Drilling is the primary process in exploration and production of crude oil from a reservoir. In this process, rocks are crushed to form a cylindrical hole in earth surface using a drill bits to extract crude oil. Drills bits made up of various materials such as diamond, tungsten, carbide are widely used in oil & gas industry. Drill bits are segmented based on the type i.e. roller cone drill bits and fixed cutter drill bits. Roller cone drill bits are the most popular type of drill bits used for the drilling of conventional wells. Roller cone drill bits segment is expected to be the most dominant segment over the forecast period. While the fixed cutter bits segment growth is augmented by increasing production of non-conventional shale gas and tight oil.
Growing energy demand due to increase in number of automobiles due to rapid urbanization especially in emerging economies of Asia Pacific such as India and China are expected to drive the demand for fossil fuel which is influencing which oil producer to increase oil production, this in turn is expected to spur the growth of global drill bits market for oil & gas industry. Increase in exploration and production of sand formations coupled with new drilling techniques such as hydraulic fracturing or fracking is anticipated to impel the demand for Polycrystalline Diamond Bits (PCD). Oil & gas industry has witnessed a shift in exploration and production operations form conventional to non-conventional oil & gas exploration. Growing production of shale gas since 2010 coupled with increasing ultra-deepwater drilling activities in U.S. Gulf of Mexico is expected to drive the demand for drill bits market over the forecast period (2021-2029). Moreover, increasing rig count for offshore drilling also anticipated to fuel the demand for drill bits over the forecast period.
Global Drill Bits market for oil & gas has been estimated to be valued at US$ 7.0 Bn by the end of 2021 and is expected to attain revenue of US$ 11.2 Bn by 2029, expanding at a CAGR of 6.1% during the forecast period 2021-2029.
Purpose of the Report
The purpose of this strategic research study titled “Global Drill Bits Market for Oil & Gas Industry- Growth, Future Prospects, Competitive Analysis and Forecast, 2021 – 2029” is to provide company executives, industry investors, and industry participants with in-depth insights to enable them make informed strategic decisions regarding the opportunities in the global drill bits market.
USP and Key Offerings
The report titled “Global Drill Bits Market- Growth, Future Prospects, Competitive Analysis and Forecast, 2021 – 2029” offers strategic insights into the global Drill Bits market along with the market size and estimates for the duration 2019 to 2029. The said research study covers in-depth analysis of multiple market segments based on technology and cross-sectional study across different geographies. In order to help strategic decision makers, the report also includes competitive profiling of the leading Drill Bits service providers, their expansion strategies, market positioning, and latest developments. Other in-depth analyses provided in the report include:
Overall, the research study provides a holistic view of the global drill bits market growth, offering market size and estimates for the period from 2019 to 2029, keeping in mind the above-mentioned factors.
Hydrocarbons extraction involves various processes such as seismic surveys, drilling, production and others. Various equipments such as rigs, drill bits, tubes, pumps, gauges are used in drilling and production of equipments. Drilling operations is one of the prime operations in hydrocarbons extraction which involves creation of cylindrical hole in earth crust. Drill bits are used to crush or cut rocks to create the cylindrical hole in earth crust. Drill bits market in oil & gas industry is gaining traction with growing oil production activities across the globe. Increase demand for energy coupled with advancement in technology of extraction of nonconventional shale gas exploration is expected to augment the growth of the drill bits market over the forecast period (2021-2023).
On the basis of product type, the drill bits market can be segmented as roller cone and fixed cutter bits.
Roller cone drill bits are the most common drill bit used in drilling to extract hydrocarbons. The segment is anticipated to be the most dominant segment among product type due to low cost and is convenient for soft formations. However, the segment is expected to lose its market share to fixed cutter bits segment due to growing exploration and production of shale gas which require hard rock drilling at higher depth. Roller cone drills can be sub segmented as Milled-tooth bits and Tungsten carbide inserts (insert bits).
Fixed cutter bits segments is expected to gain traction over the forecast period owing to growing production of non conventional shale gas exploration and deep water drilling activities. Fixed cutter bits are widely used to crush rocks found in deep water drilling and drilling of shale rocks. Fixed cutter bits segment can be sub- segmented as Polycrystalline diamond bits (PDC) and Natural diamond bits. Polycrystalline diamond bits segment is anticipated to grow at significant rate over the forecast period due to their high penetration rate and adaptability with diverse rock formation.
Growing demand for oil and natural gas in key consuming economies such as China and India is expected to drive new projects of oilfield exploration which in turn is anticipated to fuel demand for drill bits over the forecast period (2021-2029).
Global drill bits market for oil & gas industry is expected to gain impulse with recovery of oil prices. Oil & gas industry has witnessed a shift in exploration and production operations form conventional to non-conventional oil & gas exploration. Drilling of sand formation, increase offshore drilling, and growing deepwater, ultra deepwater drilling has fuelled the demand of specialized drill bits with better rate of penetration.
North America contributed the highest revenue share in global drill bits market with a contribution which is estimated to be more than 35% by end of 2021. Followed by it, MEA stood at second position in the same year. High oil reserves coupled with low per barrel production cost in the region is projected to spur exploration of new wells in the region which in turn is anticipated to intensify the demand of the drill bits over the forecast period. Asia Pacific is expected to register significant growth after 2018 owing to high reserves of shale gas in China coupled with increasing research and development in shale gas exploration by Chinese oil producers. Besides this, increasing oil production activities in Russia and other countries of the Europe are expected to spur the growth of drill bits market over the forecast period (2021-2029).
Historical & Forecast Period
This study report represents analysis of each segment from 2022 to 2032 considering 2023 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2024 to 2032.
The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations and other key market insights.
Research Methodology
The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. key data point that enables the estimation of Drill Bits market are as follows:
Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top down and bottom-up approach for validation of market estimation assures logical, methodical and mathematical consistency of the quantitative data.
| ATTRIBUTE | DETAILS |
|---|---|
| Research Period | 2022-2032 |
| Base Year | 2023 |
| Forecast Period | 2024-2032 |
| Historical Year | 2022 |
| Unit | USD Million |
| Segmentation | |
Product type
| |
|
Region Segment (2022-2032; US$ Million)
|
Key questions answered in this report
