Geosteering technology helps in adjusting well placement while drilling to enhance the well's overall performance. This technology utilizes the information across various equipment, geological insights and other critical data repositioning or redirecting the equipment during the drilling process.. Growing global population is driving the demand for oil and gas worldwide, leading to an increased usage of geosteering technology. For example, according to the Organization of the Petroleum Exporting Countries, in 2017, the global oil demand amounted to 97.32 million barrels per day. However, the global supply of oil was 96.10 million barrels per day. Thus, leading to increased investment in oil field exploration projects and subsequently geosteering related services in coming years. In August 2018, ExxonMobil announced the discovery of an oilfield in Guyana, South America. Increase in oil well drilling activities at the global level is also driving the growth of the geosteering technology market. For instance, according to the World Oil, in 2017, a total number of 58,294 oil well drilling activities took place. Such factors are anticipated to propel market growth in the near future.
The COVID-19 pandemic continues to negatively influence the overall oil & gas industry owing to considerable disruption in the industry supply chain activities coupled with the several countries sealing off their international trade in wake of the pandemic.. , The discontinuation of drilling activities significantly disrupted the demand for any related supporting services and solution including geosteering technologies. As a result, several countries have witnessed significant negative impact on their demand for overall oil & gas and subsequently the geosteering related solution as well as services. Hence, the geosteering technologies market witnessed substantial decline in demand during the early months of 2020, however, the demand resumed upon the continuation of economic activities. Thus, the global market is projected to recover the lack of demand during the coming months and the subsequent years.
The geosteering technology also helps optimize the position of a horizontal wellbore within the reservoir at different spots. Exploration and production (E&P) technologies related to communication of vital data in real-time through the Internet, advanced and accurate directional drilling, as well as reduced cycle time associated with forward-looking 3D geo-modeling and visualization technologies, are currently converging. A rising motivation to cut down or decrease the associated costs is responsible for advancing the horizontal well-geosteering process by incorporating the MWD tool into mainstream drilling practices. Thus, the rising production of shale and a resulting hike in horizontal and unconventional drilling is one of the major factors driving the geosteering technology market’s growth.
Based on product, the geosteering technology market is segmented into logging while drilling (LWD), measurement-while-drilling (MWD), rotary steerable systems (RSS), drive systems, and others. The companies present in the market are focusing on offering various tools, software, and services, which helps in gaining real-time information on the spot being drilled. Logging while drilling (LWD) is an oilfield technique that provides a tool within drill strings that helps in transmitting real-time formation information. LWD ensures the subsurface measurement in conditions where wellbores are difficult to measure using traditional wireline tools. LWD tools acquire formation evaluation data that aid in gathering data specific to oil reserves and assists in timely decision making and accurate well-placement of equipment for drilling operations.
Based on application, the geosteering technology market is segmented into petroleum development, natural gas transportation, and others. The geosteering technology is used by oil and gas companies to improve their efficiencies, reduce production costs, and optimize the well-placement. Growing demand for geosteering technologies by oil and gas companies is the major factor driving the market. Increasing adoption of the horizontal directional drilling technique is another factor that is expected to support the market growth. In mature oil & gas areas, geosteering is used to keep the wellbore in a particular reservoir section to reduce the gas or water breakthrough and improve economic productivity. The geosteering drilling techniques help in addressing problems such as deep and thin reservoirs and unstable structure margin. Moreover, a geosteering approach offers various advantages such as drilling efficiencies (including better ROP, less sliding, and longer lateral reach), better reservoir penetration, completion efficiencies, and better ROI.
The regional trends and factors influencing the Geosteering Technology Market throughout the forecast period have been thoroughly explained by the analysts at Insight Partners. This section also discusses Geosteering Technology Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.
| Report Attribute | Details |
|---|---|
| Market size in 2019 | US$ 15.27 Billion |
| Market Size by 2027 | US$ 27.91 Billion |
| Global CAGR (2019 - 2027) | 11.8% |
| Historical Data | 2017-2018 |
| Forecast period | 2020-2027 |
| Segments Covered |
By Product
|
| Regions and Countries Covered | North America
|
| Market leaders and key company profiles |
The Geosteering Technology Market market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.
Market players density refers to the distribution of firms or companies operating within a particular market or industry. It indicates how many competitors (market players) are present in a given market space relative to its size or total market value.
Major Companies operating in the Geosteering Technology Market are:
Disclaimer: The companies listed above are not ranked in any particular order.
The players in the geosteering technology market focus on strategies such as market initiatives, acquisitions, and product launches to maintain their positions in the market. A few developments by key players are listed below:
In 2020, Emerson Paradigm Holding LLC released Paradigm 19 software suits for all its all E&P software domains which would save cost, increase workflow efficiency, and educed uncertainty. The software suite is available for cloud as well as on premise platform.
In 2019, Schlumberger Limited announced that it ended the Sensia joint venture with Rockwell Automation Inc. Sensia was the oil & gas industry's first digitally enabled automated integrated solution.
The List of Companies - Geosteering Technology Market