Global Statistics Representing Oilfield Chemicals Market Scenario
Global oilfield chemicals market is expected to grow at a CAGR of 4.21% during the forecast period of 2019–2026 and attain a value of USD 158.4 million by 2026.
Oilfield chemicals are components available in liquid forms, widely used in oil & gas drilling projects for amendments in oil & gas exploration field operations. Drilling and production facilities mainly utilizes these chemicals to improve productivity and efficiency of the process & petroleum refining as well as to attain optimum performance with effective oil recovery. Oilfield chemicals promotes the maintenance of smooth operating oilfield, resulting in reduction of expenses over setbacks and stoppage faced during drilling processes. Additionally, they obstruct the formation of the metal scales and diminish the water level into the oil well during exploration & drilling, which positively affects in increasing demand and applications of oilfield chemicals.
The global oilfield chemicals market is growing exponentially and predicted to experience rapid growth during the forecast period 2019–2026. The factors majorly driving the growth of oilfield chemicals at global scale include growing exploration and drilling practices for natural resources such as oil and gas, rise in crude oil production, and need to reduce the gap between supply and demand chain. According to OECD, the crude oil production across the world is 3.97 million during the financial year 2017.
Furthermore, increasing population has amplified the energy requirements and to cope with energy demands more oil & gas E&P activities have been under taken to suffice the residential as well as industrial energy demand. This aspect has been boosting the growth of oilfield chemicals market.
Additionally, shift in inclination towards exploring the unconventional hydrocarbon sources is likely to infiltrate the market growth. Various advantages such as corrosion resistance, demulsification & paraffin dispersants, and repair system for cementing failures offered by the product further increases the demand for the product and is expected to fuel the market growth over the projected period 2019–2026.
The global oilfield chemicals market is segmented by product type, application and region.
On the basis of product type, oilfield chemicals market is segmented into demulsifiers, inhibitors & scavengers, rheology modifiers, friction reducers, biocides, surfactants, foamers, and others. Rheology modifiers segment is likely to hold major share in the market during the forecast period. This is attributed to superior properties of chemical to enhance crude oil properties such as thickening, emulsification, stabilization, and conditioning.
Based on application, oilfield chemicals market is segmented into production, well stimulation, drilling, enhanced oil recovery, cementing, and workover & completion. Production segment is likely to witness a significant growth during the forecast period. This is attributed to increasing production of crude oil in regions such as the Middle East and North America and the rising use of EOR techniques to explore mature oilfields.
Geographically, the global oilfield chemicals market is segmented into North America, Asia Pacific, Europe, Latin America, and the Middle East & Africa (LAMEA).
In terms of value, North America oilfield chemicals market is expected to grow expeditiously over the forecast period 2019–2026. Factor contributing to the growth of the region include existence of huge onshore and offshore shale gas reserves in North America.
Asia Pacific market is estimated to grow rapidly over the next few years. Increasing number of exploration activities and presence of several local vendors contribute majorly to the growth of the market in the region.
Europe specialty oilfield chemicals market is witnessing significant growth and expected to grow continuously. Presence of huge number of chemical companies in the region is predicted to drive the growth of the market. According to CEFIC (the European Chemical Industry Council) European countries stands on twelfth position out of thirty major chemical producing nations, generating approximately USD 639,226 million. As per statistics provided by International Association of Oil and Gas Producers, the taxation of oil and gas products in the European Union contributed near about USD 457,254 million to government revenues in the financial year 2015, which was correspondent to 2.7% of the EU GDP of the same year.
LAMEA oilfield chemicals market is on the rise since last decade. Growing number of oil and gas industries in the region and increasing mining and exploration & production activities along with number or reservoirs present in the region is fueling the growth of market in the region.
Some of the major players actively working in the global oilfield chemicals market include Dowdupont (U.S), BASF SE (Germany), Clariant (Switzerland), Sarvamangal Enterprise (India), Halliburton (U.S), Akzonobel (Netherlands), Global Drilling fluid & chemicals Ltd. (India), Imperial Oilfield Chemicals Pvt. Ltd. (India), Schlumberger Limited (U.S), Solvay (Belgium), Baker Hughes (U.S), Kemira (Finland), and Croda International Plc. (U.S).
Oilfield Chemicals Market Segmentation:
By Product Type