The global oilfield chemicals market is estimated to be valued at USD 24.90 billion in 2016. The market is expected to grow at a CAGR of 4.64% to reach USD 31.235 billion by 2021, during the forecast period 2016-2021.
Oilfield chemicals are an integral part of the oil and gas industry and find extensive usage in various stages of oil exploration. The usual problems that oilfields face include water gushing into the oil well during drilling and exploration and gases like carbon dioxide and hydrogen sulfide causing equipment corrosion. Moreover, the metal scales formed during drilling operations also interfere with the machine operations. Such hindrances are avoided by using oilfield chemicals, especially corrosion and scale inhibitor chemicals.
This market is driven by a number of factors, such as increasing shale gas exploration and production, and rising demand for oilfield chemicals from Asia-Pacific. The market faces certain drawbacks, such as dwindling crude oil prices, which may act as roadblocks to the growth of the market. The opening of new horizons due to increasing deep water drilling operations are likely to act as major opportunities for the oilfield chemicals market.
The market is segmented by chemical type and by application. By chemical type, the market is sub-segmented into biocides, corrosion and scale inhibitors, demulsifiers, polymers, pour-point depressants, surfactants, and others. By application, the market is segmented into cementing, drilling, enhanced oil recovery, production, well stimulation, and, work-over & completion. The largest market was for the corrosion inhibitors, which protect the walls of the well from corrosion. The increasing well stimulation and drilling activities are estimated to boost the oilfield chemicals market. This segment is followed by surfactants and demulsifiers.
The market has also been segmented geographically on the basis of consumption. The regional analysis includes North America, Europe, Asia-Pacific, Rest of The World, and Middle East & Africa. North America is the current leader across the globe for oilfield chemicals. This can be attributed to the increased emphasis on shale gas production and exploration in the region. The United States accounts the major share in North America, owing to the boom in shale gas industry, advancements in technologies and increasing oil exports.
Technological advances in horizontal drilling and hydraulic fracturing processes, use of nanotechnology in cementing applications, and growing usage of oilfield chemicals in Latin America are expected to offer major growth opportunities for the players in the global market.
Major Key players in the market include Schlumberger Limited, Halliburton, Baker Hughes Incorporated, Solvay, Newpark Resources Inc., Innospec, Huntsman International LLC, Scomi Group Bhd and Exxon Mobil Corporation, among others.
Key Deliverables in the Study: