The global artificial lift market is
expected to reach USD 26.5 billion by 2025, according to a new report by Grand
View Research, Inc. The industry is anticipated to gain traction owing to the
increasing fossil fuel demand coupled with the rising number of mature
reserves, which hold a high volume of crude oil. Furthermore, volatile oil
prices are persuading oil companies to decrease the per barrel oil production
cost, thereby driving the demand for EOR techniques, such as artificial lift
systems, over the forecast period.
The robust demand for crude oil and natural
gas has led to the depletion of onshore reserves. This has offered offshore
deep-water opportunities for several companies, thus catapulting the artificial
lift market size. Additionally, technological advancements have encouraged
Exploration and Production (E&P) companies to increase the production of
crude oil and natural gas in offshore reserves, which is anticipated to further
propel demand over the coming years.
Lifting systems are used in offshore
applications of deepwater gas lift wells and for subsea production to augment
the productivity of wells. Thus, the rising deepwater oil production is
anticipated to spur the market growth. Owing to rapid industrialization,
conventional sources of oil & gas are depleting at the expense of future
energy demands. This has forced companies to meet the end-user demand by
focusing on unconventional gas resources. As such, unconventional gas
production is considered to act as a key opportunity for players operating in
the market.
The demand for energy is increasing
globally. The escalating demand for primary energy in transportation, power
generation, and household activities has led to increased oil & gas
consumption in major economies across the globe. This has led the producers of
oil & gas to dig deeper to meet the increasing energy demands, thus
instigating the need for artificial lift. However, the fluctuating oil prices
and impacted investments would affect market growth, owing to high equipment
and capital costs.
Further key findings from the report suggest:
· The global artificial lift market exceeded
USD 16 million in 2016 and is expected to grow at a CAGR of 5.7% from 2017 to
2025, which is primarily attributed to the increasing oil & gas production
coupled with improving production efficiencies at mature fields.
· Electrical submersible pumps are
anticipated to emerge as the largest product segment over the forecast period
owing to the rising demand for oil worldwide and exploration of newer onshore
as well as offshore reserves.
· The ever-rising population in Asia Pacific,
particularly India and China, is anticipated to fuel the demand for oil &
gas, which is further expected to instigate the adoption of artificial lift
systems in this region.
· Key players such as GE Oil & Gas,
National Oilwell Varco, Weatherford Plc, Halliburton, Dover Corp., and
Schlumberger Limited dominated the market in 2016 with their emphasis on
expanding the market presence through mergers and acquisitions.
Grand View Research has segmented the
global artificial lift market based on products and regions:
Artificial Lift Product Outlook (Revenue,
USD Million; 2014 - 2025)
·
Rod Lifts
·
Electrical Submersible Pumps
·
Progressive Cavity Pumps
·
Gas Lift
·
Hydraulic Pumps
·
Others
Artificial Lift Regional Outlook (Revenue,
USD Million; 2014 - 2025)
·
North America
o
U.S.
o
Canada
·
Europe
o
UK
o
Germany
o
Russia
o
Norway
·
Asia Pacific
o
China
o
India
o
Japan
o
Indonesia
o
Malaysia
·
Latin America
o
Brazil
o
Mexico
·
Middle East & Africa
o
Saudi Arabia
o
UAE
o
Kuwait
o
Iran
About
Grand View Research
Grand
View Research, Inc. is a U.S. based market research and consulting company,
registered in the State of California and headquartered in San Francisco.
The company provides syndicated research reports, customized research
reports, and consulting services. To help clients make informed business
decisions, we offer market intelligence studies ensuring relevant and
fact-based research across a range of industries, from technology to chemicals,
materials and healthcare.
