Oilfield Chemicals Market Size, Share & Trends Report Oilfield Chemicals Market Size, Share & Trends Analysis Report By Product (Inhibitors, Demulsifiers, Rheology Modifiers, Friction Reducers, Biocides, Surfactants, Foamers), By Application, By Location, And Segment Forecasts, 2018 – 2025

The workover & completion is one of the leading application sectors for the specialty oilfield chemicals. The requirement for maximizing the productivity of the already existing reservoirs by creating favorable flow paths through hydraulic fracturing and matrix stimulation. The point at which the completion course initiates depends on the design and type of the well. However, there are many actions performed or alternatives used during the various stages of a well that has a significant impact on the productivity of the well. The completion quality can have a very significant effect on the production from the reservoir This also helps to save time and expenses considerably.

The U.S. oilfield chemicals market value is expected to reach a net worth exceeding USD 7.10 billion by 2025. The shale gas revolution has introduced a renewed robustness in oil exploration and production and has led to increasing demand for oilfield chemicals in this region.

Hydroxyethyl cellulose, carboxymethyl cellulose, polyanionic cellulose are some of the raw materials utilized for manufacturing these chemicals synthetically. Moreover, some of the raw materials for natural products are of biological origin such as plants, fruits, and so on. Also, hydroxypropyl cellulose and carboxymethyl hydroxyethyl cellulose, are also used in lesser quantities.

There has been a shift in consumer demand for environment-friendly and natural products in the last few years. In order to cater to the evolving energy demand, technologies and to meet the regulatory frameworks, some of the manufacturers have come up with new and upgraded products and services.

A major challenge in the oil field chemicals industry is the costly disposable procedures for these toxic compounds. Disposal costs identified by API ranged from USD 49 to USD 3,333 per 55-gal drum, with an average cost of USD 544 per drum. Additional costs were identified for various disposal options including radiological analysis, composition analysis, transportation, pretreatment capacity reduction, non-NORM waste disposal, administrative costs, and authorizing & manifesting costs.

Product Insights

The rheology modifiers emerged as the leading product segment and accounted for over 20% of the total revenue in 2016. Its major applications include the product being used as a synthetic mud that provides high viscosity while drilling at high angles and for horizontal wells. These agents minimalize the splashing during brushing and improve the sag resilience of the coatings.

Biocides emerged as the fastest product segment and are expected to grow at a CAGR of 5.4% over the forecast period. The segment is expected to grow over the forecast period owing to its increasing utilization in offshore operations. They are used to protect the water muds which contain naturally occurring gum. Their microbial attack inhibition capabilities are expected to drive the demand in offshore as well as onshore operations.

Due to regulatory norms, the manufacturers are opting for environmentally-friendly chemicals in oilfield applications. This will result in ease of disposal of such products. The hazards of using synthetic materials in operations can also be reduced significantly. These organic products exercise a higher power over its counterpart in terms of regulations and acts as a potential replacement.

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