The European offshore pipeline industry is set for a recovery this year, following a period of economic troubles and delays, according to a report by Tata Steel.
High energy demand from Africa, Ascia, Brazil, Russia, India and China as well as growth in deepwater developments in Africa and Europe are expected to bring growth to the sector, the deepwater pipeline solutions firm concluded.
“Whilst it is undeniable that the economic recovery has been sluggish and as a consequence progress in major infrastructure projects has been delayed, we are now experiencing real signs of recovery and a change in momentum, both onshore and offshore,” said Richard Broughton, commercial manager for the pipelines division of Tata Steel.
“Budgets will continue to be challenged, but the industry will continue to step up to the challenge, push the boundaries and drive innovation.”
The report also found that the gradual depletion of easy oil would stimulate investment in the deepwater sector while the growth of shale gas is expected to boost the pipeline transportation business.