Research and Markets issued a new report on the global subsea BOP market, and the analyst firm says that it expects the market to grow at a CAGR of 6.5% over the period 2014-2019.
BOP is a high pressure mechanical safety valve system at the top of a well head, which prevents uncontrolled fluid flow in the well bore. This device is essential in the oil and gas industry as it monitors and controls pressure while drilling and is the last line of defense to prevent any subsea leakages or surface explosions. A BOP stack consists of two types of BOPs, annular BOP and ram BOP. An annular BOP is placed at the very top of the stack and then two, three, or four ram BOPs are placed below the annular BOP. BOP stack contains the wellbore fluids either in the annular space amid casing and tubing or in an exposed hole during drilling, completion, and testing operations.
The subsea environment has harsh climatic conditions, and much of the innovation in offshore production is designed to overcome these challenges, including the need to provide very large production facilities. High-temperature and -pressure conditions put drilling and production equipment to the test by pushing the limits of metallurgy, sealing, corrosion resistance, chemical makeup, and electronic functions. Continuous research and development has led to the development of BOPs that can withstand high-temperature and -pressure conditions, while retaining metallurgical integrity.
According to the report, environmental concerns related to subsea production have been a major driver for the adoption of BOPs, as these systems ensure safe and reliable production. Increased offshore oil and gas drilling activity worldwide has also increased environmental concerns, because large amounts of oil can be spilled directly into seas and oceans.
Further, the report states that the levels of uncertainty associated with subsea production pose a serious challenge to the growth of the market.