ReportsnReports.com adds new market research report “World Oilfield Chemicals to 2016” to its store.
Dallas, TX (PRWEB) January 06, 2013
World demand for oilfield chemicals is expected to reach $28 billion in 2016 as high oil prices and the increasing demand for energy stimulate new development, especially in oilfield chemical market unconventional and offshore fields. Nearly all types of chemicals will post healthy advances, but the best opportunities will continue to be in drilling fluids and stimulation chemicals. The usage of horizontal drilling and hydraulic fracturing in the development of shale plays in the US and Canada has been a driving force in sales of fracturing fluids and high-tech drilling fluids, although whether North America's success in shale development can be duplicated elsewhere remains to be seen. However, while shale is still purely a North American phenomenon, the development of offshore fields is taking off all around the world. This will continue to fuel demand for all types of chemicals, as costs for offshore wells are significantly higher than for onshore wells. These and other factors are driving demand in the world's major oilfield chemical growth markets, especially Brazil, India, Africa, China, Russia, Saudi Arabia, and a number of other Asian countries. In addition, while slowing, growth will continue to be favorable in the large North American market.
The development of unconventional and offshore fields has led to significant changes in the drilling fluid market. Demand for highly engineered oil-based fluids has been boosted by use in the more challenging shale plays while synthetic and oil fluids are also often used in offshore and deep well situations.
While water-based fluids continue to dominate in volume terms due to their low cost, ease of use and good environmental record, the market is more evenly split in terms of market value and nonaqueous fluids have been gaining market share in recent years. Nevertheless, fluid
suppliers continue to develop improved water-based muds and these products will sustain high demand for water-based fluids in the future.
US, Canada, Russia, China dominate global demand
At present, well stimulation chemical demand is heavily concentrated in four countries: the US, Russia, Canada and China. Demand in the US alone accounts for a majority of the market due to its large number of mature wells and rapid growth in the use of horizontal drilling and multistage fracturing. As oilfields elsewhere continue to mature, stimulation techniques will become more attractive options for oil and gas producers in other countries, especially Mexico, Argentina, and Australia. Additionally, economical development of shale formations virtually necessitates hydraulic fracturing, which will boost demand in the countries seeking to produce from these shales, such as China and India.
North America is expected to remain the largest market. The US and Canada, with older and more developed oilfields, offer a much larger market for chemicals designed to maintain output levels in areas of diminishing well flows. Growth in Brazil will be among the fastest in the world, due to substantial oil production gains and increased activity in deeper offshore fields, such as the pre-salt formations in the Atlantic Ocean.
China will remain the largest market in the Asia/Pacific region, due to its large number of wells and its compelling need to raise its domestic energy supply through techniques such as hydraulic fracturing. The Africa/Mideast region, which accounts for over 45 percent of global oil production, is a smaller market for oilfield chemicals than its huge energy output might suggest. Even so, oilfield chemical demand in the region is expected to grow.
Profiles global industry players such as Baker Hughes, Champion Technologies, Halliburton, M-I SWACO, Nalco, and Newpark Drilling Fluids
Buy a copy of report @ http://www.reportsnreports.com/purchase.aspx?name=213303 and also browse more reports on Energy and Power Market and Oil and Chemicals Market .
ReportsnReports.com is an online market research reports library of 200,000+ in-depth studies of over 5000 micro markets. Our database includes reports by leading publishers from across the globe. We provide 24/7 online and offline support service to our customers.
For the original version on PRWeb visit: http://www.prweb.com/releases/prwebglobal-oilfield-chemical/market-forecast-2016/prweb10291514.htm
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.