Dublin, Sept. 02, 2021 (GLOBE NEWSWIRE) -- The "Digital Oilfield Market - Global Forecast to 2026" report has been added to ResearchAndMarkets.com's offering.
The global digital oilfield market size is projected to grow from an estimated USD 24.3 billion in 2021 to USD 32.0 billion by 2026, at a CAGR of 5.6% from 2021 to 2026.
The key drivers for the digital oilfield market include new technological advancements in the oil & gas industry; increased return on investment in the oil & gas industry; and the growing need for maximizing production potential from mature wells.
The hardware solutions segment is expected to hold the largest share of the digital oilfield market, by solution, during the forecast period.
The hardware solutions segment is estimated to lead the digital oilfield market during the forecast period. The hardware solutions segment includes distributed control systems (DCS), supervisory control and data acquisition (SCADA), smart wells, safety systems, wireless sensors, programmable logic controller (PLC), computer equipment & application hardware, process automation manager, and human-machine interaction instrument, which is responsible for surveillance and communication data transfer in both onshore and offshore fields.
The market for the hardware solutions segment is driven by the growing need to reduce nonproductive time, which increases emphasis on such hardware components offered by this segment. Europe is estimated to hold the largest share of the digital oilfield market, followed by North America because of the growing need for reducing manual intervention and the rising demand for big data management is expected to drive the market for the digital oilfield market.
Middle East: The fastest-growing market for digital oilfield.
The region has been segmented, by country, into Saudi Arabia, Oman, the UAE, Kuwait, and the Rest of the Middle East. The Rest of the Middle East includes Iran, Iraq, and Qatar. Saudi Arabia, the UAE, Kuwait, Iraq, and Iran are a few of the largest producers of crude oil and have the largest petroleum reserves in the world. According to the BP Statistical Review of World Energy June 2020, Saudi Arabia, the UAE, Kuwait, Iraq, Iran, and Qatar collectively accounted for 30.4% of the global oil production in 2019.
The recent deal between the Organization of the Petroleum Exporting Countries (OPEC) and other leading oil producers in the world to cap oil production for a period of time has helped stabilize global oil prices. The oil producers in the Middle East have continued production cuts and have played a vital role in increasing oil prices, hitting the USD 60 per barrel mark in February 2021 since the slump in 2020.
While major producers in the Middle East continued to rein in oil supply in their attempt to tighten the market, the national oil companies and international oil companies in the region announced expansion projects and strategic agreements, while major international companies signed contracts with a few of the national oil companies in the Gulf.
State-owned companies are dominant in this region while leading international oil companies such as Chevron (US), BP (UK), Shell (Netherlands), and ExxonMobil (US) are operating in the fields as service contractors or joint partners.
According to Baker Hughes' International Rig Count March 2019, the region witnessed an increased rig count from 392 rigs in March 2018 to 395 rigs in March 2019. The recent discovery of offshore reserves in the Red Sea is expected to increase the offshore exploration and production activities in the region.
Although the region's profit margin has declined, the region still tops the production charts. Saudi Aramco, a leading operator in the region, is expected to digitalize all its fields by 2021, and several Japanese companies are trying to penetrate the field development segment in the region. Advantages provided by digital oilfield solutions in crude oil recovery, with its proven benefits, can assist the Middle Eastern countries in the present market situation. The rise in E&P activities will further increase the demand for digital oilfield solutions in the near future.
The key players in the digital oilfield market include companies such as Halliburton (US), Schlumberger (US), Baker Hughes (US), Weatherford International (US), and NOV (US).
Premium Insights
- Growing Need to Enhance Production from Mature Oil and Gas Fields to Drive Growth of Digital Oilfield Market from 2021 to 2026
- Offshore Segment and Norway Were Largest Shareholders in European Digital Oilfield Market in 2020
- Digital Oilfield Market in the Middle East to Register Highest CAGR from 2021 to 2026
- Hardware Solutions Segment to Account for Largest Share of Digital Oilfield Market in 2026
- Production Optimization Segment to Account for Largest Share of Digital Oilfield Market in 2026
- Onshore Segment to Hold Larger Share of Digital Oilfield Market in 2026
Companies Mentioned
- ABB
- Accenture
- Baker Hughes
- CGG
- Digi International
- EDG
- Emerson
- Halliburton
- Honeywell International
- IBM
- Intel
- Katalyst
- Kongsberg
- Microsoft
- Nov
- Oleumtech
- Oracle
- Pason
- Petrolink
- Redline
- Rockwell Automation
- Schlumberger
- Siemens
- Weatherford International
For more information about this report visit https://www.researchandmarkets.com/r/la8qe6
