Global Perforating Gun Market Overview
The key driver impacting the perforating the gun market is the rising oil and gas production. For instance, According to the International Energy Agency, the global oil production accounts for 98.1 Mb/d in 2018, slightly increased from the 2018 daily production level of 97.7 Mb/d. This increase in world oil production was majorly driven by the United States, where production raised by 10.9% as compared to 2018. According to the International Association of oil and gas producer report (2018), the worldwide demand for oil in 2018 was 30% higher than 2000. The growing demand leads to more production of oil and gas in the coming years thus, impacts the market positively. Moreover, the growing focus on maximizing productivity from well irrespective of reservoir fluid challenges is fuelling advancement in perforated gun design.
According to Value Market Research, the global market was valued at around USD 750 million in 2019 and is estimated to grow at a CAGR of about 3.5% during the forecast period of 2020-2026.
The increase in shale gas exploration and production is predicted to enhance market demand in the forecast period. Growing investment to add new oil and gas production capacities and operate existing assets safely and sustainably over the period to deliver output levels that can meet forecasted demand encourages market growth. However, the growing trend towards renewable energy generation hampers the growth of the global perforating gun market. The rising inclination towards renewable energy due to environmental concerns is likely to slow down the perforating gun market. Renewable energy sources are anticipated to take a significant share of the energy mix. The percentage and contribution of renewables will swell, driven by strong growth in solar and wind. The current industry trends, such as rising technological advancement in perforation technology and the rising popularity of horizontal well development, are expected to provide beneficial market opportunities for the key market players in the coming years.
The perforating gun market is vast, with a large number of local and global players. The key leaders follow numerous strategies to enhance their market position, such as acquisitions, extending product portfolio, expansions, mergers, and product innovations to strengthen their market share at the global scale. The report studies a few key players of the global xxx market in detail, covering the company profile, product list, and financial information. The companies included in the report are National Oilwell Varco, Inc., DYNAenergetics GmbH & Co KG, Yellowjacket Oilfield Services, L.L.C., Schlumberger N.V., Hunting PLC, Weatherford, ZaoNtfPerfotech, Tassaroli, Baker Hughes, and Core Laboratories.
In this research report, the market is segmented by gun type, well type, well pressure, depth end-user, and region.
Analysis by Gun Type
By gun type, the report is categorized into through tubing strip, through tubing hollow carrier, tubing conveyed perforating, and wireline conveyed casting. The through tubing hollow carrier is the dominating segment in the forecast period. Hollow carrier guns perform better than exposed guns as hollow carrier gun use more enormous charges with optimized phasing and high shot density. The tubing-conveyed perforating segment is estimated to grow dramatically in the coming years. Tubing conveyed perforating segment is driven by two significant factors: operational advantages and growing popularity of horizontal wells. Increased requirement for horizontal wells has pushed forward the demand for the tubing-conveyed perforating gun as it is the only means of accessing higher depth.
Analysis by Well Type
By well type, the report is categorized into a horizontal perforating gun and a vertical perforating gun. The horizontal segment is dominant as the well type segment during the forecast period. The horizontal perforating technique is widely applied due to good economic and social benefits. Its application enhances operational safety and efficiency, significantly reduces environmental pollution. Owing to these benefits, horizontal perforated technology is being developed and gradually is becoming the primary means of horizontal well completions. The technique is being increasingly applied in China due to its production effectiveness, which is better than that of vertical wells.
Analysis by Well Pressure
By well pressure, the report is categorized into Low pressure perforating gun and high pressure perforating gun. Low pressure perforating gun dominates the well pressure segment in the forecast period. The high-pressure wells are aggressive in nature. In spite of new developments in well technology, the regular instruments are not capable of maintaining high temperatures and high pressure in these wells. Due to this challenge, majorly low-pressure wells are preferred.
Analysis by Depth
By depth, the report is categorized into Up to 3,000 ft, 3,000-8,000 ft, and Above 8,000 ft. The Above 8,000 ft dominates the by depth segment in the forecast period. The rising demand for oil and gas leads to rise in the average well depth over the years. The perforating guns are intended to grasp a range of explosive charges, lowered in the well up to the depth where the link to the reservoir is ended.
Analysis, by Region
In the regional outlook of the global perforating gun market, North America keeps on being the most dynamic exploration and production deal market in the worldwide oil and gas industry. This is due to its overall monetary quality, appealing resource base, and lower geographic risk profile. Increasing exploration and activities in tight oil and shale reserves and shifting from vertical to horizontal wells is the most crucial change to drive perforated gun demand. The Middle East and Africa is another prominent market for perforating guns. On-going investments by oil & gas for drilling activities are expected to create new avenues for the regional perforating gun market.
Market Segmentation covered in the Report:
By Gun Type
- Through Tubing Strip
- Through Tubing Hollow Carrier
- Tubing conveyed Perforating
- Wireline Conveyed Casting
By Well Pressure
- Low Pressure perforating gun
- High Pressure perforating gun
By Well Type
- Horizontal perforating gun
- Vertical perforating gun
By Depth
- Up to 3,000 ft
- 3,000-8,000 ft
- Above 8,000 ft
By Region
- North America
- Europe
- the Asia Pacific
- Latin America
- The Middle East and Africa
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