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The Boom of the Asia-Pacific Oil & Gas Industry

DATE POSTED
06/10/2014
TAGS
Oil and Gas

More than five years after the global economic crisis hit, reports are showing signs of improvement for the financial health of economies worldwide. Economic recovery has been driven in large part by the boom of the Asia-Pacific energy market, which has seen a huge amount of development and investment over the last five years. According to industry reports, this pattern of growth looks set to continue across at least the next five years. The expansion of the Asia-Pacific energy industry has resulted in an increased demand for skilled engineering candidates, with many companies coming up against a marked shortage of available personnel.

Within the Asia-Pacific region, there are several countries which have been instrumental in driving forward the energy industry: Malaysia has proved instrumental in both energy consumption and boosting energy industry development. Geographically, Malaysia is located in a prime position for offshore production, such as fixed platform activities. Indeed, across Asia as a whole there are many areas of shallow water where fixed platforms can be installed. In East Asia countries such as China and Japan are in great demand for hydrocarbons.

As for energy consumption, India is one of the largest energy consumers in the world; the Indian government plans to raise the price of gas in order to stimulate the country’s energy industry development. Across the Asia-Pacific region as a whole, state-owned National Oil Companies (NOCs) have traditionally been the dominant type of operator as they enable security and wealth for national government. International Oil Companies (IOCs) are secondary in prevalence within the region, with independent operators also being present and responsible for attracting their fair share of investment.

One of the most notable technological developments to take place within the Asia-Pacific region has been the development of “Prelude” - the world’s first floating liquid natural gas (FLNG) facility. The Prelude project is being developed by Shell who aims to unlock vital energy resources offshore, without the need to lay pipelines and build processing plants on land. Prelude is being built at Samsung Heavy Industries’ “Geoje Island” yards in South Korea. Upon completion the facility will be moved to offshore Western Australia where it will dock for up to 25 years as it works on the Prelude gas field.

Asia-Pacific’s rise to dominance within the Oil and Gas industry has undoubtedly been good news for the global economy. As new oil fields have been discovered and operations have increased, many oil and gas jobs have been created, thus attracting candidates from all over the world. Companies operating in Asia-Pacific will need to work hard in order to attract the best candidates as the competition for skilled oil and gas engineers increases. Only the procurement of the right staff will lead to continued growth of the industry in the coming years.