Oilfield Services

Market Dynamics in the Oilfield Services Market

Drivers:

  • Increasing demand for energy and technological developments are key factors to drive growth
  • Drilling of new wells in North America for exploration of shale gas
  • Increasing investment in deep-water and ultra-deepwater exploration projects
  • Increasing consumption of oil and gas resources
  • Recent licenses and product launches

Restraints:

  • Stringent environment regulations regarding some services such as drilling waste disposal

     

  • Controversies regarding hydraulic fracturing are expected to hamper growth

     

  • Cross-border travel limitations, supply insufficiencies, quarantine and CAPEX reductions are due to the COVID-19 outbreak

Opportunities:

  • Availability of abundant offshore oil reserves

     

  • Availability of unexplored resources of shale gas

     

  • Increasing investment in research and development activity for production of innovative product
  • Growing urbanization in various countries in the Asia-Pacific region

Challenges:

  • Dry climate, desert topography, and extreme temperatures are compelling participants to come up with efficient lubricants and cooling gas fo protect and extend the life of the equipment

    Combined effect of oil-price crash and virus outbreak pushed many development projects out in time