Westwood Insight: US onshore cost inflation is back making deep water look more competitive
Offshore – dead and buried, thanks to onshore shale? Not quite. The OFS world moves fast. Data from the Energent team in Houston indicates that consumption of sand for hydraulic fracturing in the onshore US market hit new highs of over 30 billion lbs (13.6 billion kg) in Q2 last year, topping the previous peak in 2014, despite only half the number of land rigs working. The US completions market is running in overdrive. But how does this impact the remainder of the OFS business?