Oil extraction from the sources is one of the intricate tasks to perform. The setup installed on the oil fields is designed with deep understanding of the region and its geographical conditions. As the setup is successfully installed and production of oil starts, the plant doesn’t have specific downtime. The demand for oil has surged owing to rising industrialization and increase in the escalating number of automobiles on road around the globe. Although there is never ending demand for the oil, looking at levels of fossils remaining in the earth crust, many industries have initiated a search for a reliable alternative that will be compatible with oil along with the specifications. This phase shift in the process has severely affected the growth of the oil field equipment market.
Below are some drivers and restraints that also have prominent role in development of the global market.
The technological advancement in the processes and tools has forced the oil companies to adopt the different types of drilling tools for the oil and gas extraction. This has motivated the demand for various advanced drilling equipment, which also foster the growth of the global market. Moreover, oil companies investing more on research and development to boost the efficiency of the equipment for increasing the volume of the production as well as to reduce the impact on environment is anticipated to fuel the growth of the market.
Increasing Oil and Gas Drilling Activities
Owing to the elevated demand for oil and gas across the globe and growing accessibility of hydrocarbon resources, the spotlight has moved towards unexplored reservoir to maintain rate with the increasing demand. By exploring these resources, the production rate can be extensively improved, which can fill out the space between supply and demand.
Increasing Exploration of Unconventional Gas Resources
In recent years due to high utilization of gas for the respective purpose, the level of conventional gas has been depleted. This has forced the manufacturers to shift their focus from conventional to non-conventional sources. Thus, it has raised many challenges across the globe due to the high demand of natural gas and low supply. Though, the alternative on the other side are more environment friendly and produce low carbon, the extraction of these unconventional source demands horizontal drilling, which generates a huge demand for equipment and also drives the growth of the global market.