Market Research Report
Global Directional Drilling Services Market - 2019-2026
|Global Directional Drilling Services Market - 2019-2026|
Published: January 1, 2020
Delivery time: 2 business days
Directional drilling is a tool designed to drill directionally with continuous rotation from the surface, eliminating the need to slide a drilling motor. Directional drilling services typically are deployed when drilling directional, horizontal, or extended-reach wells. State-of-the-art directional drilling services have minimal interaction with the borehole, thereby preserving borehole quality.
The most advanced services exert consistent side force similar to traditional stabilizers that rotate with the drill string or orient the bit in the desired direction while continuously rotating at the same number of rotations per minute as the drill rig.
The Global directional drilling services market was worth USD XX billion in 2018 and is forecasted to reach USD XX billion by 2026, at a CAGR of XX% during the forecast period 2019-2026.
Directional drilling is widely carried out majorly in North American countries such as the US, Canada. Now Saudi Arabia is emerging in the Directional drilling Services market. This resulted in an increase in the production of oil and gas from unconventional reserves. Depleting conventional oil reserves and rising energy demand from the emerging economies is leading to the growth in the Global Directional Drilling Services. Rising adoption of directional drilling technologies for unconventional oil and gas production is also supporting the growth of the global directional drilling services market.
Directional drilling services have broader applications in hydraulic fracturing due to its wide use in horizontal drilling. In North American region, US is a major country where hydraulic fracturing is taking place at a large scale. There are also environmental concerns with the methane gas leaks and water pollution during fracking. It is a potential threat to the entire process. At the same time, high fluctuations in the oil & gas prices globally are also restraining financial burden on these Directional Drilling providers in the market.
A gradual shift moving towards alternative fuels, more restrictions to curb down the emissions norms in the developed countries are also bolstering growth in these alternative energy sources like bio fuel, and gas; thus renewable fuels would also slump down the growth in the Directional Drilling Market.
Global directional drilling services market is segmented by application in to onshore, and offshore.
Directional drilling is most frequently adopted in onshore applications. This segment is majorly driven by a high number of mature fields in onshore regions, and the high presence of shale gas reserves leads to more exploration and production activity throughout the world. Ease of mobility is high in onshore areas which allow multiple usages of directional drilling services and is expected to create new revenue sources for the directional drilling services market during the forecast period 2019-2026.
The directional drilling services market has been analyzed in the following regions, Asia-Pacific, North America, South America, Europe, the Middle East, and Africa. In Directional drilling services, North America is currently the largest market, and the Middle East is projected to grow at the highest XX % CAGR during the forecast period 2019-2026. In 2016 U.S. accounted for the majority share in North America. Shale gas is an emerging new source of energy supply in the U.S. and Canada. Technological advancements in drilling (long-reach horizontal well bores) and completion techniques (multi-stage hydraulic fracturing) are increasing the outlook for the supply of crude oil in North America.
There is a growing need for liquid fuels in the Americas, which in turn, is resulting in the need to increase crude oil production and the focus of the US government towards implementing strategies to increase offshore oil and gas production, will drive directional drilling services market growth in the Americas.
Global directional drilling services market appears to be fragmented, with the presence of several companies. Schlumberger and Weatherford are prominent players in the competitive Directional Drilling services market. Factors such as the rising investments toward directional drilling and the consolidation of oil and gas companies will provide considerable growth opportunities to rotary steerable systems manufactures. Baker Hughes, Halliburton, National Oilwell Varco, Schlumberger, and Weatherford are some of the major companies covered in this report.
As the oil prices tentatively recovered from the 2014 crash, investments in the alternative renewable energy sources gained momentum, oil and gas companies need to innovate to stay competitive and keep the fuel flowing.
As time passed away our growing energy demand is still deriving the drilling projects; smarter equals faster. However, the industry is becoming more adaptive towards the integration of intelligence with automation through specialist providers. In the initial phase, 'smart drilling' promises us to give oil and gas projects the solid footing needed to keep the energy industry running for decades to come.