Drill Pipes Market to Reach USD 2.49 Billion by the End of 2028
The “Global Drill pipes market” estimated to reach a valuation of USD 2.49 billion by the end of 2028, exhibiting 1.6% CAGR over the projected period. Drill pipes play a vital role in gas and oil exploration, as they can withstand immense stress, load, and heat during the drilling operation. Accumulative demand for energy, expansion of production events and exploration, coupled with the rising demand for oil & gas, technological advancements in oil field drill bits, and huge investments on offshore reserves, are some of the major factors in supplementing the global Drill Pipes market growth over the forecast period.
Even before the oil prices have been hit by the global coronavirus pandemic, they have been on a decline for some time. This is mainly due to the excess supply of oil as manufacturers flooded the market with more oil than the world could use.
Oil and gas companies are keen to explore unconventional avenues around the globe for exploration and production activities, as oil reserves in many regions are declining.
The latest improvements in drilling technologies such as horizontal drilling and pad drilling have augmented drilling effectiveness and reduced drilling rig downtime, which have facilitated faster drilling operations. This will lead to increased demand for drilling equipment such as drill pipes. The global drill pipes market will, therefore, witness growth due to the adoption of new technologies.
Global Drill Pipes Market, by Grade
Based on grade, the global Drill Pipes Market segmentation includes the American Petroleum Institute (API) and Premium drill pipe segments.
The growth of the segment is also expected to benefit from increasing offshore production. For instance, by 2045, the International Energy Agency (IEA) under the New Policy Scenario anticipated the production of gas and offshore oil to reach 59mboe/d.
Global Drill Pipes Market, by Application
Based on the application segment, the global drill pipes industry segmentation includes onshore and offshore.
The offshore drill pipe market is expected to grow over the forecast period due to increasing investment on ultra-deep exploration and a rising number of onshore mature fields.
Global Drill Pipes Market, by Region
The North American region is anticipated to lead the global drill pipes market. This is on account of the increasing production and exploration activities in the US. According to API’s 2016 Joint Association Survey on Drilling Costs, the domestic oil and natural gas industry in America consumed an estimated USD 127.8 billion in drilling approximately 29,809 oil and natural gas wells in 2015. Exploratory good expenditures were estimated at $5.7 billion, while development well expenditures were $119.6 billion in 2016.
The Asia Pacific is also projected to have a substantial share in the global drill pipes market. As per the U.S. Energy Information Administration, by 2040, China's natural gas consumption is anticipated to reach 38 billion cubic feet per day.
Some Key Findings of the Global Drill Pipes Market Report Include:
• Major global Drill Pipes Market analysis, trends, forecasts, along with the country-specific market analysis
• An in-depth analysis of the global Drill Pipes Market includes an analysis by Grade, by Application, and by Regions, along with an analysis of trend-based insights and factors.
• Some major industry players functioning in the global Drill Pipes Market include Jiangyin Long Bright Drill Pipe Manufacture Co. Ltd., Drill Pipe International LLC, Hilong Group, National Oilwell Varco, Tenaris S.A., Vallourec S.A., Texas Steel Conversion Inc., TMK Group, Oil Country Tubular Limited, Tejas Tubular Products Inc., Vallourec S.A., and RK Pipe LLC, among others.
Market Segmentation:
By Grade:
• American Petroleum Institute (API)
• Premium
By Application:
• Onshore
• Offshore
By Region:
• North America
• Western Europe
• Eastern Europe
• Asia Pacific
• Middle East
• Rest of the world
