North America Floating Production Storage and Offloading Market, 2025–2035
The North America Floating Production Storage and Offloading (FPSO) Market is poised for substantial growth from 2025 to 2035, driven by increasing offshore energy exploration, surging investments in advanced floating platforms, and robust demand for flexible production solutions. This market encompasses FPSOs, FSOs, FLNGs, FSRUs, TLPs, and Spar Platforms across exploration, storage, production, offloading, and processing applications. The industry is characterized by rapid technological innovation, shifting distribution channels, and significant contributions from both small and large organizations. Major players such as SBM Offshore, MODEC, and Shell play critical roles in shaping the market landscape.
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Latest Market Dynamics
Key Drivers
- Rising Offshore Oil & Gas Exploration: North America, particularly the U.S. Gulf of Mexico, is witnessing renewed exploration activities driven by rising global energy demand and technological advancements. For example, ExxonMobil announced new deep-water investments in the Gulf of Mexico in June 2024.
- Technological Advancements in FPSO Design: Latest innovations are enabling modular and digitalized FPSOs to operate efficiently in harsh environments. For instance, SBM Offshore unveiled its digital twin-enabled FPSO platform rollout in May 2024.
Key Trends
- Digitalization and Automation: Integration of AI, IoT, and remote monitoring into FPSO operations for enhanced efficiency and cost savings is becoming standard. Shell’s adoption of AI-powered predictive maintenance in its North America FPSO fleet marked a trend in April 2024.
- Decarbonization Initiatives: Growing focus on emission reduction and adoption of greener energy sources in floating platforms. TechnipFMC launched its low-carbon FPSO concept in partnership with North American operators in June 2024.
Key Opportunities
- Expansion in Deepwater Fields: Development of untapped deepwater reserves, especially in the U.S. and Mexico, offers major opportunities for FPSO deployment. MODEC secured a contract for a next-generation FPSO for Mexico’s offshore block in July 2024.
- FLNG and Gas-to-Power Growth: Increasing demand for flexible LNG supply and regasification in North America supports new FLNG and FSRU deployments. In June 2024, Chevron announced investment in a new FLNG facility for North American export markets.
Key Challenges
- High Upfront Costs: Substantial capital investment required for FPSO construction and deployment may hinder new entries. Bluewater Energy Services reported delays in a major FPSO retrofit project due to funding constraints in May 2024.
- Regulatory Hurdles: Stringent environmental and safety regulations require compliance and extensive permitting, causing project delays. The US introduced stricter offshore safety requirements impacting new FPSO launches in June 2024.
Key Restraints
- Volatile Oil Prices: Unpredictable fluctuations deter long-term offshore investment. Bumi Armada delayed expansion of its North America FPSO fleet citing price volatility in June 2024.
- Supply Chain Disruptions: Ongoing global supply chain challenges are increasing costs and extending lead times for components. Daewoo Shipbuilding & Marine Engineering faced FPSO delivery delays for North America projects due to parts shortages in July 2024.
North America Floating Production Storage and Offloading Market Share (%), By Type, 2025
In 2025, FPSOs command the largest share of the North America Floating Production Storage and Offloading market at 42%, reflecting the preference for versatile, integrated production and storage units. FLNG comes next with a 28% share, driven by the demand for flexible LNG solutions, while FSRUs account for 18% as regasification remains in demand. Smaller segments include Spar Platforms (7%), FSOs (3%), and TLPs (2%). FPSOs dominate due to their adaptability for both oil and gas projects, which remains essential for the region’s deepwater and ultra-deepwater developments.
North America Floating Production Storage and Offloading Market Share (%), By Application, 2025
Production applications lead the North America FPSO markets with a 39% share in 2025, underscoring their primary role in offshore energy extraction. Storage follows with a 21% share, driven by the need for strategic offshore storage units. Exploration (15%) and Offloading (14%) play vital supportive roles, while Processing (8%) completes the application landscape. The dominance of production and storage reflects regional priorities toward resource extraction efficiency and operational flexibility, promoting sustained long-term investments in high-performance FPSO units.
North America Floating Production Storage and Offloading Market Revenue (USD Million), 2020-2035
The North America Floating Production Storage and Offloading market is projected to rise from USD 3,600 Million in 2020 to USD 7,050 Million by 2035. Revenue growth accelerates post-2025, reflecting increased offshore projects, technology adoption, and high global energy prices. Market expansion is fueled by FPSO replacements, FLNG project launches, and investments in sustainable digital infrastructure for floating production units.
North America Floating Production Storage and Offloading Market YOY (%), 2020-2035
Year-over-year (YOY) growth rates in the North America FPSO market show an initial uptick after 2025, averaging 7.3% through 2030 as new FPSO and FLNG projects come online. Growth moderates closer to 3.8% by 2035 as the market matures. Fluctuations largely correspond to mega-project commissioning cycles and upswings in regional energy demand.
North America Floating Production Storage and Offloading Market Share (%), By Region, 2025
The United States holds the lion’s share of the North America FPSO market at 68% in 2025, reflecting its substantial offshore platform investments, notably in the Gulf of Mexico. Mexico follows with 19%, leveraging new deepwater licensing rounds and FLNG growth, while Canada captures 13% owing to strategic offshore exploration in Atlantic provinces. Regional distribution is shaped by project scale, regulatory climate, and resource accessibility.
North America Floating Production Storage and Offloading Market Players Share (%), 2025
In 2025, SBM Offshore leads the North America FPSO market with an 18% share, buoyed by its advanced digital platforms and project pipeline. MODEC holds 15% as a preferred contractor for new builds, while BW Offshore secures 11%. Shell (10%) and TechnipFMC (9%) round out the top five. Other firms collectively hold 37%, reflecting competition and collaborative ventures in project execution.
North America Floating Production Storage and Offloading Market Buyers Share (%), 2025
Supermajor oil companies dominate FPSO procurement in North America, with ExxonMobil representing 27% of buyer share in 2025, Shell 19%, and Chevron 15%. Independent operators account for 20% as they aggressively enter new plays, while NOCs (National Oil Companies) and others make up 19%. Market presence of the supermajors underscores their capital strength and appetite for large-scale offshore projects.
Study Coverage
| Metrics | Details |
|---|
| Years | 2020-2035 |
| Base Year | 2025 |
| Market Size | Revenue (USD Million) |
| Regions | United States, Mexico, Canada |
| Segments | Type (FPSO, FSO, FLNG, FSRU, TLP, Spar Platform), Application (Exploration, Storage, Production, Offloading, Processing, Others), Distribution Channels (Direct, Indirect, Online, Distributors, Wholesalers, EPC Contractors), Technology (Conventional, Seafloor Processing, Subsea Processing, Mooring System, Power Generation, Digitalization), Organization Size (Small, Medium, Large) |
| Players | SBM Offshore, MODEC, BW Offshore, Bluewater Energy Services, Teekay Corporation, Hyundai Heavy Industries, Bumi Armada, ExxonMobil, Shell, Chevron, TechnipFMC, Samsung Heavy Industries, Daewoo Shipbuilding & Marine Engineering, Yinson Holdings, Petrofac |
Key Recent Developments
- June 2024: SBM Offshore launched its digital twin-enabled FPSO platform aimed at boosting operational efficiency in North America.
- June 2024: ExxonMobil announced a new deepwater field investment in the Gulf of Mexico, expanding its offshore FPSO fleet.
- July 2024: MODEC won a contract for a next-generation FPSO to be deployed off the coast of Mexico.
- May 2024: Bluewater Energy Services reported delays in a U.S.-based FPSO retrofit project due to capital constraints.
- June 2024: Shell implemented AI-driven predictive maintenance on its North America FPSO fleet, reducing unplanned downtime.
