Oilfield Equipment Rental Services Market Size was valued at USD 85.9 Billion in 2022. The oilfield equipment rental services market industry is projected to grow from USD 90.1 Billion in 2023 to USD 132.2 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.91% during the forecast period (2023 - 2032). Macroeconomic factors that influence the market and drilling activity has increased globally are the key market drivers enhancing the market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Market CAGR for oilfield equipment rental services is primarily driven by the technological advances in oilfield equipment. Oil and gas companies are shifting their exploration focus to unconventional and deep hydrocarbon reservoirs such as shale gas, coal bed methane (CBM), tight gas, and heavy oil. To undertake operations in various unconventional and deep reservoir settings, the petroleum sector now has modern IT-based technology and software. This paves the way for new age technology to be used as a tool to carry out difficult operations.
For instance, an advanced Radio Frequency Identification (RFID) circulation sub that aids in drilling and hole-cleanup operations. The RFID circulation sub allows operators to reduce non-productive time. The application of advanced drilling and completion technologies have enabled financially viable drilling in shale formations. The traditional equipment are not fully equipped to meet the new challenges. Large shale oil and gas deposits have become accessible because to technologies like horizontal drilling and hydraulic fracturing. The number of oil rigs now includes a larger horizontal component.
The stability of crude oil prices, which has enhanced the profit margin for drilling and production businesses, is another factor contributing to the growth in projects. This element contributes to market expansion throughout the forecast period. Furthermore, technological improvements such as directional drilling and hydraulic fracturing have aided the spread of shale gas production from such key sources. Furthermore, shale drilling necessitates a wide range of oilfield equipment and services. These factors will also contribute to market expansion in the following year.
The oilfield equipment rental services market segmentation, based on drilling equipment includes drill pipe, drill collars, heavy-wate, drill subs. The drill pipe category has the biggest market share due to extensive drilling activity both offshore and onshore. Shale production, which requires drill pipes as a necessary piece of equipment, has also increased. About 95% of a drill string's length is made up of drill pipes, which are seamless steel pipes. For the record, a drill string is used to actually drill into the earth in order to extract minerals. Because the drill pipe is hollow, drilling fluid may flow freely through it, which facilitates efficient pumping. Drill pipes are designed to distribute drilling torque the whole length of the pipe, which is sometimes many miles.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The oilfield equipment rental services market segmentation, based on pressure and flow control, includes BOP, valves & manifolds and others. The BOPs segment led the oilfield equipment rental services market in 2022. BOPs are regarded as one of the most crucial and critical components on a drilling site since they aid in managing the back pressure kick inside the wellbore. These objects are viewed as a secondary option for managing the back pressure kick in the wellbore, because the major option for controlling the back pressure kick while drilling a well is the weight of the mud itself.
By region, the study provides the market insights into North America, Europe, Asia-Pacific and the Rest of the World. In 2022, North America held the biggest market share, accounting for 41%. The increasing production of oil and gas in the region is expected to boost the expansion of the market in this region. The United States is one of the world's top producers and users of oil and gas. Furthermore, it can reach horizontal excellent bores and completion procedures like as multi-stage hydraulic fracturing.
Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe’s oilfield equipment rental services market accounts for the second-largest market share due to an increase in a variety of oil rig counts & rising demand for oil & gas is helping boost the market growth in this region. Further, the German oilfield equipment rental services market held the largest market share, and the UK oilfield equipment rental services market was the fastest-growing market in the European region
The Asia-Pacific Oilfield Equipment Rental Services Market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to because of their increasing exploration activities. Moreover, China’s oilfield equipment rental services market held the largest market share, and the Indian oilfield equipment rental services market was the fastest-growing market in the Asia-Pacific region.
Leading market players are investing heavily in R&D to expand their product lines, which will help the oilfield equipment rental services market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, oilfield equipment rental services industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the oilfield equipment rental services industry to benefit clients and increase the market sector. In recent years, the oilfield equipment rental services industry has offered some of the most significant advantages to medicine. Major players in the oilfield equipment rental services market, including Baker Hughes (U.S.). National Oilwell Varco (U.S.) Cameron International Inc (U.S.). Transocean Ltd (Switzerland), B&B Oilfield Equipment Corp (U.S.) and others, are attempting to increase market demand by investing in R&D operations.
Baker Hughes Company, based in Houston and incorporated in Delaware, is one of the world's major oil field services firms. The company offers oil well drilling, formation appraisal, completion, production, and reservoir consulting goods and services. It has research and manufacturing centres in Australia, Singapore, Malaysia, India, Dubai, Saudi Arabia, Italy, Germany, Norway, Oklahoma, Louisiana, and Missouri, among other places. General Electric (GE) held the bulk of the corporation from 2017 to 2020; however, GE no longer has a meaningful position in the company. In April 2022, Baker Hughes unveiled the MS-2 Annulus Seal, a unique subsea wellhead technology that will significantly reduce operational rig costs by cutting overall installation charges due to fewer rig trips. Several clients in North and South America have already accepted the new integrated sealing solution, which was introduced and presented worldwide during the 2022 Offshore Technology Conference in Houston.
Schlumberger Limited, sometimes known as SLB, is an oilfield services provider. It is the world's largest offshore drilling company as well as the world's largest offshore drilling contractor by revenue as of 2022. Schlumberger N.V. is based in Willemstad, Curaçao, and trades on the New York Stock Exchange, the London Stock Exchange, Euronext Paris, and the SIX Swiss Exchange. Its primary executive offices are in Houston, Texas. Schlumberger will be the 349th largest company in the world according to the Forbes 2000 in 2022. Conrad and Marcel Schlumberger of Alsace started Schlumberger in Paris in 1926 as the Electric Prospecting Company. In April 2022, Schlumberger and PETRONAS have launched a collaboration to look at conservation, modernisation, joint technology development, and the Internet of Things. Participants will also continue to focus on improving organisational performance through digital transformation projects such as integrating facilities with IoT edge technology and developing digital twins.
In May 2022:Â Halliburton and Aker BP, a Norwegian oil and gas exploration and production company, announced collaboration on next-generation field expansion planning software. The partnership resulted in the release of Field Development Planning (FDP), a new cloud application from Halliburton. Based on an open architecture, it also boosted collaboration and connectivity across drilling activities.
In July 2019:Â i3 Energy plc awarded Baker Hughes, a GE Company (BHGE), a contract for its drilling operation at Liberator. In accordance with the conditions of the contract, BHGE is responsible for providing wellhead, directional drilling, drilling fluids, mudlogging, and activities for evaluating the formation.
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 85.9 Billion |
| Market Size 2023 | USD 90.1 Billion |
| Market Size 2032 | USD 132.2 Billion |
| Compound Annual Growth Rate (CAGR) | 4.91% (2023-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2023-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Drilling Equipment, Pressure and Flow Control, Â and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Halliburton Co. (U.S.), Oil States International Inc. (U.S.), Schlumberger Ltd (U.S.), Superior Energy Services Inc. (U.S.). And Weatherford International Ltd. (Switzerland). Baker Hughes (U.S.). National Oilwell Varco (U.S.)Cameron International Inc (U.S.). Transocean Ltd (Switzerland), B&B Oilfield Equipment Corp (U.S.). |
| Key Market Opportunities | · Increased use of unconventional oil and gas fields. |
| Key Market Dynamics | · Globally, the number of drilling activity is increasing. |
Oilfield Equipment Rental Services Market Highlights:
Frequently Asked Questions (FAQ) :
The oilfield equipment rental services market size was valued at USD 85.9 Billion in 2022.
The market is projected to grow at a CAGR of 4.91% during the forecast period, 2023-2032.
North America had the largest share of the market
The key players in the market are Baker Hughes (U.S.). National Oilwell Varco (U.S.) Cameron International Inc (U.S.). Transocean Ltd (Switzerland), B&B Oilfield Equipment Corp (U.S.).
The Drill Pipe category dominated the market in 2022.
The BOPs had the largest share of the market.
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