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US Demand for Drilling products and Services is to reach nearly $70 B in 2019

RnRMarketResearch.com adds “Drilling Products & Services to 2019”to its store.

US demand to approach $70 billion in 2019

Demand for oil and gas drilling products and services in the US is forecast to reach nearly $70 billion in 2019, with modest overall growth for the period reflecting a healthy rebound from 2015 lows. Gains will result from a recovery in drilling activity expected to begin in late 2015 and surpass 2014 levels within the next several years. This rebound in drilling activity will mainly result from a recovery in oil prices, which declined rapidly in late 2014. In addition, higher domestic natural gas prices and an emerging LNG export industry will support drilling for natural gas. While efficiency improvements will allow operators to reduce expenditures per well in areas such as rig rental, the desire to reduce overall costs and maximize well productivity will result in additional spending on drilling fluids, tubular goods, rig equipment, and other products and services.

Drilling fluids, tubular goods to be fastest growing products

Drilling fluids and tubular goods will see the fastest growth among products used in drilling, driven both by overall growth in wells and footage drilled per annum and by increasing market penetration for premium products in both segments. High-performance, water-based drilling fluids will continue to increase their share of the market in difficult drilling conditions where oil-based fluids have been traditionally chosen. Similarly, increasing development of deeper and more challenging drilling environments -- such as in deepwater and deep tight oil and shale gas reservoirs -- will drive adoption of higher value casing and drill pipe. Higher value rig components and down-hole equipment necessary for more effective horizontal drilling, such as top drives, mud pumps, and rotary steerable systems, will also experience healthy increases through 2019.

Directional drilling, LWD, MWD to be among fastest growing services

As operators continue to improve the efficiency of the horizontal well drilling process, expenditures on many drilling services will grow more slowly than the number of wells drilled per year. However, the market for directional drilling and other services that can drive efficiency gains and optimize wellbore placement -- such as logging-while-drilling and measurement-while-drilling (LWD and MWD) -- will continue to expand at a strong pace.

Complete report available @ http://www.rnrmarketresearch.com/drilling-products-services-to-2019-market-report.html .

Demand will remain concentrated in the South

While the sharp fall in oil prices in late 2014 and early 2015 will cause the oil industry to focus on only the most profit-able areas for now, a recovery in oil prices will once again allow exploration and production companies to profitably drill a range of onshore and offshore opportunities, including tight and shale plays, over the next few years. Through 2019, demand for drilling products and services will remain concentrated in the Southern US -- particularly in Texas and the Gulf of Mexico -- and in states with better understood unconventional plays -- such as Colorado, North Dakota, and Pennsylvania. Additionally, there is potential for activity to increase further in states such as Louisiana, Ohio, and Oklahoma, where promising but less developed unconventional plays exist. to 2019

Company Profiles

Profiles 34 US industry players such as Baker Hughes, National Oilwell Varco, Halliburton, Nabors, Tenaris, Schlumberger & Transocean

Inquire before buying this report @ http://www.rnrmarketresearch.com/contacts/inquire-before-buying?rname=394590 .

Additional Information

This study analyzes US demand for products and services used in drilling oil and natural gas wells. Products include oilfield country tubular goods, rig equipment, pressure control equipment, drill bits, downhole tools, drilling fluids, and others. Also included are drilling services, such as contract drilling, logging and measurement services, directional drilling control, and all other services directly related to oilfield drilling. In this study, all of these products and services are treated in the aggregate to define the size of the market for oil and gas drilling products. Excluded from the scope of this study are products and services related to oil and gas well completion, stimulation, workover, and production, as well as products and services related to enhanced oil recovery operations.

Historical data (2004, 2009, and 2014) and forecasts for the years 2019 and 2024 are provided for sales of drilling products and services at the aggregate level, valued in millions of current US dollars, including inflation. The term “demand” refers to “apparent consumption” and is defined as shipments (also referred to variously as “production,” “output,” or “supply”) from domestic manufacturing facilities, plus imports, minus exports. It is used interchangeably with the terms “market,” “sales,” and “consumption.”