Decommissioning market creates new OSV opportunities

Oil and gas production infrastructure decommissioning has accelerated in mature basins such as the US Gulf and the UK sector of the North Sea, while new markets have emerged.

Boston Consulting Group partner and associate director Martha Vasquez said Brazil, Australia and the Gulf of Guinea have become hot-spots for offshore decommissioning activity and will have greater significance in the future.

In a video interview on the sidelines of Riviera’s Offshore Support Journal Subsea Conference 2026 in London, UK, she said energy companies are increasingly required by regulations to clear the sea floors of production infrastructure including platforms, subsea wells and pipelines.

“In the Gulf of Mexico, the North Sea, particularly the UK and Australia, there will be big projects,” said Ms Vasquez.

Oil and gas companies will need to remove almost all infrastructure from the seabed, including coated pipelines, old steel jackets, subsea trees, flowlines and umbilicals.

Governments and energy companies will share the cost of decommissioning work and collaborate with the supply chain in more varied contracting strategies.

“We have seen more contracting strategies over the last five years, with oil and gas companies trusting the supply chain, in collaborations that make partnerships between suppliers stronger,” said Ms Vasquez.

“Suppliers are excellently positioned to capture the role of truly partnering, truly delivering with the asset operators.”