Global Barytes Market 2017-2021
Barytes is the naturally occurring mineral form of barium sulfate. The main properties of the mineral include low solubility, non-toxic nature, high specific gravity (4.5), and chemical and physical unreactivity. Barytes is mostly used as a weighting agent for drilling in oil and gas exploration. Barytes is also used in value-added applications such as TV screens, rubber, glass ceramics, cars, electronics, paint industry, radiation shielding, and medical applications. Barytes is offered in various forms, and the pricing varies with the amount of processing. For instance, barytes for filler applications is available at higher prices as it requires intense processing (grinding and micronizing). In addition, premiums are charged for brightness, whiteness, and color.
Technavio’s analysts forecast the global barytes market to grow at a CAGR of 4.17% during the period 2017-2021.
Covered in this report
The report covers the present scenario and the growth prospects of the global barytes market for 2017-2021. To calculate the market size, the report presents a detailed picture of the market by way of study, synthesis, and summation of data from multiple sources.
The market is divided into the following segments based on geography:
Technavio Announces the Publication of its Research Report – Global Barytes Market 2017-2021
Technavio recognizes the following companies as the key players in the global barytes market: Andhra Pradesh Mineral Development Corp. (APMDC), GUIZHOU SABOMAN IMP. & EXP, Steinbock Minerals, Newpark Resources, and Pands Group Mining and Milling.
Other Prominent Vendors in the market are: Broychim, Gimpex, Halliburton, OREN HYDROCARBONS, Provale Group, Rock Fin Minerals, and Trimex Industries.
Commenting on the report, an analyst from Technavio’s team said: “One trend in market is shale gas boom in North America. Recently, the “shale revolution” has led to the high production of oil and natural gas in the US. This revolution is the result of advances in oil and natural gas production technology, such as a new combination of horizontal drilling and hydraulic fracturing. This technological advancement, coupled with high oil and gas prices, has enabled increased manufacturing of oil and gas in the US.”
According to the report, one driver in market is horizontal drilling: An innovation in oil and gas extraction. Technological advances in drilling technologies have revolutionized the oil and gas industry and enabled access to the most remote locations, unconventional formations, deepwater regions, and even the Arctic. Such developments have played a key role in driving the consumption of steel pipes. Horizontal drilling, coupled with hydraulic fracturing, has unlocked the unconventional potential of several regions. Examples of this are the shale gas boom in North America and new discoveries in the offshore regions of Europe and Africa. In North America, horizontal drilling rigs constituted the largest share of the overall rig count with 78%, whereas directional and vertical rigs accounted for 11%, as of June 2015.
Further, the report states that one challenges in market is falling crude oil prices impacting barytes market. A decline in oil prices has compelled market players to implement cost-cutting measures such as workforce layoffs and rig idling. The prices of Brent crude oil started reducing from a peak price of $110.45 per barrel in 2014 to reach $30.65 per barrel in 2015. Expensive activities within the oil and gas industry, including drilling and exploration, were curtailed, which reduced the use of barytes. The North American rig count was 985 rigs in May 2015, a year-over-year decline of 53%. The decline in oil prices has made advanced drilling activities, such as offshore exploration and unconventional resources development, economically challenging in regions such as Europe and North America. Thus, the decline in oil prices is a major challenge in Europe, the Middle East, and North America. Following the reduction in crude oil prices, drilling activities outside the US and global offshore drilling declined. Because of sustained lower crude oil prices, several offshore drilling companies have begun cutting costs by reducing the size of their operation, which has affected the revenue of barytes vendors.
Andhra Pradesh Mineral Development Corp. (APMDC), GUIZHOU SABOMAN IMP. & EXP, Steinbock Minerals, Newpark Resources, Pands Group Mining and Milling, Broychim, Gimpex, Halliburton, OREN HYDROCARBONS, Provale Group, Rock Fin Minerals, and Trimex Industries.
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