Global Offshore Drilling Market 2019-2023
About this market
As the demand for oil and gas is increasing there is a need to explore and produce from new oil and gas reservoirs. Existing reservoirs have started to mature or have depleted. This has resulted in the Milling of new wells. Therefore, new oil and gas wells are being drilled in countries that have not been major producers. Also, as offshore oil and gas reservoirs are larger than onshore reservoirs and the production life of offshore wells are higher than that of onshore wells companies are shifting towards offshore E&P activities. The rise in fuel consumption from developing economies such as China and India, the demand for natural gas is expected to propel diming the forecast period. The increasing demand for oil and natural gas will drive the growth of E&P activities of oil and gas. Thus, the rise in demand for oil and gas will increase drilling activities in offshore locations. thereby driving the global offshore drilling market Technavio’s analysts have predicted that the offshore drilling market will register a CAGR of almost 9% by 2023.
Rise in deepwater and ultra- deepwater E&P activities
Oil and gas upstream companies have been extracting oil and gas from onshore locations for decades. Offshore locations have also been the popular sources of oil and gas E&P. The rise in investments in offshore projects will propel E&P activities in deepwater and ultra-deepwater locations. Hence. the rise in E&P activities in deepwater and ultra-deepwater resources will drive the global offshore drilling market during the forecast period.
Fluctuations in the price of crude oil
Crude oil price fluctuations have an impact on the profitability and performance of upstream oil and gas companies. The uncertainty in crude oil prices will adversely affect the investments in E&P projects and have a negative impact on the growth of the E&P industry. This will limit the drilling activities in offshore locations which will be a challenge to the growth of the global offshore drilling market during the forecast period
For the detailed list of factors that will drive and challenge the growth of the offshore drilling market during the 2019-2023, view our report.
The market appears to be moderately fragmented and with the presence of few vendors. This market research report will help clients identify new growth opportunities and design unique growth strategies by providing a comprehensive analysis of the market’s competitive landscape and offering information on the products offered by companies.
Technavio Announces the Publication of its Research Report – Global Offshore Drilling Market 2019-2023
Technavio recognizes the following companies as the key players in the global offshore drilling market: Baker Hughes, Halliburton, National Oilwell Varco, Schlumberger, TRANSOCEAN, Weatherford.
Commenting on the report, an analyst from Technavio’s team said: “The latest trend gaining momentum in the market is the seizing of funding for E&P activities by world bank.”
According to the report, one of the major drivers for this market is the rise in demand for oil and gas will increase drilling activities in offshore locations, thereby driving the global offshore drilling market
Further, the report states that one of the major factors hindering the growth of this market is the environmental concerns are impeding the growth of offshore E&P activities and affecting the market.
National Oilwell Varco
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