Global Oilwell Spacer Fluids Market 2019–2023| 6% CAGR Projection over the Next Five Years | Technavio
The global oilwell spacer fluids market is expected to post a CAGR of over 6% during the period 2019–2023, according to the latest market research report by Technavio.
A key factor driving the growth of the global oilwell spacer fluids market is the increasing active rig count. Oil and gas E&P activities are on the rise globally due to the recovery in crude oil prices. Companies in the oil and gas industry are increasingly investing in the E&P projects to enhance production from oil and gas reservoirs. In addition, oil and gas companies are signing joint agreements to increase investments to improve the overall oil and gas production. Thus, the recovery in crude oil prices has led to an increase in the number of rigs globally, which in turn will boost the demand for oilwell spacer fluids over the next few years.
As per Technavio, the technological advances in cementing will have a positive impact on the market and contribute to its growth significantly over the forecast period. This global oilwell spacer fluids market 2019–2023 research report also analyzes other important trends and market drivers that will affect market growth over 2019–2023.
Global oilwell spacer fluids market: Technological advances in cementing
Oilwell cementing plays a significant role in oil and gas E&P activities. The cementing operation is important to hold the casing pipe in place and to prevent fluid migration between subsurface formations. Vendors in the market are increasingly focusing on integrating advanced technologies with conventional oilwell spacer fluids to offer efficiency in cementing operations and creating a strong cement bond. In order to create a strong cement bond, the surface of the casing pipe needs to be freed from drilling fluids. Oil spacer fluids separate the drilling fluid from cement slurry and improve the chances of building a robust cement bond. Therefore, technological advances in cementing will propel the growth of the global oilwell spacer fluids market during the forecast period.
“Companies in the oilwell spacer fluids market are increasingly adopting the emerging Wellbore Shielding (WBS) technology to offer high-quality and efficient products. IN WBS spacer, special additives are added to oil spacer fluids which help create an impermeable seal for damage-prone zones, which can restrict drilling fluid and reservoir pressure invasion. Thus, advents in oil and gas drilling technologies are further expected to propel the global oilwell spacer fluids market growth during the forecast period,” says a senior research analyst at Technavio.
Global oilwell spacer fluids market: Segmentation analysis
This market research report segments the global oilwell spacer fluids market by application (onshore and offshore) and geographic regions (North America, APAC, Europe, MEA, and South America).
North America led the market in 2018, followed by APAC, Europe, MEA, and South America respectively. The market growth in North America can be attribute to the increased oil and gas production in developed economies including the US, Canada, and Mexico. In addition, rising investments and initiatives taken by the governments to support the oil and gas industry in these economies is further expected to fuel the demand for oilwell spacer fluids, particularly, for cementing operations.
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