Archives for category: Offshore

In these extraordinary times, the cancellation of school exams has been one of many unprecedented events. As we examine performance in our half year report, this is not an option for the shipping industry as it battles through the many challenges (and some upside) that Covid-19 has brought: a severe 5.6% drop in seaborne trade; a 10% drop in port activity; sharp declines in demolition and newbuild ordering.

For the full version of this article, please go to Shipping Intelligence Network.

Three weeks ago, Shipping Intelligence Weekly considered the effect of global efforts to moderate climate change, and the potential maritime impacts of ‘energy transition’ and decarbonisation (see SIW 1,422, 15th May 2020). This week’s Analysis continues the story, looking at scenarios for the future shape of energy production offshore which may play out as patterns of world energy use evolve.

For the full version of this article, please go to Shipping Intelligence Network.

In our March semi-annual report, we cited satellite imagery of reduced pollution as economic activity slowed as a “stark reminder of climate change”. In this week’s Analysis, we look at some of the challenges (and opportunities) the shipping industry potentially faces with its cargo base, changes in offshore activity and in reducing its own emissions footprint through fuel transition, technology and regulation.

For the full version of this article, please go to
Shipping Intelligence Network

Last week’s Analysis took a long-term view of seaborne trade. This week, we look at the history of global oil demand, a key driver of seaborne trade (crude and products trade totalled 62m bpd last year, 25% of the total in tonnes), offshore oil production (25m bpd), and oil prices. In 2020, the now global spread of Covid-19 is leading to major disruption to oil demand, and the ‘long’ view provides an interesting context.
Shipping Intelligence Network.

Even for an industry used to disruption events, the impact of Covid-19 has been dramatic. Extracted from our upcoming Shipping Review & Outlook (SRO), our Analysis this week covers some of the underlying trends we have discussed previously (ClarkSea, global trade, energy transition, “manageable” supply, environment, finance), but the disruption “shock” from Covid-19 now dominates.

For the full version of this article, please go to Shipping Intelligence Network.

 

A shrinking global orderbook has been one of the more persistent features of the post-financial crisis years, with the volume of tonnage on order now down to c.30% of peak levels. However, a substantial volume of newbuild investment has still taken place over the period as a whole, and a greater focus on specific vessel types has left the current orderbook looking very different to a decade earlier.

For the full version of this article, please go to Shipping Intelligence Network.

 

Offshore contracting has remained at extremely low levels for a number of years, and the mobile offshore orderbook has now shrunk to less than a quarter of its peak size. Furthermore, the majority of units on order in the MDU and OSV sectors were now contracted more than five years ago. This month’s Analysis examines what’s still on the orderbook and where solutions have been found.

For the full version of this article, please go to Offshore Intelligence Network.

 

Conditions in the offshore sector have been notably challenging since the oil price crash of 2014. One particularly stark symptom of the downturn has been the long slowdown in the pace of delivery of offshore assets. Although this has offered some supply-side support, it has provided a clear sign, even after some market improvements, of quite how sustained the impact from a prolonged downturn can be.

 

For the full version of this article, please go to Shipping Intelligence Network.

The final year of the decade saw further improvements across the shipping markets with a 24% increase in our ClarkSea Index taking it to its highest level since 2010, principally driven by gains in the tanker and gas segments. Meanwhile the impact of “headline” growth in seaborne trade (1.1% to 11.9bn tonnes) and world fleet (4.1% to 2.1bn dwt) were supplemented by IMO 2020 related “adjustments”.

For the full version of this article, please go to Shipping Intelligence Network.

As we close in on the end of the decade, this week’s analysis compares data from shipping’s last forty years. It’s certainly been a tough decade, much of it spent dealing with the aftermath of the financial crisis and working through shipping’s surplus capacity. But it’s been far from a “dead decade”: trade growth of 3.7bn tonnes, 1.2bn dwt of deliveries and an improving ClarkSea Index as we close out…

For the full version of this article, please go to Shipping Intelligence Network.