Report : Geosteering Technology Market Forecast to 2027 - COVID-19 Impact and Global Analysis by Product (Logging While Drilling, Measurement-While-Drilling, Rotary Steerable Systems, Drive Systems, and Others) and Application (Petroleum Development, Natural Gas Transportation, and Others), and Geography
Logging While Drilling (LWD) Geosteering Technology to Continue Dominating Global Geosteering Technology Market
According to our latest market study on “Geosteering Technology Market Forecast to 2027 – COVID-19 Impact and Global Analysis – by Product (Logging While Drilling, Measurement-While-Drilling, Rotary Steerable Systems, Drive Systems, and Others) and Application (Petroleum Development, Natural Gas Transportation, and Others),” the market was valued at US$ 15.27 billion in 2019 and is projected to reach US$ 27.91 billion by 2027; it is expected to grow at a CAGR of 11.8% from 2020 to 2027. The report highlights the key factors driving the market growth, and prominent players and their developments in the market.
The geosteering technology market is segmented into North America, Europe, Asia Pacific (APAC), Middle East & Africa (MEA), and South America (SAM). North America dominated the geosteering technology market in 2019 and it is likely to maintain its dominance over the forecast period. The market growth is majorly driven by the growing petroleum sector in the US and Canada. As per the US Energy Information Administration (EIA), in August 2018, crude oil production in the US exceeded 11.3 million barrels per day. Geosteering technology provides real-time information with 2D and 3D projections of the land around the oil wells. In addition, the geosteering technology market in Asia Pacific is anticipated to grow at the highest CAGR during the forecast period. Increasing demand for energy drives the oil & gas industry to adopt innovative technologies, such as geosteering. Significant developments and improvements are being made in directional drilling technologies that enable oil and gas industries to geo-steer wells. Moreover, increasing demand for RSS by oil & gas companies in the region is anticipated to propel the market growth.
Advances in technology and improved focus on natural gas production are expected to increase the demand for geosteering technology during the forecast period. Rise in demand for intensive R&D has led to the development of advanced products to help meet process requirements. High pressure, high temperature, and ultra-deep water of new reservoirs create challenges for the market resulting in the launch of innovative solutions. For example, Halliburton unveiled VisiTrak geospatial navigation and LWD analysis for merging reservoir navigation and advanced pre-well modeling to enhance efficiency and enable optimum well-placement for improved hydrocarbon recovery.
US Continues to Dominate Global Geosteering Technology Market
Increase in oil & gas production is the most substantial factor driving the market growth in the country. For instance, as per EIA, crude oil production in the country has grown in recent months after decreasing from 12.7 million b/d (barrels per day) in the first quarter of 2020 to 10.0 million b/d in May. In August, crude oil production has increased to 10.8 million b/d. With advanced geosteering technology, it is possible to drill completely horizontal wells. The technology also enables geologists to predict where and at what depth the reservoir layer would appear; thus, it is likely to impact market growth positively. In addition, companies in the US are fully involved in offering robust geosteering technology. For instance, in July 2019, Halliburton ramped up 3D reservoir mapping, an LWD capability, which offers a representation of subsurface structures to enhance well placement. The technology allows full 3D characterization of the reservoir, enabling precise well placement.
The report segments the global geosteering technology market as follows:By Product