The global oil and gas industry has been increasingly focusing on offshore locations to explore the deepwater and ultra-deepwater basins. One main factor is the lack of new big discoveries in mature onshore oil and gas regions. Another cause can be the restricted access to new business opportunities in major oil and gas producing countries, many of which are going for resource nationalization. Since 2000, more than half of the new oil and gas reserves worldwide have been discovered in offshore areas.
Deepwater and ultra-deepwater discoveries are expected to become more important contributors in maintaining production levels in the face of increasing global demand, especially for oil. As new technologies emerge for the high-risk and high-reward prospects of these deep waters, it is likely that older prospects, those that are closer to developed infrastructure, will be reexamined and reappraised with these new technologies.
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