The value of oil and gas contracts increases by 77% | Rigzone

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The oil and gas industry saw a 77% increase in overall contract value in the fourth quarter of 2021, although there was a 14% decrease in the number of contracts.

That’s according to data and analytics firm GlobalData, which recently released a report on global oil and gas industry contracts. The report revealed that the overall contract value increased from $34.32 billion in the third quarter to $60.84 billion in the fourth quarter. The number of transactions reportedly decreased from 1,608 in the third quarter to 1,383 in the fourth quarter.

Operations and maintenance contracts accounted for 48% of total contracts in the fourth quarter, followed by procurement at 19%, GlobalData revealed.

“Notable contracts that have made significant value contributions include Saudi Aramco’s 16 contracts, worth a combined $10 billion for basement and engineering, procurement and construction works. for the development of the Jafurah shale gas field in Saudi Arabia,” Pritam said. Kad, an oil and gas analyst at GlobalData, said in a company statement, which was sent to Rigzone.

“Additionally, higher crude oil prices and improved margins have helped provide further momentum to contract activity,” Kad added in the statement.

Other notable contracts would include the two contracts of Yinson Holdings subsidiaries with Petrobras for the chartering and operation and maintenance services of the Floating Vessel, Production, Storage and Offloading (FPSO) of the Integrado Parque das Baleias (IPB) operating off Brazil. ADNOC Drilling’s $3.8 billion five-year drilling services agreement with ADNOC Onshore to provide drilling, workover and other well services in the United Arab Emirates was also announced. billed as a notable deal.

In November last year, GlobalData noted that oil and gas contract activity remained relatively stable in the third quarter of 2021. The sector saw a “nominal” 6% decline in the number of contracts and a decline of 2% of contract value disclosed in the third quarter. quarter of last year, GlobalData pointed out in a statement sent to Rigzone at the time. In terms of scope, operations and maintenance would have accounted for 41% of total contracts during the period, followed by supply with 19%.

In August last year, GlobalData noted in a statement sent to Rigzone that oil and gas contract activity had declined after “relatively stable” activity in the first quarter of 2021.

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