Oilfield services are various oil related operations, such as exploration, drilling, stimulation, completion, intervention, and production, for the entire life cycle of well exploration. Oilfield services help operators to control the subsurface pressures, control borehole erosion, minimize formation damage, optimize drilling parameters, and analyze penetration rate & hole cleaning. Technological innovation has led to increased efficiencies in resource extraction and management. Moreover, major companies have shifted to technology-based services to fulfill the rise in demand in this sector. High accuracy, precision, & reduction in time and labor cost are other reasons that boost the technologically-advanced oilfield services extensively. Oilfield services are expected to witness rapid growth over the forecast years due to global rise in oil & gas production and increase in shale gas extraction.

Market scope and structure analysis:

By Type

• Equipment Rental
• Field Operation
• Analytical & Consulting Services

By Application

• Onshore
• Offshore

By Service

• Workover & Completion Services
• Production
• Drilling Services
• Subsea Services
• Seismic Services
• Processing & Separation Services

COVID-19 scenario analysis

The COVID-19 pandemic has reduced the demand for oil & gas drastically. The global lockdown has made all industries to shut down to prevent the spread of the virus. Moreover, mobility restrictions have restrained the consumption of fuel. This has reduced the overall oil demand across the globe. Drilling and exploration activities have been suspended due to lack of manpower as people have been quarantined. Furthermore, oilfield activities are expected to gather people, which make the virus spread faster. Therefore, this has reduced the global demand for oilfield services.

Market scenario analysis

Rise in demand for energy across the globe and technological developments in oilfield are the key factors that are expected to drive the global oilfield services market over the forecast period. Increase in deep-water exploration and production activities in the Gulf region is expected to propel the demand for the drilling sector over the forecast period. On the basis of application, the global oilfield services market can be segmented into onshore and offshore; and by services, it is divided into drilling and production. In addition, increase in productivity from mature reserves and higher investment in deep-water exploration projects are other factors that are expected to further fuel the growth of the global market. Increase in investment in R&D activities of innovative products is expected to generate lucrative opportunities for players operating in the market. However, environmental effects of E&P activities and strict government regulations are expected to hinder the market growth. Moreover, the oil & gas industry continuously witnesses fluctuations in crude oil prices, which restrict the market growth over the forecast period.

Market trends

New oil & gas fields are being explored to meet the rise in demand, especially from industries such as transportation, power plants, and other industries. Technological advancements have now enabled the operators to extract oil & gas from difficult sources. For example, extraction of gas from shale and oil underneath bituminous sand was quite expensive; however, new technologically-advanced techniques have made it economical. The other trend observed in the market is introduction of laser drilling techniques in the oil & gas industry due to various benefits such as high accuracy, precision drilling, and single diameter borehole.

Regional insights

North America dominates the target market in terms of revenue over the forecast period. Increase in oil & gas exploration activities and rise in oil & gas production from oil sands are the major contributors to the market growth. However, Asia-Pacific is also anticipated to develop with the highest growth rate over the forecast duration. Factors, including growing oil production, increase in a variety of oil rig counts, and developing offshore activities in China and India are expected to boost the oilfield services market growth in this region.

Key benefits of the report:

• This study presents the analytical depiction of the oilfield services market along with the current trends and future estimations to determine the imminent investment pockets.
• The report presents information related to key drivers, restraints, and opportunities along with detailed analysis of the oilfield services market share.
• The current market is quantitatively analyzed from 2020 to 2027 to highlight the oilfield services market growth scenario.
• Porter’s five forces analysis illustrates the potency of buyers & suppliers in the market. 
• The report provides a detailed analysis based on competitive intensity and how the competition will take shape in coming years.