The global oil well cementing market is estimated to garner a sizeable revenue by growing at a CAGR of ~4% over the forecast period, i.e., 2022 – 2030. The growth of the market can be attributed primarily to the increasing exploration activities of coal, methane and shale gas, which are raising the need for well cementing operations. Apart from these, growing investments in conducting sub-sea construction activities, escalating number of onshore and offshore development activities, and rising energy demand in emerging economies are some of the other significant factors expected to propel the growth of the market in the upcoming years. According to the International Energy Agency, the overall energy demand has grown by more than 80 percent in Southeast Asia from 2000 to 2019, and the electricity demand has increased by an average of 6 percent every year. Furthermore, technological advancements associated with the development of sophisticated well-cementing technologies are projected to provide ample growth opportunities to the market in the near future.
The market is segmented by product outlook into high sulfate resistant (HSR), moderate sulfate resistant (MSR), and ordinary (grade O), out of which, the ordinary (grade O) segment is anticipated to hold the largest share in the global oil well cementing market. This can be accounted to the fact that Portland cement, which is a grade O cement, is the most commonly used for oil and gas well cementing. Along with this, the rising demand for this type of cement in developing nations is also assessed to boost the market segment’s growth in the imminent time. Additionally, on the basis of deployment, the onshore segment is predicted to occupy the largest share over the forecast period owing to the ongoing investments in onshore matured and old wells, and rise in the number of exploration and production activities from onshore oil and gas reserves. CLICK TO DOWNLOAD SAMPLE REPORT
In 2018, the world’s total energy supply was 14282 Mtoe, wherein the highest share in terms of source was captured by oil, accounting for 31.6%, followed by coal (26.9%), natural gas (22.8%), biofuels and waste (9.3%), nuclear (4.9%), hydro (2.5%), and other (2.0%). Where there was an increase in energy demand in 2018, the year 2019 witnessed slow growth as the energy efficiency improved owing to decline in the demand for cooling and heating. However, in 2020, the electricity demand decreased by 2.5% in the first quarter of 2020 due to the outbreak of Coronavirus resulting in government imposed shutdowns in order to limit the spread of the virus, which was further followed by shutdown of numerous business operations impacting their growth. This also resulted in decline of 5.8% in the worldwide CO2 emissions which was recorded to be five times larger than the one recorded during the global financial crisis in 2009. However, in 2021, the demand for oil, gas and coal is estimated to witness growth, which is further projected to create opportunities for market growth. Moreover, rising environment degradation and awareness related to climate change is motivating many key players to employ sustainable energy strategies and invest significantly in environment-friendly power generation technologies with an aim to promote sustainable development among various nations around the world. Such factors are anticipated to promote the growth of the market in upcoming years.
On the basis of geographical analysis, the global oil well cementing market is segmented into five major regions including North America, Europe, Asia Pacific, Latin America and the Middle East & Africa region. The market in the Asia Pacific is estimated to witness noteworthy growth over the forecast period on the back of the growing energy demand, increasing redevelopment of mature oilfield wells, and high demand for well-cementing in the region. In addition, rising pressure pumping and well construction activities in China are also projected to propel the region’s market growth in the future. Moreover, the market in North America is expected to acquire the largest share during the forecast period owing to the upsurge in oil and gas drilling and construction activities, and escalating number of deep-water offshore wells in the region. For instance, in 2018, more than 15 million barrels per day of oil was produced in the United States, which rose up to approximately 17 million barrels per day by the end of the year 2019.
The global oil well cementing market is further classified on the basis of region as follows:
Our in-depth analysis of the global oil well cementing market includes the following segments:
FREQUENTLY ASKED QUESTIONS
The major factors driving market growth are increasing exploration activities of coal, methane and shale gas, and growing investments in conducting sub-sea construction activities.
The market is anticipated to attain a CAGR of ~4% over the forecast period, i.e., 2022 – 2030.
Fluctuating oil prices over the last few years are estimated to hamper the market growth.
Asia Pacific will provide more business opportunities for market growth owing to the growing energy demand, and increasing redevelopment of mature oilfield wells in the region.
The major players in the market are Halliburton Company, Schlumberger Ltd, Baker Hughes Company, Trican Well Services Ltd., Calfrac Well Service Ltd., and others.
The company profiles are selected based on the revenues generated from the product segment, geographical presence of the company which determine the revenue generating capacity as well as the new products being launched into the market by the company.
The market is segmented by location of deployment, type, product outlook, and by region.
The onshore segment is anticipated to hold largest market size and is estimated to grow at a notable CAGR over the forecast period and display significant growth opportunities.
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