Downhole Equipment Market: Current Analysis and Forecast (2022-2028)
Emphasis on By Type (Downhole Tools, Handling Tools, Drilling Tools, Flow & Pressure Control Tools); By Application (Well Drilling, Well Completion, Well Intervention, Well Production, Formation & Evaluation); By End-Use Industry (Oil & Gas Industry, Mining Industry, Geothermal Industry, Petrochemical Industry); Region/Country
The Global Downhole Equipment Market was valued at USD 4 billion in 2021 and grow at a CAGR of 4.6% from 2022-2028. It is mainly owing to the factors such as the increasing maintenance costs and environmental risks that have commended oilfield service companies to set up advanced downhole equipment for cost-effective exploration and production activities. In addition, the demand for effective drilling is widely growing across the globe as downhole equipment withstands severe environmental conditions. Moreover, the rising number of ultra-deep offshore and onshore drilling is also driving the market size of downhole equipment.
Schlumberger Ltd., Halliburton Co., Saint Gobain, Baker Hughes, Weatherford International Ltd., Exwell Oil field, Rubicon Oilfield Products Limited, Toro Downhole Tools, Cougar Drilling Solutions, Vertex Downhole.
Insights Presented in the Report
“Amongst application, well intervention category to witness robust CAGR during the forecast period”
Based on application, the downhole equipment market is categorized into well drilling, well completion, well intervention, well production, and formation & evaluation. The well-intervention segment caters to a significant market share. The declining shallow water resources have spurred technical advances that allow offshore exploration and production in deeper, harsher environments. Further, new discoveries and pressure to improve recovery rates from developed fields increase demand for subsea intervention which escalates the need for well intervention.
“Amongst end-user industry, oil & gas industry industry category to witness robust CAGR during the forecast period”
Based on the end-user industry, the downhole equipment market is classified into the oil and gas industry, mining industry, geothermal industry, and petrochemical industry. The oil and gas industry acquired a significant share of the downhole equipment market. Oil and gas exploration encompasses the processes and methods involved in locating potential sites for oil and gas drilling and extraction. In recent years, oil and gas companies are increasingly shifting towards clean energy transitions by lowering the emissions intensity of new upstream and LNG developments which in turn is expected to accelerate the opportunities for downhole equipment in oil and gas industry
“North America to hold a significant share in the market”
North America is anticipated to grow at a substantial CAGR during the forecast period. This is mainly attributed to the factors such as the increasing number of activities and oil production from the Permian Basin in the United States coupled with a reduction in the cost of drilling, new drilling and production technologies, and increasing oil prices are likely to drive the market. For instance: In February 2022, BP PLC announced the start of the Herschel Expansion project in the Gulf of Mexico.
In December 2021, ConocoPhillips started production at its GMT-2 oil project in the National Petroleum Reserve-Alaska. The project is expected to produce 30,000 b/d at its peak. The development costs for the project were USD 1.4 million.
Downhole Equipment Market Report Coverage
Reasons to buy this report:
- The study includes market sizing and forecasting analysis validated by authenticated key industry experts.
- The report presents a quick review of overall industry performance at one glance.
- The report covers an in-depth analysis of prominent industry peers with a primary focus on key business financials, product portfolio, expansion strategies, and recent developments.
- Detailed examination of drivers, restraints, key trends, and opportunities prevailing in the industry.
- The study comprehensively covers the market across different segments.
- Deep dive regional level analysis of the industry.
Customization Options:
The global Downhole Equipment market can further be customized as per the requirement or any other market segment. Besides this, UMI understands that you may have your own business needs, hence feel free to connect with us to get a report that completely suits your requirements.
Table of Contents
Research Methodology for the Downhole Equipment Market Analysis (2022-2028)
Analyzing the historical market, estimating the current market, and forecasting the future market of the global Downhole Equipment market were the three major steps undertaken to create and analyze the adoption of Downhole Equipment in major regions globally. Exhaustive secondary research was conducted to collect the historical market numbers and estimate the current market size. Secondly, to validate these insights, numerous findings and assumptions were taken into consideration. Moreover, exhaustive primary interviews were also conducted, with industry experts across the value chain of the global Downhole Equipment market. Post assumption and validation of market numbers through primary interviews, we employed a top-down/bottom-up approach to forecasting the complete market size. Thereafter, market breakdown and data triangulation methods were adopted to estimate and analyze the market size of segments and sub-segments of the industry pertains to. Detailed methodology is explained below:
Analysis of Historical Market Size
Step 1: In-Depth Study of Secondary Sources:
Detail secondary study was conducted to obtain the historical market size of the Downhole Equipment market through company internal sources such as annual reports & financial statements, performance presentations, press releases, etc., and external sources including journals, news & articles, government publications, competitor publications, sector reports, third-party database, and other credible publications.
Step 2: Market Segmentation:
After obtaining the historical market size of the Downhole Equipment market, we conducted a detailed secondary analysis to gather historical market insights and share for different segments & sub-segments for major regions. Major segments are included in the report as type, application, and End-User. Further country-level analyses were conducted to evaluate the overall adoption of testing models in that region.
Step 3: Factor Analysis:
After acquiring the historical market size of different segments and sub-segments, we conducted a detailed factor analysis to estimate the current market size of the Downhole Equipment market. Further, we conducted factor analysis using dependent and independent variables such as increasing demand for material handling equipment a thorough analysis was conducted for demand and supply-side scenarios considering top partnerships, mergers and acquisitions, business expansion, and product launches in the Downhole Equipment market sector across the globe.
Current Market Size Estimate & Forecast
Current Market Sizing: Based on actionable insights from the above 3 steps, we arrived at the current market size, key players in the global Downhole Equipment market, and market shares of the segments. All the required percentage shares split, and market breakdowns were determined using the above-mentioned secondary approach and were verified through primary interviews.
Estimation & Forecasting: For market estimation and forecast, weights were assigned to different factors including drivers & trends, restraints, and opportunities available for the stakeholders. After analyzing these factors, relevant forecasting techniques i.e., the top-down/bottom-up approach were applied to arrive at the market forecast for 2027 for different segments and sub-segments across the major markets globally. The research methodology adopted to estimate the market size encompasses:
- The industry’s market size, in terms of revenue (USD) and the adoption rate of the Downhole Equipment market across the major markets domestically
- All percentage shares, splits, and breakdowns of market segments and sub-segments
- Key players in the global Downhole Equipment market in terms of the product offered. Also, the growth strategies adopted by these players to compete in the fast-growing market
Market Size and Share Validation
Primary Research: In-depth interviews were conducted with the Key Opinion Leaders (KOLs) including Top Level Executives (CXO/VPs, Sales Head, Marketing Head, Operational Head, Regional Head, Country Head, etc.) across major regions. Primary research findings were then summarized, and statistical analysis was performed to prove the stated hypothesis. Inputs from primary research were consolidated with secondary findings, hence turning information into actionable insights.
Split of Primary Participants in Different Regions
Market Engineering
The data triangulation technique was employed to complete the overall market estimation and to arrive at precise statistical numbers for each segment and sub-segment of the global Downhole Equipment market. Data was split into several segments & sub-segments post studying various parameters and trends in the areas of type, application, and end-user in the global Downhole Equipment market.
The main objective of the Global Downhole Equipment Market Study
The current & future market trends of the global Downhole Equipment market were pinpointed in the study. Investors can gain strategic insights to base their discretion for investments on the qualitative and quantitative analysis performed in the study. Current and future market trends determined the overall attractiveness of the market at a regional level, providing a platform for the industrial participant to exploit the untapped market to benefit from a first-mover advantage. Other quantitative goals of the studies include:
- Analyze the current and forecast market size of the Downhole Equipment market in terms of value (USD). Also, analyze the current and forecast market size of different segments and sub-segments
- Segments in the study include areas of type, application, and end-user.
- Define and analysis of the regulatory framework for the Downhole Equipment
- Analyze the value chain involved with the presence of various intermediaries, along with analyzing customer and competitor behaviors of the industry.
- Analyze the current and forecast market size of the Downhole Equipment market for the major region.
- Major countries of regions studied in the report include Asia Pacific, Europe, North America, and the Rest of the World.
- Company profiles of the Downhole Equipment market and the growth strategies adopted by the market players to sustain in the fast-growing market
- Deep dive regional level analysis of the industry
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