Global Wellhead Equipment Market 2017-2021
About Wellhead Equipment
Oil and gas is one of the largest industries in the world in terms of the revenue generation. The industry has a substantial share of the government as it includes the majority of the national oil companies that generate billions of dollars contributing significantly toward the economic development of a country. Several industries are dependent either directly or indirectly on the oil and gas sector as they require the final petroleum product or are involved in manufacturing the tools and equipment that are used in the oil and gas industry. This industry is responsible for providing thousands of jobs, and its success or failure has a huge impact on the majority of the industries.
Technavio’s analysts forecast the global wellhead equipment market to grow at a CAGR of 3.06% during the period 2017-2021.
Covered in this report
The report covers the present scenario and the growth prospects of the global wellhead equipment market for 2017-2021. To calculate the market size, the report considers the new installations and exclude spares and aftermarket.
The market is divided into the following segments based on geography:
Technavio Announces the Publication of its Research Report – Global Wellhead Equipment Market 2017-2021
Technavio recognizes the following companies as the key players in the global wellhead equipment market: Aker Solutions, GENERAL ELECTRIC, National Oilwell Varco, Schlumberger, TechnipFMC, and Weir Group
Other Prominent Vendors in the market are: Aker Solutions, GENERAL ELECTRIC, National Oilwell Varco, Schlumberger, TechnipFMC, and Weir Group
Commenting on the report, an analyst from Technavio’s team said: “The latest trend gaining momentum in the market is Varying reservoir characteristics. Each reservoir has its specific characteristics according to the formation and the layer of the traps. The reservoir characteristics have an impact on the production of any well, which ultimately decides the types of well drilling and completion tools that would be used during the operations. The composition and purity of crude oil, character of the reservoir rock, and the nature and strength of the drive mechanism influence the flow rate and the ultimate productivity of a reservoir. Reservoir depth, orientation, and complexity are the key factors that determine the cost and complexity of drilling and completion of a well.”
According to the report, one of the major drivers for this market is Increasing number of deep and ultra-deepwater drilling projects. As per the US Energy Information Administration (EIA), the recent oil shock witnessed a decline in the crude oil price, which was as low as $27/bbl in January 2016; the lowest since 2003. The oil price has almost doubled since then and was hovering around the $53-55/bbl mark as of October 2017. During the phase of low crude oil price, several projects, especially deep and ultra-deepwater projects, were put on hold.
Further, the report states that one of the major factors hindering the growth of this market is Fluctuations in oil and gas prices. The continued trend of low crude prices has put additional pressure on the oil and gas service providing companies. Low-profit margins for a continued period result in reduced revenues, which directly influence the financial aspect of any company. Low investments in oil and gas projects have reduced the market potential for oil and gas service companies. Integrated oil companies were still able to absorb some of the market pressure, but pure play upstream companies were affected the most.
Aker Solutions, GENERAL ELECTRIC, National Oilwell Varco, Schlumberger, TechnipFMC, Weir Group, Aker Solutions, GENERAL ELECTRIC, National Oilwell Varco, Schlumberger, TechnipFMC, and Weir Group
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