The annual growth rate in the global offshore oilfield services market will likely be halved after 2022, according to Rystad Energy.

The annual growth rate in the global offshore oilfield services market will likely be halved after 2022.

That’s according to independent energy research and consultancy company Rystad Energy, which forecasts that the market will slow from seven percent of annual growth per year in 2019-2022 to three percent from 2022-2025.

“Just how things ultimately play out in the offshore market will depend to a large extent on whether OPEC, with help from Russia, will decide to take serious measures to stabilize the market over the next years,” Audun Martinsen, head of oilfield service research at Rystad Energy, said in a company statement.

“If the group decides to rein in production to protect commodity prices, momentum in the offshore market could continue. If not, the offshore renaissance party seems destined to come to an end in 2022,” he added.

In December 2018, Rystad Energy revealed that more than 100 new offshore projects were aiming for 2019 sanctions and that an expected $210 billion would be spent on offshore oilfield services globally this year.

Oil and gas operators gave the green light to 90-plus offshore projects in 2018, 62 in 2017 and 43 in 2016, Rystad Energy highlighted in a statement sent to Rigzone at the time.

Back in March, Rystad Energy forecasted that global service market revenues would match the $920 billion mark seen in 2014 in around six years’ time. The company predicted that these revenues would keep rising from 2026 to 2030, which was the end of its projection period.

Rystad Energy provides data, tools, analytics and consultancy services to the global energy industry. The company is headquartered in Norway but has locations all over the world.