Middle East Drilling Rig Transportation Market is expected to reach US$ 799.57 Million by 2031

Rising Energy Demand Drives Middle East Drilling Rig Transportation Market Growth

According to our latest market study on "The Middle East Drilling Rig Transportation Market to 2031 – Regional Analysis – by Location and Transportation Mode," the drilling rig transportation market size was valued at US$ 526.72 million in 2024 and is expected to reach US$ 799.57 million by 2031; it is anticipated to register a CAGR of 6.28% during 2025–2031. The Middle East drilling rig transportation market report includes growth prospects in light of current drilling rig transportation market trends and driving factors influencing the drilling rig transportation market size.

As economies across the globe witness growth due to increased industrialization, the demand for energy accelerates in tandem. According to the data published by the International Energy Agency in March 2025, the global energy demand is accelerating in 2025, outpacing the average growth rate recorded in 2024. Likewise, in 2024, the global energy demand increased by 2.2% compared to 2023. This growth rate was higher than the average growth rate of energy demand between 2013 and 2023. Emerging economies in Asia and the Middle East contribute to almost 80% of the energy demand. The per capita electricity consumption in Saudi Arabia reached 10.459 MWh. The government of Saudi Arabia witnessed a 93% hike in electricity consumption between 2000 and 2022. As per the data published by the US Energy Information Administration in October 2024, Saudi Arabia is planning to increase its electricity production capacity by using Natural Gas as part of the country’s Vision 2030. Thus, the demand for natural gas increased, ultimately driving the construction of gas production plants across the nation. Apart from Saudi Arabia, the UAE witnessed a notable growth in energy demand. According to the International Energy Agency, the per capita electricity consumption in the UAE reached 15 MWh and witnessed 37% growth between 2000 and 2022. In 2023, the UAE stood as the 11th largest global energy producer and the 2nd largest in the Middle East. As per the data published by the US Energy Information Administration in 2023, fossil fuels account for the majority share of the electricity production in the country. Therefore, to meet the increasing global and regional energy demand, governments and oil and gas companies across the region have started investing in crude oil and natural gas field production activities. These activities are propelling the demand for drilling services in the region, ultimately driving the Middle East drilling rig transportation market.

Middle East Drilling Rig Transportation Market Share — by Country, 2024

Source: The Insight Partners Analysis

The scope of the Middle East drilling rig transportation market report focuses on Saudi Arabia, the UAE, Kuwait, Iraq, Qatar, and the Rest of Middle East. In terms of revenue, Saudi Arabia accounted for the largest drilling rig transportation market share in 2024, and the country is anticipated to continue its dominance during 2025–2031. Saudi Arabia has 19% of the world’s petroleum reserves and accounts for 20% of global petroleum sales. Further, the country claims to have proven petroleum reserves worth 267 billion barrels. In 2024, the country announced investments of US$ 100 billion to become the largest shale gas producer. Saudi Arabia has the largest shale gas field in the Middle East, with reserves of ~229 trillion cubic feet. Thus, owing to the presence of large oil and gas fields in the country, the demand for drilling rig transportation continues to increase. Further, in April 2025, Saudi Aramco, a government-owned petroleum and natural gas company, announced the discovery of 14 new oil and gas fields in the Eastern Province. Moreover, Saudi Aramco is investing in new drilling activities. In 2024, Aramco made a massive capital investment to focus on the expansion of its crude oil and natural gas production capacity. The Dammam development project in Saudi Arabia is expected to produce more than 25,000 and ~50,000 barrels per day of crude oil in 2024 and 2027. Thus, owing to increased investments, the discovery of new oil and gas fields, and ambitions of becoming the largest oil producers, the demand for drilling rig transportation is projected to increase during the forecast period.

The UAE is a federation of seven emirates, including Dubai and Abu Dhabi. Each of the seven emirates controls oil production within its borders. Abu Dhabi is home to most of the proven oil reserves in the UAE. Thus, the government of Abu Dhabi and oil companies are taking various initiatives to expand their oil production. In 2023, Abu Dhabi National Oil Company (ADNOC) announced its plans to expand LNG exploration activities by investing more than US$ 13 billion between 2024 and 2029. In March 2025, ADNOC announced the handing over of a new contract for drilling rigs to its sister company, ADNOC Drilling. The contract is worth US$ 806 million. As per this contract, the rig drilling activities will take place in the Zakum development project. The Upper Zakum oil field is claimed to be the second-largest oil field in the world. In October 2024, ADNOC Drilling disclosed a US$ 1.7 billion deal with US-based SLB and Patterson-UTI Energy to create a new company, Turnwell Industries. This new joint venture will focus on undertaking unconventional drilling operations in the country. Owing to such investments in oil production projects and drilling activities, the demand for drilling rig transportation is expected to grow during the forecast period.

Iraq has the fifth-largest oil reserves in the world. The major demand for drilling rig transportation in the country comes from the oil sector. In March 2025, the Iraqi government announced its plans to increase its oil production capacity to 6 million barrels per day by 2030. To achieve this, the government offered BP Plc a contract to redevelop four oil and gas fields in Kirkuk City. Moreover, in January 2025, Iraq announced the discovery of new oil fields in the Southern East Baghdad group of fields. This new field is projected to add 2000 million barrels of oil to current reserves. This discovery is further aiding the country to increase its production capacity. Apart from government investments, the country has witnessed notable foreign direct investments in the oil sector. Thus, owing to such investments and initiatives, the demand for drilling is projected to increase for exploration and production activities, ultimately driving the demand for drilling rig transportation in Iraq.

Kuwait is the major supplier of crude oil among all the members of the Organization of the Petroleum Exporting Countries (OPEC), as it contributes to 95% of the total exports. The country held nearly 7% of the global oil reserves. In addition, the country achieved a 3.15 million barrels per day capacity in 2023. Kuwait Petroleum Corporation (KPC), a government-owned oil company, plans to increase its oil production capacity to 4.75 million barrels per day by 2040 and gas production to 4 billion cubic feet per day by 2030. As a result, the company is taking various initiatives to expand its oil production. For instance, in January 2025, Kuwait Petroleum Corporation announced the discovery of a large hydrocarbon field in Al-Julaia. This field is spread across 74 sq. km and is expected to have ~800 million barrels of medium-density oil and 600 billion standard cubic feet of associated gas. With such production expansion activities, along with the discovery of new oil fields, the rig drilling activities will increase, ultimately driving the demand for drilling rig transportation services.

The Middle East drilling rig transportation market analysis is carried out by identifying and evaluating key players in the market. Gulf Haulage Rigmove (GH Holing Co.), Asateel Transportation, Abr Al Sahraa Company, Amirco, Golden Argo, Gulf Sanad General Contracting Est., Saleh Ayed Balharith Est., MOD Rig Move Co., Ofsat Ltd. Co. LLC, ADNOC drilling company PJSC, Zararah Transporting and Maintenance Company, SMGT, AFEX, Arabian Drilling Co, and Mohammed Al-Jarrallah Equipment & Petroleum Services Co. W.L.L. are a few prominent key drilling rig transportations service providers in the Middle East. Several other companies are also contributing substantial revenues to the overall drilling rig transportation market growth in the region.

Contact Us

Phone: +1-646-491-9876
Email Id: sales@theinsightpartners.com