Saudi Arabia Oilfield Chemicals
Description
In Saudi Arabia, oilfield chemicals have been utilized to maintain reservoir integrity, as well as to enhance production in both conventional and enhanced oil recovery processes. They have been designed to withstand the high temperatures and high salinity of the area's folds. Such chemicals are used during the well lifecycle, from drilling to closure.
The Saudi Arabia Oilfield Chemicals market shows a growth rate of 5.34% during the forecast period (2025- 2033F). The Saudi oilfield chemical market relies on new oilfield discoveries as a crucial growth factor. It heightens the demand for sophisticated drilling fluid, stimulation, and production chemicals required to maximize the recovery of new reservoirs. Furthermore, the developments represent additional steps by the Kingdom to invest more in exploration efforts, as well as to improve its output efficiency in utilizing chemical-based solutions. Moreover, the growth in upstream activities also promotes the use of chemical formulations tailored to specific areas, depending on geological conditions, which in turn drives market growth.
On February 10, 2025, Nouryon announced the opening of its new office in Al Dhahran, Saudi Arabia. The new office is in the prestigious Al Abdulkarim Tower, the tallest commercial tower in the Eastern Province, in the heart of one of the largest cities in the Gulf. This move marks a significant milestone in Nouryon's commitment to expanding its operations and better serving its customers in the Middle East. The new Al Dhahran office will primarily function as a sales hub. A commercial team will be based there to serve key end markets in the region, including packaging, polymer specialties, building and construction, oilfield, and personal care.
The Saudi Arabia Oilfield Chemicals market shows a growth rate of 5.34% during the forecast period (2025- 2033F). The Saudi oilfield chemical market relies on new oilfield discoveries as a crucial growth factor. It heightens the demand for sophisticated drilling fluid, stimulation, and production chemicals required to maximize the recovery of new reservoirs. Furthermore, the developments represent additional steps by the Kingdom to invest more in exploration efforts, as well as to improve its output efficiency in utilizing chemical-based solutions. Moreover, the growth in upstream activities also promotes the use of chemical formulations tailored to specific areas, depending on geological conditions, which in turn drives market growth.
On February 10, 2025, Nouryon announced the opening of its new office in Al Dhahran, Saudi Arabia. The new office is in the prestigious Al Abdulkarim Tower, the tallest commercial tower in the Eastern Province, in the heart of one of the largest cities in the Gulf. This move marks a significant milestone in Nouryon's commitment to expanding its operations and better serving its customers in the Middle East. The new Al Dhahran office will primarily function as a sales hub. A commercial team will be based there to serve key end markets in the region, including packaging, polymer specialties, building and construction, oilfield, and personal care.
- Based on the type, the market is segmented into commodity oil field chemicals and special oil field chemicals. Among these, the special oil field chemicals market held a significant market share in 2024. In Saudi Arabia, specialty chemicals are driving market growth, as they enable more convenient extraction procedures under conditions of high salinity, extreme temperatures, and great depth. These chemicals, which include corrosion inhibitors, demulsifiers, and scale inhibitors, have better performance than commodity alternatives. Moreover, it is increasingly being utilized as an operator to pursue efficiency, reliability, and extended well life in aging and high-value oil and gas assets. On March 1, 2022, Halliburton Company opened its First Oilfield Specialty Chemical Manufacturing Reaction Facility in Saudi Arabia. Halliburton Chemical Reaction Plant – the first of its kind in Saudi Arabia to manufacture a broad range of chemicals for the entire oil and gas value chain, as well as many other industries. The facility expands Halliburton’s manufacturing footprint in the Eastern Hemisphere and strengthens and accelerates its ability to serve the chemical needs of Middle East customers.
- Based on oilfield type, the Saudi Arabian Oilfield Chemicals market is segmented into offshore and onshore. Among them, the offshore is expected to grow with the highest CAGR during the forecast period (2025-2033F). Offshore is a key growth driver, as Saudi Arabia is committed to all efforts to diversify its upstream assets, in addition to its onshore mega fields, such as Ghawar. High-specification oilfield chemicals are in demand in offshore fields due to the severe pressures and hostile, corrosive conditions. Due to the massive investment in offshore rigs and fields, the demand for custom chemical solutions is increasing at a rapid rate. On September 5, 2024, Saipem awarded two offshore contracts in Saudi Arabia under its existing long-term agreement with Saudi Aramco. The total value of the two contracts is approximately USD 1 billion. Saipem’s scope of work under the first contract includes the engineering, procurement, construction, and installation (EPCI) of three production deck modules (PDMs), 33 km of 12-inch and 16-inch diameter subsea rigid pipelines, and 34 km of subsea cables. These infrastructures will be installed in the Marjan oil and gas field.
- Based on application, the Saudi Arabia Oilfield Chemicals market is segmented into drilling fluids & additives, production chemicals, completion method, stimulation additives, cementing additives, and others. Among these, the drilling fluids & additives segment held a dominant market share in 2024. The adoption of this segment is huge because drilling activities are intensifying amid conventional and unconventional reservoirs. The drilling fluids are needed to support the wellbore, control the formation pressure, and take cuttings to the surface. As the wells are drilled deeper and more complexly, sophisticated fluid formulation is a major demand. On July 2, 2025, Arabian Drilling, Saudi Arabia’s largest drilling contractor by fleet size, announced that it had successfully secured contract extensions for four of its rigs with Aramco. The combined backlog value of SAR 1,374 million (USD 366.4 million) and durations varying between 1 to 10 years. This significant milestone elevates the company’s current backlog to SAR 11.1 billion (USD 2.96 billion).
- For a better understanding of the market adoption of the Saudi Arabia Oilfield Chemicals market, it is analyzed based on its regional presence in Saudi Arabia, including the Central Region, Western Region, Eastern Region, Southern Region, and Northern Region. The central region is expected to grow with a significant CAGR during the forecast period (2025-2033F). The development of the Central Region is being driven by the growth of its infrastructure, both in terms of gas processing and fuel transport, to meet regional needs. The growth of the main oil fields and unconventional gas deposits helps achieve stable growth. This drives an increase in the use of specialty and commodity oilfield chemicals in the areas of enhanced recovery, corrosion control, and gas treating. Consequently, this market is poised to experience a steady increase in demand for customized chemical solutions that can be developed to suit a diverse range of reservoir environments.
- Some major players running in the market include RECP - Petrochemical (Renewable Energy Petrochemical Factory Ltd Co), OilField Production Chemical Factory, Oil Chemistry Industrial Company, Vision Chemicals, Halliburton Energy Services Inc., Baker Hughes Company, Meta Solutions Industrial Company, Saudi Multichem, Clariant Tamimi, and Arkema Chemicals Saudi Arabia.
Table of Contents
95 Pages
- 1 Market Introduction
- 1.1. Market Definitions
- 1.2. Main Objective
- 1.3. Stakeholders
- 1.4. Limitation
- 2 Research Methodology or Assumptions
- 2.1. Research Process of the Saudi Arabia Oilfield Chemicals Market
- 2.2. Research Methodology of the Saudi Arabia Oilfield Chemicals Market
- 2.3. Respondent Profile
- 3 Executive Summary
- 3.1. Industry Synopsis
- 3.2. Segmental Outlook
- 3.2.1. Market Growth Intensity
- 3.3. Regional Outlook
- 4 Market Dynamics
- 4.1. Drivers
- 4.2. Opportunity
- 4.3. Restraints
- 4.4. Trends
- 4.5. PESTEL Analysis
- 4.6. Demand Side Analysis
- 4.7. Supply Side Analysis
- 4.7.1. Merger & Acquisition
- 4.7.2. Investment Scenario
- 4.7.3. Industry Insights: Leading Startups and Their Unique Strategies
- 5 Pricing Analysis
- 5.1. Price Influencing Factors
- 6 Saudi Arabia Oilfield Chemicals Market Revenue (USD Mn), 2023-2033F
- 7 Market Insights By Type
- 7.1. Commodity Oil Field Chemicals
- 7.2. Special Oil Field Chemicals
- 8 Market Insights By Oilfield Type
- 8.1. Offshore
- 8.2. Onshore
- 9 Market Insights By Application
- 9.1. Drilling Fluids & Additives
- 9.2. Production Chemicals
- 9.3. Completion Method
- 9.4. Stimulation Additives
- 9.5. Cementing Additives
- 9.6. Others
- 10 Market Insights By Region
- 10.1. Central Region
- 10.2. Western Region
- 10.3. Eastern Region
- 10.4. Southern Region
- 10.5. Northern Region
- 11 Value Chain Analysis
- 11.1. Marginal Analysis
- 11.2. List of Market Participants
- 12 Competitive Landscape
- 12.1. Competition Dashboard
- 12.2. Competitor Market Positioning Analysis
- 12.3. Porter Five Forces Analysis
- 13 Company Profiles
- 13.1. RECP - Petrochemical (Renewable Energy Petrochemical Factory Ltd Co)
- 13.1.1. Company Overview
- 13.1.2. Key Financials
- 13.1.3. SWOT Analysis
- 13.1.4. Product Portfolio
- 13.1.5. Recent Developments
- 13.2. OilField Production Chemical Factory
- 13.3. Oil Chemistry Industrial Company
- 13.4. Vision Chemicals
- 13.5. Halliburton Energy Services, Inc.
- 13.6. Baker Hughes Company
- 13.7. Meta Solutions Industrial Company
- 13.8. Saudi Multichem
- 13.9. Clariant Tamimi
- 13.10. Arkema Chemicals Saudi Arabia
- 14 Acronyms & Assumptions
- 15 Annexure
Pricing
Currency Rates
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