DUBLIN--(BUSINESS WIRE)--The "Rotary Drilling Rig Market - Growth, Trends, and Forecasts (2020 - 2025)" report has been added to ResearchAndMarkets.com's offering.
The rotary drilling market is expected to register a CAGR of more than 3.5% over the period of 2020-2025.
Factors, such as improved viability of deepwater and ultra-deepwater projects and the global demand for oil, which is expected to witness an annual growth rate of 1.2 million barrels per day (mbd) till 2023, are likely to drive the rotary drilling rig market during the forecast period. However, over the years, countries across the world have witnessed rapid growth in the renewable energy sector, owing to strong policy support and sharp cost reductions.
Moreover, governments of various countries are increasingly shifting toward cleaner energy sources, in order to reduce the emission levels from conventional fuels. This, in turn, is expected to hinder the market during the forecast period.
- Atlas Copco
- BAUER AG
- Dando Drilling International Ltd
- Sandvik Mining
- SANY Group Co. Ltd
- Schramm Inc.
- Zoomlion Heavy Industry Science &Technology Co. Ltd
Key Market Trends
Offshore Rotary Drilling Rig Market to Witness a Significant Growth
- The oil and gas industry faced a challenging business environment in 2014 due to the declining crude prices, which continued in the subsequent years. However, the September 2017 - September 2018 period turned out to be a better year for the oil and gas industry than expected, as it witnessed a significant increase in oil prices, with increased exploration and development activities across regions, particularly from the offshore areas, with improving projects viability.
- Globally, very few onshore regions are left to be explored by the oil companies and with the increasing oil prices, numerous countries around the world are expected to witness increase in exploration and production activities in the coming years. This, in turn, is expected to create a potential opportunity for the growth of offshore rotary drilling rig market.
- From 2014 to 2018, global deepwater expenditure has increased and countries, such as Brazil, the United States, Gulf of Mexico (GoM), Norway, Angola, and Nigeria, constitute a large amount of this capital expenditure, respectively, with West Africa anticipated to have the greatest regional growth.
- Hence, the offshore rotary drilling rig market is expected to witness a significant growth during the forecast period.
Middle East & Africa to be the Fastest Growing Market
- The Angolan offshore region is among the most prospective plays in Africa and continues to draw high levels of investment. Drilling results are broadly positive, with exploration yielding a number of high-impact discoveries in recent years. A heavy focus on the Kwanza Basin pre-salt has returned five major discoveries since 2011: Bicuar, Cameia, Lontra, Mavinga, and Orca, in blocks 20 and 21.
- On the flipside, with Angola's most prospective acreage in the deepwater, ultra-deepwater, and pre-salt areas, exploration can be characterized as high- risk, high-reward. The large number of drilling activities is expected to continue to target deepwater and pre-salt prospects, spearheaded by industry giants, such as Chevron, BP, Eni, Exxon Mobil, Statoil, and Total, along with national oil company Sonangol.
- Nigeria holds the top position among the ten countries, with the largest remaining crude oil and condensate deepwater reserves. The majority of reserves are along the country's Niger River Delta and offshore in the Bight of Benin, the Gulf of Guinea, and the Bight of Bonny. As of now, exploration activities are mostly focused on the deep and ultra-deep offshore, although some onshore exploration is also taking place.
- Therefore, factors such as upcoming offshore E&P activities especially from the West Africa region is expected to boost the number of rotary drilling rigs in the region in the coming years.
Key Topics Covered:
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET OVERVIEW
4.2 Market Size and Demand Forecast in USD billion, till 2025
4.3 Recent Trends and Developments
4.4 Government Policies and Regulations
4.5 Market Dynamics
4.6 Supply Chain Analysis
4.7 Porter's Five Forces Analysis
5 MARKET SEGMENTATION
5.1 Location of Deployement
5.2.1 North America
5.2.4 South America
5.2.5 Middle-East and Africa
6 COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted by Leading Players
6.3 Company Profiles
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
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