Frost & Sullivan: Vulnerability of Oil and Gas Infrastructure Drives Security Investments
- Oil & gas companies prefer integrated and flexible solutions that offer comprehensive protection, finds new Frost & Sullivan market analysis
LONDON, Jan. 17, 2013 /PRNewswire/ -- Security of critical facilities remains the topmost priority for the global oil and gas industry. Escalating demand for oil and gas, the construction of new facilities, and physical and cyber threats to these installations have led to growth in the oil and gas infrastructure security market.
New analysis from Frost & Sullivan (http://www.defence.frost.com), Global Oil and Gas Infrastructure Security Market Assessment, finds that the market earned revenues of $18.31 billion in 2011 and estimates this to reach $31.27 billion in 2021.
The vulnerability of oil and gas infrastructures to various threats – both physical as well as cyber – is a matter of great concern for their operators. This is causing them to invest heavily in security.
"Global oil and gas companies are investing capital in new infrastructure projects, driving the need for security solutions at these facilities," noted Frost & Sullivan Aerospace, Defence & Security Senior Research Analyst Anshul Sharma. "With increasing awareness of threats, companies are adopting a security-risk management approach and implementing risk assessment of their facilities to ensure security Return on Investment (ROI)."
There is a growing preference for total solutions with flexible integration of individual security systems like access control, video surveillance and intrusion-detection on one platform. Heavy investments in cyber security are also projected due to various attacks on energy facilities in the past five years.
"The threats may vary from information theft to a terrorist attack, but the economic impact and financial damage in case of an attack will be much more significant," explained Sharma. "It would also depend on the motive of the attacker. For example, a cyber attack to remotely control a SCADA system can have more serious consequences than a cyber attack to steal information."
The cost of advanced security technologies, the lack of resources for managing security, compliance and operations, and low spending on cyber security threaten market prospects.
"Suppliers of security systems should aim at designing an integrated security solution that proactively identifies, assesses and mitigates risks and threats originating from within the facility as well as from well beyond it," advised Sharma. "On their part, oil and gas companies and operators of critical oil and gas facilities need to do a threat and risk assessment of their facility to ensure there is no over spending or under spending on security-related matters."
If you are interested in more information on this analysis, please send an email to Joanna Lewandowska, Corporate Communications, at email@example.com, with your full contact details.
The Executive Summary of the study is available on Slide Share.
Global Oil and Gas Infrastructure Security Market Assessment (M83D-23) is part of the Security Growth Partnership Service programme. Frost & Sullivan's related research services include: Safe Cities Market, Airport Security Market, Global First Responder C3i Market Assessment, and Indian Homeland Security Market Assessment. All research services included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.
About Frost & Sullivan
Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.
Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.
- The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
- The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.
For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organisation prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?
SOURCE Frost & Sullivan
More by this Source
Get content for your website
Enhance your website's or blog's content with PR Newswire's customised real-time news feeds.
Contact PR Newswire
Send us an email at MarketingUK@prnewswire.co.uk or call us at +44 (0)20 7454 5382
Become a PR Newswire client
Request more information about PR Newswire products & services or call us at +44 (0)20 7454 5382