More than US$26Bn of subsea contracts expected in next 24 months

“Our subsea opportunities list now highlights more than US$26Bn of inbound [contracting] opportunities over the next 24 months, when using the midpoint of project values. Putting this into perspective, the value of this list has grown nearly 20% over the last 12 months and represents the third consecutive quarterly increase,” he said.

“The opportunity set is also supported by multiple new frontiers, including Guyana, Suriname, Namibia, Mozambique and Cyprus, all of which present long-term opportunities with development lifecycles that extend well beyond the end of the decade.”

Mr Pferdehirt does anticipate some delays in project investment decisions due to volatility in oil and gas prices and changes in economic feasibility of developments, but is still upbeat on the long-term demand.

“We continue to believe that offshore will remain a preferred investment of operators, with deepwater attracting a growing share of global capital flows, driven by much-improved economic returns and broad access to these resources,” he said. “This gives us continued confidence in delivering more than US$10Bn of subsea inbound in 2025.”

Clarksons Research forecast a tight market for subsea support vessels in the next few years, despite demand slipping from last year’s peak. The broker noted mixed trends over the past six months but said owners are in a strong position versus long-term rate averages.

The shipbroker’s offshore index, including rig, OSV and subsea vessel day rates, softened by 7% across H2 2024. But the index is still equal to the 2008 peak. Increased interest in subsea newbuilds continued into 2025 and an upturn in rates is expected to follow.

Dong Fang Offshore in Taiwan expects a positive period ahead for subsea markets as it ordered a new construction vessel from Vard in March 2025. This deal is for one 121-m Vard 3 39 design, valued at €113.5M (US$125.9M) and includes options for further vessels. It will have a beam of 23 m, a maximum speed of 14 knots, a DP2 dynamic positioning system and battery-hybrid propulsion.

It will be fitted with a 250-tonne active heave compensated offshore crane and a 1,200-m2 working deck prepared for a cable repair or lay spread, along with hangars for remotely operated vehicles (ROVs) to operate from both sides of the vessel.

The hull will be built at Vard in Braila, Romania, while outfitting, commissioning and delivery will take place at Vard Søviknes in Norway. Delivery is scheduled for early in Q2 2027.

Contract awards

DOF Group won a contract for moorings and subsea installation services in Western Australian for its 2010-built Skandi Hercules for execution in Q3 2025.

Solstad Offshore gained a two-year contract for its 2009-built Normand Subsea, starting in January 2026 to support inspection, maintenance and repair work with Subsea7, for which it has been contracted since its delivery.

In Australia, Allseas 2008-built Sandpiper completed nearshore construction activities for Santos’ Darwin Pipeline Duplication in Northern Territory coastal waters. It used an automatic positioning system to maintain pinpoint accuracy and 10 winches – each spooling 1,500 m of lightweight, high-strength, self-floating lines.

In the Netherlands, Allseas started the Port of Rotterdam’s Porthos CO2 transport and storage project, with its 2016-built Oceanic completing seabed surveys before 1974-built Lorelay can install the 20-km, 16-inch pipeline connecting the future compressor station with the P18-A offshore platform in Q2 2025.