ID: MRFR/E&P/0533-HCR | February 2021 | Region: Global | 120 pages
It is estimated at the wireline services market growth will reach a CAGR of 6.7% by the year 2028. Wireline Services are cable technology that is used in oil and gas operators. It helps in reducing measuring equipment in the intervention process, evaluation in the reservoir, and pipe recovering. Wireline Services is involved in exploration activities, drilling, stimulation, and other lifecycles of the oil& gas industry.
The oilfield services firms outsource the wireline services for intervention procedures. It helps in detecting operations to control wireline in real-time. It is estimated that development in exploration and production activities will increasethe market growth during 2020-2028.
Since the year 2019, the world has been facing a pandemic. Due to normal routine life as well as business operations have been severally impacted. Many countries have sealed the borders which have impacted the import and exports of goods and services. Also, regional lockdowns are imposed for restricting virus spread. Due to this, oil field operations are stagnant.
The countries have imposed social distancing norms, hence the operations on the field are working on reduced capacities. This has further impacted production in both upstream and downstream sectors. It is estimated high price volatility coupled with other factors, wireline services market growth will be severely impacted in the short and medium-term.
The key market players are facing issues to cope with reduced demand, business instability, price along with ensuring high employee safety. Also, the downfall of the wireline services industry can be contributed to degrowth associated businesses like manufacturing, automotive, aviation, and others.
Drivers- The major market drivers will include oil price recovery. Over the years, offshore production has increased which has coupled the investments in subsea oil & and gas sectors. Another driver for the market growth will be increased initiatives to integrate efficient production techniques.
The oil and gas companies are recently focusing to recover while also extending the life tenure of mature oil fields. Also,EOR thermal technologies are being used to produce heavy oil. This will further help in wireline services market growth.
Opportunities- There has been increasing focus on the operational performances of equipment used in oil field operations. Also, the equipment industry has witnessed a reduction in capital expenses. This has enabled the oil field companies for adopting digitized devices, solutions, and other services.
Major key players are highly investing in the product launches for improving the wireline services. This has increased the continuous development of technology through a high focus on research and development.
Restraints- There has been a significant impact of COVID-19 on the oil and gas market in the downstream sector. This further coupled with the crashing of crude oil prices. This has impacted activities of production and exploration. It is estimated that market growth will be hampered in the short and long term.
Challenges- The oil and gas sectors witness high price volatility. This further impacts the demand and supply of oil and related products. Reduced oil prices will likely delay projects while also hamper investment activities significantly. Also, there have government regulations for reducing exploration activities. Alongside, the demand for renewable sources of energy like solar, wind, and others have increased which will hamper the wireline services market growth.
Cumulative Growth Analysis- Over the past few years, there has been increasing demand for oil and gas-related products. Also, discoveries on mature oil fields have increased which is expected to boost the market demand in upcoming years.
Wireline services consist of multiline cables that perform functions like pipeline recovery, interventions, flawless service, and evacuation. It provides various advantages which include cost reduction by reducing maintenance and non-operational rigging time. This will boost the market revenue of wireline services.
Value Chain Analysis- National and International agencies have laid down strict regulations on exploration activities. This has boosted private investments in technological development in the equipment sector to reduce environmental activities. Due to this, there has been a shift from conventional sources to alternatives.
The exploration activities for tight gas, shale gas, and others will continue boosting the market growth. In the upcoming years, technological advancement and growing demand for oil and gas exploration will boost wireline services market size.
Wireline services market size is subdivided into good type, service, location, and application.
Based on Well Type- It includes open and cased holes out of which the latter holds huge market shares. As it offers benefits like determining corrosion, perforation, and cement status. Besides, the open hole segmentation will also project a steady rate. Due to its usage of sensors for measuring reservoirs.
Based on service– This segmentation includes the electrical and slick line. In this view, electrical lines will hold significant market shares as its capability to avoid capital wastages. However, there has been steady growth in slack lines over the years.
Based on Location- In this segment of the market, the market size is subdivided into onshore and offshore. There has been an increasing preference for shale gas to reduce carbon emissions. Thus, onshore market growth will be higher than offshore.
Based on Application- This segment is further categorized in well intervention, completion, and logging. In this view, well logging is estimated to have higher market shares due to increasing demand for shale gas and crude oil. It is being anticipated that in upcoming years, well intervention will also register high growth.
Key market players are listed below.
Based on regional analysis, it is divided into five regions, it includes North America, Europe, Asia, Latin America, Middle East, Africa. North America will capture the highest market share. Owning to largest oilfield discoveries. In the year 2020, the market growth reached 12.2 million barrels each day. In Northern America, there is high demand for wireline services due to the recent shale gas boom within the region. Also, Canada and the USA are conducting numerous drilling projects which are expected to boost the market growth.
Also, the Middle East and Africa have received large investments from companies in the oil and gas industry. In the year 2020, Qatar initiated drilling campaigns which have increased production and exploration activities.
In the year 2019, the US government had announced fracking of approximately 1 million private and public land. In the same year, one of the largest independent companies in the oil and gas field was formed with a multibillion-euro merger deal. Also, Halliburton announced its Elect Frac that enables multi-stage fracturing processes. The Elect Frac sleeve is evolutionary which supports flexibility in the optimized reservoir with adequate stimulated options. The key market players have been focusing on the development of technological development for producing and exploring oil and gas.
The report includes analysis including factors like market overview, COVID-19 analysis, market dynamics, value chain analysis, segment overview, competitive landscape, and recent development.
|Market Size||2028: Significant Value|
|CAGR||6.7% CAGR (2020-2028)|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Application, Type, Well Type and Location|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||GE Oil and Gas (U.S.), Weatherford International (U.S.), Schlumberger (U.S.), Superior Energy Services (U.S.), Pioneer Energy Services Corp. (U.S.), C&J Energy Services Ltd. (U.S.), and National Oilwell Varco, Inc. (U.S.). Halliburton (U.S.), Basic Energy Services, Inc. (U.S.), Expro International Group Holding Ltd. (UK), Wireline Engineering Ltd. (UK), Oilserv (UAE), and SGS (Switzerland)|
|Key Market Opportunities||New product launches and R&D amongst major key players|
|Key Market Drivers||
Frequently Asked Questions (FAQ) :
During the forecast period, it is estimated that wireline services market growthwill achieve a CAGR of 7%.
Market growth has declined to own to reduced demand, business instability, price along ensuring high employee safety. Also, the wireline services industryis witnessing degrowth associated with businesses like manufacturing, automotive, aviation, and others.
Due to the pandemic prices of crude oil are reduced which be recovered in the upcoming years. During the forecast, investments will increase offshore production. The use of EOR thermal technologies will be another driving factor.
The crashing of oil prices will hinder market growth in the medium and long term.
The segment overview is based on good type, service, location, application.
Key market players include Baker Hughes (US), Halliburton (US), Weatherford (US), Weir Oil and Gas (UK), National Oilwell Varco (US), FMC Technologies (US), Emerson (US), Siemens (Germany), Schneider Electric (France), Petrofac (Jersey), Archer Limited (UK), Superior Energy Services (US).
It is divided into five regions, it includes North America, Europe, Asia, Latin America, Middle East, Africa.
It is estimated thatNorth America will capture the highest market share. Due to the largest oilfield discoveries. Also, the year 2020, reached a market growth of 12.2 million barrels each day.
Companies have taken a merger strategy in Europe. While Halliburton introduces Elect Frac.
Over the years, there has been increasing focus on the operational performances of equipment. Besides, the equipment industry is witnessing a reduction in capital expenses due to whichoil field companies have reaped opportunities foradopting digitized devices, solutions, and other services. Also, there have been increasing investments in product launches to improve wireline services. Due to this, there has been increased continuous development of technology.