Trelleborg presents innovations that Lower Total Operator Costs at OTC 2015
In January 2015, oil prices plummeted to an all-time low of $46 over the past five-and-a-half years. This drop triggered the industry to quickly re-evaluate its processes and budgets, redirecting its primary focus to cutting costs, adding value and increasing efficiency. Trelleborg continually monitors industry trends and according to its market analysis, similar trends in oil prices occur approximately every five to seven years. Based on involvement in past projects when oil prices have been low, Trelleborg emphasizes that it is better to consider reducing total cost and improving efficiency than buying low-cost and potentially poorer quality product.
Fredrik Meuller, BA President Trelleborg Offshore & Construction, says: “The natural reaction when the barrel price falls is for operators to cut costs wherever possible. However, given the cyclical nature of the marketplace, it is vital that operators save in the right areas and resist the temptation to simply buy cheap. It remains important to invest in solutions which will continuously deliver high performance over a long lifecycle, to protect projects in the long term, even in tough times.”