Oil and Gas Downhole Vibration Monitoring and Control: Introduction
- Rapid globalization has led to a surge in demand for energy. Oil and gas plays a vital role in meeting the increasing demand for energy. Natural gas is the cleanest burning and fastest growing fossil fuel, contributing almost one-third of total energy demand growth through the last decade. Oil is the raw material that is used as feedstock for many chemical products. Gasoline is extracted from oil, which plays an important role as a conventional fuel.
- The oil & gas industry is mainly divided into three major components: upstream, midstream, and downstream. The upstream component consists of drilling and production.
- In order to develop oil and gas reserves, it is necessary to drill through thousands of meters of thick rock layers. Downhole tools of varying thickness and diameters are used to perform these drilling operations. These tools are required to withstand high vibration frequency in the process. Vibrations can lead to reduced rate of penetration or premature failure in the tool. In turn, this could lead to an increase in downtime for upstream activities, thus resulting in a rise in operational expenses.
- Currently, changing the rotary speed of the drill or reducing the weight on the drill help in controlling vibrations under varying conditions. These parameters affect the efficiency of the drilling operation. The smart downhole vibration monitoring and control system captures real time date, monitors it, and then controls it by adjusting the damper according to local conditions. Thus, demand for vibration monitoring and control system is anticipated to rise during the forecast period.
Key Drivers and Restraints of Oil and Gas Downhole Vibration Monitoring and Control Market
- Oil and natural gas meet 50% of the world’s energy demand, according to the International Energy Agency. Consumption of natural gas increased by 4.6% in 2018.
- According to the International Energy Agency, petrochemical products are expected to be the pillars of growth of the oil industry during the forecast period. Global oil consumption is projected to reach 104.1 mb/d by 2026, representing an increase of 4.4 mb/d from that in 2019.
Governmental initiatives toward a low carbon future is expected to impact the consumption of oil and natural gas, leading to limited production of oil and natural gas. This would affect the capture of oil and gas reserves through drilling (upstream activities). In turn, this is anticipated to hamper the global oil and gas downhole vibration monitoring and control market.
COVID-19 Impact Analysis on Supply Chain
- Governments of several countries across the globe have imposed stringent lockdowns to limit the spread of the COVID-19 pandemic. Movement of individuals and economic activities related to goods and services have come to a halt because of lockdowns. Supply could not adjust to the drop in consumption. This resulted in considerable buildup of gas in storage. Low prices and unprecedented drop in demand has created difficulties for the upstream sector in regions with unfavorable production economies.
Oil and Gas Downhole Vibration Monitoring and Control Market Segmentation
- The global oil and gas downhole vibration monitoring and control market can be segmented based on location of deployment
- In terms of location of deployment, the global oil and gas downhole vibration monitoring and control market can be bifurcated into on-shore drilling and off-shore drilling. The on-shore drilling segment is anticipated to expand at a faster pace, as on-shore drilling entails lower operating cost as compared to off-shore drilling.
Oil and Gas Downhole Vibration Monitoring and Control Market: Regional Segmentation
- In terms of region, the global oil and gas downhole vibration monitoring and control market can be split into Middle East & Africa, Latin America, Asia Pacific, Europe, and North America
- According to Rystad Energy, well service spending is expected to rise to US$ 54 Bn in 2021 from US$ 50 Bn in 2020 in North America. Thus, oil and gas downhole vibration and control market is projected to expand at a rapid pace in the region.
- According to the Oil and Gas Journal, well intervention in Middle East & Africa is anticipated to rise at a faster pace, with around 10,000 active offshore wells on oil fields with average well age of 16-21 years compared to average well age of 10-15 years in other regions
Key Players Operating in Global Market
- Halliburton Company
- Weatherford International PLC
- Schlumberger Limited
- Nabors Industries Ltd
- Baker Hughes Company
Global Oil and Gas Downhole Vibration Monitoring and Control Market: Research Scope
Global Oil and Gas Downhole Vibration Monitoring and Control Market, by Location of Deployment
- On-shore Drilling
- Off-shore Drilling
Global Oil and Gas Downhole Vibration Monitoring and Control Market, by Region
- North America
- Russia & CIS
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa
- South Africa
- Rest of Middle East & Africa
This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.
Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:
- Customer Experience Maps
- Insights and Tools based on data-driven research
- Actionable Results to meet all the business priorities
- Strategic Frameworks to boost the growth journey
The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.
The following regional segments are covered comprehensively:
- North America
- Asia Pacific
- Latin America
- The Middle East and Africa
The EIRS quadrant framework in the report sums up our wide spectrum of data-driven research and advisory for CXOs to help them make better decisions for their businesses and stay as leaders.
Below is a snapshot of these quadrants.
1. Customer Experience Map
The study offers an in-depth assessment of various customers’ journeys pertinent to the market and its segments. It offers various customer impressions about the products and service use. The analysis takes a closer look at their pain points and fears across various customer touchpoints. The consultation and business intelligence solutions will help interested stakeholders, including CXOs, define customer experience maps tailored to their needs. This will help them aim at boosting customer engagement with their brands.
2. Insights and Tools
The various insights in the study are based on elaborate cycles of primary and secondary research the analysts engage with during the course of research. The analysts and expert advisors at TMR adopt industry-wide, quantitative customer insights tools and market projection methodologies to arrive at results, which makes them reliable. The study not just offers estimations and projections, but also an uncluttered evaluation of these figures on the market dynamics. These insights merge data-driven research framework with qualitative consultations for business owners, CXOs, policy makers, and investors. The insights will also help their customers overcome their fears.
3. Actionable Results
The findings presented in this study by TMR are an indispensable guide for meeting all business priorities, including mission-critical ones. The results when implemented have shown tangible benefits to business stakeholders and industry entities to boost their performance. The results are tailored to fit the individual strategic framework. The study also illustrates some of the recent case studies on solving various problems by companies they faced in their consolidation journey.
4. Strategic Frameworks
The study equips businesses and anyone interested in the market to frame broad strategic frameworks. This has become more important than ever, given the current uncertainty due to COVID-19. The study deliberates on consultations to overcome various such past disruptions and foresees new ones to boost the preparedness. The frameworks help businesses plan their strategic alignments for recovery from such disruptive trends. Further, analysts at TMR helps you break down the complex scenario and bring resiliency in uncertain times.
The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:
1. What can be the best investment choices for venturing into new product and service lines?
2. What value propositions should businesses aim at while making new research and development funding?
3. Which regulations will be most helpful for stakeholders to boost their supply chain network?
4. Which regions might see the demand maturing in certain segments in near future?
5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?
6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?
7. Which government regulations might challenge the status of key regional markets?
8. How will the emerging political and economic scenario affect opportunities in key growth areas?
9. What are some of the value-grab opportunities in various segments?
10. What will be the barrier to entry for new players in the market?
Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.