Top 10 Subsea Trenching Companies to Prosper with Growing Offshore Activities

Subsea trenching machines are also known as marine trenchers that dig trenches on the seabed to facilitate the burial of subsea pipelines, umbilicals, and cables. The burial of these umbilicals, pipelines, and cables prevents them from getting damaged due to various activities such as fishing and anchorage of ships. Increasing development in offshore oil & gas activities globally is expected to propel the market growth. Furthermore, rising activities in the telecommunication sector have bolstered offshore cable burial to enhance business digitalization across the globe. As per a report by Fortune Business Insights™, the market for subsea trencher was USD 259.1 million in 2020 and is expected to reach USD 392.6 million by 2028 at a CAGR of 5.4% during the 2021-2028 period. The driving factor to propel the market growth is increasing demand for energy to develop offshore oil & gas activities and pipelines globally

For instance, according to TeleGeography, in 2021, 426 submarine cables of 1.3 kilometers in length will be in service globally. The length of this cable was increased from 1.2 kilometers registered in 2019. Increasing utilization of these cables in the telecommunication industry ensures market growth in the allotted regions.

Halted Offshore Production Activities Due to COVID-19 Hamper Market Development

The outbreak of COVID-19 virus affected various industries, including the transport and manufacturing industries. Many businesses have witnessed huge losses due to stringent restrictions imposed by governments on production and import/export activities. The market is significantly dependent on offshore activities. A huge impact on the offshore gas & oil industry has affected the capital investment in the market. During the initial lockdown phase, offshore production activities were closed, which led to an increase in oil prices.

Fortune Business Insights™ Reports the Top 10 Subsea Trenching Companies in the Market:

1.      Royal IHC

Royal IHC is a Dutch shipbuilding organization headquartered in Kinderdijk. The company focuses on constructing, designing, and developing ships for offshore and dredging industries.

On 9^th September 2021, the company’s offshore energy division provided HiTraq Mk 1 to a British company in the Gulf of Mexico. The trench vehicle is a state-of-art-multi-purpose subsea trench vehicle. The newly developed four-lane design allows vehicles to navigate the complex seabed terrain and deliver a high maneuverability level.

2.      Seatools BV

Seatools BV is a subsea technology company that develops solutions for a wide range of submarine challenges. The company is known for delivering customized services to its customers. It is located in the Netherlands.

On 3^rd February 2020, the company delivered an umbilical CT winch on behalf of Van Oord. Its new subsea trencher is referred to as “deep dig it.” It was planned to be implemented in 2021 during cable installation operations on the coast of a wind farm. 

3.      Osbit

Osbit is headquartered in the U.K. It specializes in providing engineering and personalized services. These services enable the execution of challenging offshore projects.

The company signed an agreement with Jan de Nul Group for designing and developing a new subsea trencher vehicle. This vehicle was named Swordfish and delivered in the first quarter of 2022. 

4.      Soil Machine Dynamics

Soil Machine Dynamics is located in the U.K. It is an engineering company specialized in designing and manufacturing underwater equipment and material handling. It offers a wide range of products for underwater remote control technology. 

On 3^rd September 202o, it announced to provide MD3XT trencher as a part of a contract to dig up to 3.3 meters and 1,600 meters of depth.

5.      IKM Subsea

IKM Subsea is a leading company in Norway providing submarine and turnkey operating services. The company has 15 years of experience in the field of production and operations.

On 13^th April 2021, IKM Subsea signed an ROV service contract with Nexans Norway. The company develops corporate building and submarine cables for the international offshore energy industry. According to the agreement, IKM Subsea will deliver ROV services, including subsea trenching in Nexans. 

6.      Rotech Subsea Ltd.

Rotech Subsea is a technology-based company that provides innovative products to oil and gas, renewable, and dismantling sectors.

On 5^th May 2021, the company completed a cable de-burial and post-lay trenching for an offshore energy market leader at the British North Sea offshore wind farm. Rotech Subseadeployed its state-of-the-art RS2 jet trenching tool to accomplish the tasks.

7.      Boskalis

Boskalis is a Dutch company that provides construction and maintenance services of international maritime infrastructure. The company operates in around 90 countries and is headquartered in the Netherlands.

On 11^th June 2019, Boskalis granted a contract to provide a subsea trencher to SMD Ltd. The plow is equipped with the latest SMD surface control equipment. It enabled the company to mobilize on the deck of a ship specialized by Boskalis. The company ensures it is suitable for ditches in harsh clays and can set ditches and fill.

8.      Forum Energy Technologies

Forum Energy Technologies is an international oil company that serves various business verticals such as the submarine sector, oil & natural gas sector, and performs perforation, completion, and production operations. The company is headquartered in Houston.

In August 2021, the company signed a contract for providing life extension in one of its Perry St200 subsea trencher machines. The advanced Perry St200 machine will complete the maintenance and installation of submarine cables which is supposed to improve networking in international communications.

9.      Global Marine Group

Global Marine Group is a British-headquartered company. It specializes in providing installation, repairs, and maintenance of submarine communications cable used in deep-sea research, telecommunication, and oil & gas industries.

On 31^st January 2020, Global Marine Group got a new owner J.F. Lehman & Company (JFLCO), a private equity investment company. JFLCO acquired Global Marine Group. Its sale excludes previously announced GMGS 49% joint venture sales with Huawei Marine Networks.

10.  Oceaneering International Inc.

Oceaneering International is a global company that provides engineered services and products to the offshore gas & oil industry. The company is headquartered in Houston and delivers services and products globally.

On 2^nd March 2021, Oceaneering International announced that its Subsea Robotics and Offshore Projects Group has awarded an integrated rig services contract covering the Khaleesi/Mormont and Samurai fields in the U.S. These services ensure providing remotely operated vehicles with collocated ROV technicians and tooling, subsea trenching, remote positioning, metrology survey resources, and installation and workover control system equipment and technicians.

Is the Market Reach of Subsea Trencher Expected to Expand Globally?

The key subsea trenching companies focus on investing in technological advancements to witness significant growth due to the rising adoption of clean energy and strict emission norms to increase subsea cable burial. Furthermore, growing offshore activities to enhance the demand for subsea umbilical is expected to boost the market development. The rising requirement for internet services globally allows the market to grow fast.

For instance, according to the IRENA, the offshore wind electricity capacity of the world has increased from 28,355 MW in 2019 to 34,367 MW in 2020. This portrayed growth of 21.12% year on year. Also, solar PV has been installed on water instead of land in the past few years and is called floating PV.