Sea region and Gulf of Mexico region and the oil and gas industry is focussing on removing these structures. Moreover, the oil production from the world’s giant old fields, is continuously declining, and is expected to decline further. This is driving the global oil and gas companies to focus on cost effective ways of decommissioning these fields, while maintaining focus on high environmental and safety standards. According to Oil and Gas Authority. Aberdeen, Scotland, a total of 1,832 wells are forecast to be plugged and abandoned in the North Sea and Norwegian Continental Shelves region. The decommissioning of oil and gas fields help companies develop expertise that can be exported throughout the world, from the Gulf of Mexico to the South China Sea that can generate revenue and also can create thousands of highly skilled jobs.

Market Opportunities

Offshore oil and gas facilities have the potential of becoming the largest artificial reef systems in the world. Global operators are committing themselves to the Rigs to Reef program, thereby repurposing decommissioned rigs to convert them to artificial reef structures. After decommissioning, these facilities offer vital habitat for marine life in the region. Such biotic reefs have been created in the U.S, the Gulf of Mexico region, Brunei and Malaysia. This can significantly bring down the cost of decommissioning while helping the surrounding marine environment.

Market Restraints

The main concern for the operators carrying out offshore decommissioning and abandonment activities is clearly the apparent high cost of decommissioning and lack of return on investment. It is obvious that offshore oil fields generate revenue during the operational phase and bear significant costs that produce no revenue, during decommissioning and abandonment phase. As these costs have been significantly increasing over the previous decades, operators are faced with a major challenge of accurately estimating the final cost for decommissioning projects.

Similarly, the cost of decommissioning varies operators due to their unique approaches and services for decommissioning activities. Furthermore, global operators experienced in decommissioning are generally limited (except the Gulf of Mexico region), which further adds to this cost uncertainty. These high costs may restrain growth of offshore decommissioning market.

Strategic Outlook and Future Directions

Near-term growth will likely concentrate in modular bioreactor lines and closed-system media workflows that shorten validation cycles while preserving batch traceability.

Partnerships between CDMOs and instrumentation vendors should accelerate standard datasets for comparability across sites, improving forecasting models used in capacity planning.

Longer horizon, organoid and microphysiological adoption may reshape segment mix; teams that invest early in assay interoperability and cloud QC hooks are better positioned to capture upside without fragmenting their analytics stack.

Market Value by Segment (2023)

Value (USD Mn)
Topside
Substructure
Sub Infrastructure

Companies

Key companies profiled in Offshore Decommissioning Market

Profiles of 113 companies operating in the Offshore Decommissioning Market market, including revenue, employee count, and market positioning where available.

Showing 113 of 113 companies

DeepOcean

DeepOcean Group

Energy & Power

DeepOcean Group was established in the year 1985 with headquarters in Amsterdam, Netherlands. The company has about 1400 employees and operates mainly in engineering and project management, survey and seabed mapping, subsea installation, seabed intervention, IMR, decommissioning and renewable energy and transmission. To expand their operational presence in 2011, the company acquired ADUS DeepOcean Ltd as a subsidiary that specializes in high-resolution sonar surveying and visualization. The company also offers inspection, maintenance and repair and decommissioning services. They operate globally with main operational presence in countries such as Australia, Brazil, Dubai, Mexico, Norway, U.K. and U.S. DeepOcean Group competes with companies such as TechnipFMC Plc, AF Gruppen ASA., Ramboll Group A/S, Aker Solutions ASA and Amec Foster Wheeler.

RevenueN/A
EmployeesN/A
Market CapN/A
FoundedN/A
United States, North America
Allseas Gr

Allseas Group S.A

Energy & Power

Allseas group SA was established in the year 1985 with headquarters in Châtel-Saint-Denis, Switzerland. The company employs about 3,000 people worldwide and specializes in pipelay operations, heavy lift and subsea construction. Allseas Group S.A provides pipeline services such as engineering, procurement, installation and commissioning. It has operational presence in countries such as Switzerland, Germany, Belgium, Netherlands, USA and Australia. The company operates in business segments such as pipe line installation, protection, subsea operations, installation and decommission of oil fields. Allseas group SA competes with companies such as Tetra Technologies., BP Plc., AF Gruppen, DNV-GL and Ramboll Group A/S.

RevenueN/A
EmployeesN/A
Market CapN/A
FoundedN/A
United States, North America
Claxton En

Claxton Engineering

Energy & Power

Claxton Engineering Services was established in the year 1985 with headquarters in Great Yarmouth, United Kingdom. The company is an engineering services company that predominantly operates in projects that focus on increasing asset life extension, cutting and hot tapping services, decommissioning, drilling risers and tensioning & pipeline tools. The company mainly operates in the U.K. and employees about 135 people. They have operational presence in countries such as Norway, Singapore and the UAE. Claxton Engineering offers drilling templates and structures, subsea camera system, drilling riser system and offshore engineering services. Claxton Engineering Services has completed over 280 cutting and recovery projects, over 85 well cuts and over 130 suspended well abandonment projects. Claxton Engineering Services competes with companies such as BP Plc., Statoil ASA, AF Gruppen, DNV-GL and TechnipFMC PLC.

RevenueN/A
EmployeesN/A
Market CapN/A
FoundedN/A
United States, North America
Amec Foste

Amec Foster Wheeler

Energy & Power

Amec Foster Wheeler was established in the year 1982 with headquarters in London, United Kingdom. Amec Foster Wheeler operates currently in more than 55 countries such as USA, Kuwait, Saudi Arabia, New Zealand, Canada and China with almost 36,000 employees. Its diversified business is primarily focused on the oil gas & chemicals, power & process, environment & infrastructure and mining. The company offers consultancy, engineering, project management, operations and construction services, project delivery and specialized power equipment services to customers worldwide. The company offers key services in carbon capture and storage, condition assessments, consulting, construction, decommissioning, engineering, environmental services, new build operations & maintenance, project management, sustainability services and training & development. AMEC NSS Limited, Amec Kamtech, Inc.,Stevenson & Associates SRL and Foster Wheeler LLC are its subsidiaries. Amec Foster Wheeler competes with companies such as Claxton Engineering, BP PLC., Allseas Group S.A and Aker Solutions ASA.

Revenue$9.6B
EmployeesN/A
Market CapN/A
FoundedN/A
United States, North America
Aker Solut

Aker Solutions ASA

Energy & Power

Aker Solutions ASA was established in the year 2008 with headquarters in Fornebu, Norway. The company is a global provider of products, systems and services to the oil and the gas industry. The company operates currently in 46 locations over 20 countries such as Brazil, Australia, Canada, India, Nigeria and Norway with almost 14,000 employees. Its diversified business is primarily focused on the exploration, development and production and decommissioning. The company offers services from subsea to surface and concept to decommissioning. Some of the subsidiaries of the company are Aker Solutions Enterprises LDA, C.S.E. Mecânica e Instrumentacâo Ltda, Aker Solutions Ghana Ltd, Aker Solutions APAC Sdn Bhd, Aker Powergas Pvt Ltd and Aker Solutions Asset Integrity and Mgt. Canada Inc. Aker Solutions ASA, competes with companies such as Claxton Engineering, BP PLC., Statoil ASA, AF Gruppen ASA and John Wood Group.

Revenue$5.2B
EmployeesN/A
Market CapN/A
FoundedN/A
United States, North America
Ramboll Gr

Ramboll Group A/S

Energy & Power

Company Headquarters: Copenhagen, Denmark. Founded: 1945 Workforce: ~ 16,500 Company Working: Ramboll Group A/S is a global architecture, engineering, and consultancy company, that delivers expertise and sustainable solutions to clients and partners. Ramboll today operates across 35 countries. Ramboll combines deep local insight and experience with a global knowledge base to create sustainable societies and drive positive change for clients. Ramboll works across clients’ value chains, leveraging its expertise, innovation, and creativity to address the risks and opportunities that follow from sustainable change. By bringing together its technical expertise, domain knowledge, and digital capabilities, Ramboll supports clients in driving improvement and developing new business models that are inherently sustainable. Ramboll’s experts are at the heart of Ramboll s operations, helping drive sustainable impact. They deliver standalone and multidisciplinary solutions across Buildings, Transport, Energy, Environment & Health, Water, Management Consulting, and Architecture & Landscape. As The Partner for Sustainable Change, Ramboll enables stakeholders to realize their goals and navigate the transition to a more sustainable future. Ramboll is a member of the UN Global Compact.

Revenue$2.1B
Employees16,500
Market CapN/A
Founded1944
Copenhagen, Denmark.
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Energy & Power Research Team

Energy & Power

This report comes from Wantstats' energy team — analysts who spend their days tracking utility filings, generation capacity, and grid investment plans across markets most research glosses over. Every number here has been checked against our own databases and validated through conversations with people actually running these projects.

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Thanks for your great support. Appreciate it. Well received report. It helps us to understand market well. We're planning other area of survey in the future, let's keep in touch.
Akif Moroglu

Strategy & Business Development Director, Dogan Holding

We got the report in time, we really thank you for your support in this process. I also thank to all of your team as they did a great job.
Noah Malgeri
Noah Malgeri

Co-Founder, Mojave Rail Fabrication Limited

This is really good guys. Excellent work on a tight deadline. I will continue to use you going forward and recommend you to others. Nice job.
Michael Robert

Manager, JavolVision

Thanks, I am so happy that we worked together. Maybe we still can work together in the future.
Joseph Aguayo
Joseph Aguayo

Sales Operations & Pricing Manager, Intel

Thanks. It's been a pleasure working with you, please use me as reference with any other Intel employees.
Bong Lau

Sales Leader, Bamberg

We bought your "2025 report" in 2020. Everything is fine and very good.
Peter Groot Koerkamp
Peter Groot Koerkamp

Account and Business Manager, EFS-Holland BV

Thanks for sending the report it gives us a good global view of the Betaïne market.
Younghwan Choi
Younghwan Choi

Senior Retail Manager, LG Chem

We found the report very insightful! we found your research firm very helpful. I'm sending this email to secure our future business.
Mark Irwin

Management Consultant, Level 21

I am very pleased with how market segments have been defined in a relevant way for my purposes (such as "Portable Freezers & refrigerators" and "last-mile"). In general the report is well structured. Thanks very much for your efforts.
Rob Kooiker

Group Product Manager HVAC & Fire Protection GMA, Rockwool

I have been reading the first document or the study, the Global HVAC and FP market report 2021 till 2026. Must say, good info! I have not gone in depth at all parts, but got a good indication of the data inside!
Jason Lee

R&D Director, Seojin

Thanks for your great support. Appreciate it. Well received report. It helps us to understand market well. We're planning other area of survey in the future, let's keep in touch.
Akif Moroglu

Strategy & Business Development Director, Dogan Holding

We got the report in time, we really thank you for your support in this process. I also thank to all of your team as they did a great job.

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