DUBLIN, September 23, 2016 /PRNewswire/ --
Research and Markets has announced the addition of the "Global Wellhead Equipment Market 2016-2020" report to their offering.
The global wellhead equipment market to grow at a CAGR of 2.91% during the period 2016-2020.
The report covers the present scenario and the growth prospects of the global wellhead equipment market for 2016-2020. To calculate the market size, the report presents the vendor landscape and a corresponding detailed analysis of the top six vendors operating in the market.
Fluctuation in operational rigs will be a key trend for market growth. The recent downfall in the price of crude oil in the oil and gas industry results in the decrease in rig counts globally. As the rig count is decreasing, so has the use of wellhead equipment in the oil and gas industry. For instance, Baker Hughes reported a decline in the number of rotary rigs by 30 in the month of February 2016, with the final number standing at 541.
According to the report, rise in oil and gas demand will be a key driver for market growth. The demand for oil and gas is increasing, especially that of gasoline, despite the decline in crude oil prices. With increase in global oil and gas production and exploration, the wellhead equipment market will grow according to the increase in production. Growth in demand and continued production in oil and gas will drive large investment in state of the art technology to increase the efficiency of well completion, thus ensuring and enhancing oil production. With the decline of easy oil all over the world, well completion activities, like acidizing and fracturing, will ensure supply-demand balance by enhancing the access to oil and gas in tight formations and previously inaccessible formations.
Further, the report states that political instability poses a major challenge to the well completion market. The Middle East, which is a major region witnessing political turmoil, produces more the 28% of the world oil. Political Turmoil has adverse effects on the global wellhead market as it affects the flow of funds or investments for wellheads due to insufficient capital returns. Expropriation of well completion equipment in cases of civil disorder is also a major cause for loss of capital. Repatriation of skilled personnel due to political instability also poses a threat to the well completion market. Political risks, like foreign war, expropriation, fiscal changes, intermittency in price, production restrictions, devaluation, embargoes, etc. may be devised by political instability and these adversely affect the investments and the well completion market.
- FMC Technologies
- GE-Alstom Grid
- Baker Hughes
- Stream Flo
- Aker Solutions
Other prominent vendors
- Drill Quip
- National Oil Well Varco
- Shanghai Wellhead Equipment Manufacture
- Wellhead System
For more information about this report visit http://www.researchandmarkets.com/research/xmkk5c/global_wellhead
Research and Markets
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SOURCE Research and Markets