Well intervention in the Asia Pacific (APAC) region is expected to witness significant growth in the coming years.
According to a report by Allied Market Research, an increase in energy demand and revitalisation of aging brown field wells are factors propelling the growth of the market. However, environmental risks coupled with strict government regulations are key factors that slow down market growth.
The well intervention services market is categorised based on service type, applications, and countries. China, Australia, India, Indonesia, and Malaysia are among the handful of APAC countries that are set to experience remarkable market growth. Companies such as FMC Technologies, Nabors Industries Limited, Archer Limited, and Expro International Group Holdings Ltd., have adopted various innovative strategies, that have enabled them to gain a strong foothold in the market.
Driven by increasing energy demand, exploration activities and technological advancements in well intervention, the market is projected to expand to around US$2.7bn by 2032.
UK-based Odfjell Technology has reported that a workover contract it had in place for south-east Asia has been scrapped by its client, Brunei Shell Petroleum Company Sendirian Berhad.
In a statement, the company said that its client was “terminating this contract for convenience”.
It added: “The client reiterates that the termination is not related to the performance of Odfjell Technology and the two parties remain open to working together on future potential projects.”
Odfjell Technology said that it will close out the contract in accordance with any terms and conditions, with any expenses to be reimbursed by the client.
It also added that there will be “limited” financial effect in 2025 following the cancellation.
Asia Pacific is a region where the company is keen to grow its footprint, however, after entering the Indonesian market, and also landing the services of Australian energy industry equipment provider, R&D Solutions, earlier in the year.
It means Odfjell Technology’s industry-leading well intervention services, wellbore clean up and whipstock tools are now also available to service the Australian well services and deepwater markets, with plans for future growth in the regional plug and abandonment sector.
In its 2024 annual report, released recently, the company also reiterated its global growth ambitions.
“We are well positioned for growth in a competitive market in 2025,” it noted. “Our ambition is to increase our global footprint with well services, entering new geographies as we have in
2024, and focusing on high margin product lines.”
It added that technology development and strategic growth represent a large part of its ambitions for its well services division in 2025.
As well as its European activities, the company is also active in North America, Africa and the Middle East.
But while the cancellation of the project in Brunei may have little immediate impact on finances, it is a blow to the group’s forward aspirations.
In its 2024 annual report, the company noted that the Brunei workover job “opens both an exciting geographical market and type of service, with huge potential.”
Commencement for workover operations in south-east Asia was scheduled for the middle of this year, while mobilisation efforts began last November.
In November, Simen Lieungh, CEO of Odfjell Technology, highlighted the contract’s importance “for significantly increasing our footprint in south-east Asia.”
But in his introductory notes in the 2024 annual report he remained bullish about the group's overall global growth prospects in 2025.
“We will actively explore opportunities for acquisitions and international expansion in line with our strategy,” he noted.
Material science and technology provider, 3M, has released via Offshore Network a case study illustrating how an Indonesian oil and gas corporation Pertamina Hulu Mahakam (PHM) deployed Ceramic Sand Screen to cost effectively unlock marginal field assets
While coiled tubing-deployed chemical sand consolidation (SCON) or slickline deployed through tubing metallic screens are the conventional approaches to sand control at PHM, they are limited by its operating envelope and technical constraints. There is a need identified to unlock production with a change in filter media material.
3M Ceramic Sand Screens have saved PHM up to 50% cost over SCON solution and delivered 200% higher productivity than through tubing metallic screen solution by integrating 3M advanced ceramic materials into a sand screen assembly.
Assets like in Tunu and Peciko, reservoirs are marginal and multi-layered sand series which are highly unconsolidated and poorly sorted sands with an average of 20 to 30% porosity. 3M Ceramic Sand Screen have been initially trialed in these conditions and enabled in optimising sand control completions.
Within a span of 4 years, more than 80 wells in various fields of PHM have been successfully replicated.
*How 3M solution has impacted to unlock production from marginal assets
*How material change enables optimised and cost-effective sand control completions
*How 3M material science empowers and contributes to their energy customers to develop improved, safer and more sustainable solutions
Click here to learn more.
Valeura Energy Inc has taken a decision on investing in the redevelopment of the Wassana field in the offshore Gulf of Thailand
The investment is expected to create a significant value for shareholders. Currently, the production from the field is carried out through a MOPU facility whose life is expected to finish at the end of 2027. The facility is also limited in the number of future development wells that could be drilled and has insufficient oil and fluid processing capacity to recover the expected reserves and resources of oil in the G10/48 licence.
The Company has reviewed a number of different redevelopment concepts for the Wassana field and has selected a new central processing platform (CPP) with 24 production well slots as the optimal development concept to yield both the highest financial returns and the maximum total recoverable oil from the G10/48 licence. The new CPP will replace the existing MOPU production infrastructure and is expected to allow for a more holistic commercialisation of the field’s oil reserves, both by enabling more aerially extensive drilling reach and also by way of a longer facility design life, resulting in more years of cash flow generation.
The Company has selected Thai Nippon Steel Engineering & Construction Corporation Ltd, recognised for being a very capable Engineering, Procurement, Construction, and Commissioning (EPCC) contractor with four decades of experience in developing similar type of facilities in Thailand. Following the completion of the initial development wells, the Wessana field is expected to produce oil at rates of 10,000 bbls/d in the second half of 2027.
The company expects to spend US$40mn on the Wassana redevelopment project, with their guidance for Adjusted Capex being revised to US$165mn to US$185mn for the full year 2025, with free cash flow guidance also being provided.
Vietnam’s oil and gas sector is at a crossroads in 2025, with new discoveries, ageing fields, and geopolitical tensions contrubuting to its 2025 outlook.
The country's state-owned National Energy and Industry Group (formerly known as PetroVietnam) is driving upstream activities. This means that interventions like workovers, stimulation, and coiled tubing are becoming critical to sustaining production.
Key 2025 developments point toward a growth potential for this market.
In January 2025, Murphy Oil Corporation announced a significant oil discovery at the Hai Su Vang-1X well in the Cuu Long Basin, located 40 miles offshore Vietnam.
Drilled to 13,124 ft, the well revealed 370 ft of net oil pay, with appraisal drilling planned.
Such discoveries demand early interventions such as hydraulic fracturing or perforating to optimise reservoir flow, creating new opportunities for service providers.
In the same month, EnQuest reached an agreement to pay US$84mn to acquire Harbour Energy's offshore Vietnam oil and gas production business.
It consists of a 53.125% interest in the Natuna Sea's Chim Sáo and Dua fields, which were both first produced by Premier Oil.
The deal, set to close in Q2 2025, could spell intervention’s role in mature fields.
Producing 5,300 boe/d, these fields have “significant upside potential” through water injection optimisation and reperforation, according to EnQuest.
On the other hand, major projects, like the US$740mn Block B gas field led by Mitsui Oil Exploration, could drive intervention demand.
With production expected to begin in 2026, Block B, located about 330 km southwest of the country, may require coiled tubing cleanouts or scale removal during commissioning.
Vietnam’s 2022 Petroleum Law and CPTPP framework further attract foreign investment, with PetroVietnam’s US$1bn 2024-2025 plan supporting upstream activities. The law includes revised tax incentives, such as a corporate income tax rate of 32%, where previously it was 50%. And, a crude oil export tax rate of 10% (where previously it ranged between 6 and 25%).
Vietnam’s ageing fields, like the Bach Ho field in the Cuu Long Basin, operated by Vietsovpetro since the 1980s, face declining output.
National oil production is projected at 177.76 thousand barrels per day in 2025, according to Mordor Intelligence.
Worldwide, according to Rystad Energy, operators are turning to cost-effective interventions like workovers, artificial lift, or chemical treatments rather than costly new drilling.
A country like Vietnam, which ranks 37 in oil production globally, could certainly follow this trend.
This shift is amplified by oil prices falling this May due to OPEC+ production hikes, making interventions a budget-friendly way to sustain output.
Advanced technologies, such as digitalised wireline and riserless systems, can enhance intervention efficiency, thereby drawing global contractors to Vietnam’s basins.
By leveraging cost-effective technologies and partnerships, service providers can capitalise on demand from mature fields and new wells.
More than 200 offshore fields comprising of over 1,500 platforms and 7,000 wells are expected to curb production by 2030, signalling an urgent need for clarity in regard to decommissioning regimes.
Despite the task size, only a handful of southeast Asian countries are involved in decommissioning activities, making their overall experience limited. Adding to this challenge, are the following three region-specific issues:
Expro Group Holdings N.V., a leading energy services provider, has announced its financial and operational results for the first quarter of 2025, revealing a revenue decline but highlighting technological advancements and new contract wins.
The company reported revenue of $391 million for the three months ended 31 March 2025, down 11% from US$437mn in the fourth quarter of 2024, reflecting seasonal and market challenges.
The US$46mn revenue decrease was driven by reduced activity in the North and Latin America (NLA), Europe and Sub-Saharan Africa (ESSA), and Asia Pacific (APAC) segments, though modestly offset by higher activity in the Middle East and North Africa (MENA) segment.
Consistent with historical trends, the winter season in the Northern Hemisphere and budget cycles of national oil company clients negatively impacted revenue and profitability.
“While 2025 is expected to be a transition year for the energy services industry, the outlook for oil and gas investment and Expro remains quite compelling for the rest of the decade, so we are cautious about the near-term and more bullish over the medium- to long-term,” said Michael Jardon, CEO.
“That said, we will size our support structure, capital expenditures and other investments accordingly, so cost and capital discipline will be key themes at Expro until we have better clarity around the direction of international and offshore markets, and the timing of deepwater projects that we expected to be sanctioned in the second half of 2025 and into 2026.”
Expro showcased its commitment to advanced technology with notable deployments in Q1. The company successfully introduced its CENTRI-FI™ consolidated control console in Indonesia, enabling fully integrated tubular running services (TRS) operations from a single tablet, reducing personnel presence on the rig floor.
In the APAC region, Expro secured significant contracts, including a three-year deal worth over US$15mn to provide combined e-line cased hole and slickline services across 315 wells.
Additionally, a two-year contract valued at over US$8mn was signed in Brunei to deliver well metering services, leveraging advanced solutions like QPulseTM, Sonar Meter, and Multiphase Flow Meters.
This agreement, which began in February 2025, strengthens Expro’s role in optimising client production through precise well flow measurement.
However, APAC revenue fell 19% to $51 million from US$62mn in Q4 2024, driven by reduced subsea well access, well flow management, and well construction activity in Australia, as well as lower well intervention and integrity work in Brunei and Malaysia.
Segment EBITDA for APAC was US$11mn, or 21% of revenues, down from US$15mn, or 25% of revenues, in the prior quarter, due to lower activity and an unfavourable activity mix.
The Asia Pacific (APAC) offshore well intervention market is witnessing significant growth, given the advancements in technologies that are capable of boosting operational efficiency while reducing operator costs.
The future scope of the APAC Well Intervention Market points towards further expansion as exploration and production (E&P) activities in the region continue to thrive. The integration of automation and digitalisation in well intervention processes is expected to play a major role in driving market growth. Moreover, rising offshore production activities, especially in countries with untapped hydrocarbon reserves, are projected to offer lucrative opportunities for well intervention services.
Environmental regulations and a focus on sustainable production will also influence the adoption of advanced technologies and efficient well management practices. This evolving market landscape presents ample growth potential for stakeholders in the APAC Well Intervention Market in the years to come.
Removing abandoned offshore platforms are a major hassle, but converting these ageing infrastructure into reefs are an efficient and eco-friendly way to tackle this issue.
In the Asia-Pacific (APAC) region alone, there are more than 2,500 platforms that are awaiting decommissioning in the coming decade. Removing these huge structures not only take time, but is also likely to disrupt marine life. The rigs-to-reefs movement was introduced as a potential solution, with several countries in the APAC region including Thailand and Malaysia implementing these programmes successfully.
These platforms boost biodiversity by offering shelter, breeding grounds and feeding areas for marine organisms like fish, corals and invertebrates, with their metal frames in particular, being a key habitat to numerous marine communities.
Despite its advantages however, reefing does not come without risks. For example, several questions have been raised about the impact of these structures on natural marine patterns, migratory species and surrounding habitats. Moreover, regulators are often hesitant about adopting reefing programmes due to concerns surrounding long-term liability and public trust.
In order to tackle these issues, environmental agencies have there began monitoring these artificial reefs to keep a check on marine health. On the whole, reefing has received mixed reactions. While some have called this as a ‘creative problem-solving’ initiative, others have accused the oil and gas industry of using the technique as a way of stepping aside from taking environmental responsibility.
As reported by Earth.org, this approach however has a promising future, as it balances financial realities with sustainability.
Oilenco Ltd has announced the appointment of Paul Vettese as its new Business Manager for the Asia Pacific region.
Paul brings over 25 years of oil and gas experience to the role, including a decade spent leading sales teams for a global well intervention services provider in Asia Pacific. His extensive background makes him well-positioned to support Oilenco’s strategic growth and regional development plans.
Oilenco designs, engineers, and manufactures specialised downhole tooling to support oil and gas operations worldwide. Its comprehensive portfolio of well intervention solutions is designed to help operators reduce operational time and costs. The company’s innovative solutions are used globally across various offshore assets to enhance well access, intervention, and recovery operations.
In his role, Vettese will lead the development and execution of Oilenco’s business strategy across Asia Pacific. He will oversee the company’s regional direction and growth initiatives, drive new business opportunities, and strengthen relationships with existing clients throughout the region.
Blair McCombie, Operations Director, remarked, "The company is entering an exciting phase of growth, with clear ambitions to expand internationally. With Paul joining the team, we look forward to strengthening our presence across Asia Pacific and expanding our global footprint."
“Having spent the past decade leading sales across the Asia Pacific region, I’ve developed a deep understanding of the market dynamics, client expectations, and the technical challenges operators face. I’m excited to bring that regional insight and network to Oilenco, and to play a key role in expanding the company’s footprint by aligning our innovative solutions with the specific needs of customers throughout Asia Pacific,” added Paul.
Decommissioning activities have been limited in southeast Asia, with only a handful of countries being able to point to any decommissioning work in the last 20 years and the challenge has become tougher due to three key issues.
There is a general inconsistency regarding the approach to international conventions relevant of the decommissioning of offshore installations. International treaties do not have a force of law in every signitory country and the approach taken is inconsistent across the region. Domestically, the decommissioning requirements for southeast Asian nations may vary, depending on various factors. For example, in Indonesia, the implementation of Oil and Gas Law No 22 of 2001 meant that every production sharing agreement (PSC) must contain provisions with respect to post-operation obligations. Another example is Thailand, where the PSC contractor is expected to provide a security deposit, the value of which is approved by the Director General.
In each case, identifying the entity with liability for decommissioning is not a necessity. New legislation with respect to decommissioning may have an impact on the older concession agreements, PSCs or risk service agreements, subject to the terms of each relevant agreement, and whether the legislation has retrospective effect. In practice, they often lack clarity. There are a many such development agreements or arrangements between States or NOCs and oil and gas companies. However, there is no standard form of agreement; these are usually bespoke agreements, subject to different rules and covering different activities. Unless they are clear on decommissioning liabilities at the end of the JDA term, they would likely give rise to additional difficulties.
Since southeast Asia's oil & gas industry is immature when compared to other areas, there arise certain challenges that may not be the case in other areas. A lack of experience is often related to a lack of understanding of the decommissioning cost. Despite an operator or contractor contributing to a decommissioning fund, it is unlikely that the fund would be adequate.
To help the world transition to net zero, decommissioned oil and gas platforms can be repurposed into green energy hubs.
This includes offshore rigs for carbon capture and storage or storing and transporting hydrogen, a type of sustainable fuel that doesn’t emit carbon when it is burned. A report published on the World Economic Forum suggested using legacy oil platforms to produce green hydrogen, which is generated using renewable energy.
Scientists have said that resusing depleted oil and gas wells would allow operators to access geothermal heat in hot rock formations, eliminating upfront costs of drilling new wells and potentially making the technology more appealing to the industry.
Moreover, researchers have suggested that repurposing depleted oil and gas wells may significantly help mitigate potential environmental impacts of abandoned wells and allow operators to access geothermal heat in underground rock formations. It also provides new job opportunities in areas with rich energy industry traditions.
According to Arash Dahi Taleghani, professor of petroleum and natural gas engineering at Penn State, using existing wells can help maintain employment in the area while also allowing communities to be part of the energy future.
Page 3 of 12
Copyright © 2025 Offshore Network
