24/7 Customer Support
The global oilfield integrity management market is estimated to reach US$ 22 Bn by the end of 2027. Increasing investments for adopting digital technologies in upstream oil & gas is estimated to have a positive impact on the market. Additionally, strict regulations related to environmental safety are estimated to drive the oilfield integrity management market.
The focus of the oil & gas industry on the adoption of better technology for operations to increase efficiency has shifted the traction towards digital enablement across the operations. Remote monitoring of the oilfields is made possible with the use of the oilfield integrity management market. Remote monitoring helps in reduced human intervention, thus reducing the labor cost incurred by the companies. Additionally, growing E&P activities in developing countries are estimated to have a positive impact on the market. Many players are observed to implement advanced analytics such as machine learning, artificial intelligence among others to retain a competitive edge and offer better solutions for the customers.
Increased IT spending by oil & gas industry:
IT investment by the oil & gas industry is constantly increasing due to continuous digitalization and technology-driven automation, process enablement in the industry. Workers are upskilled in order to adapt to the technological changes in the fields. Additionally, the need for faster and better performance is estimated to have a positive impact on the market. The oil and gas industry spends more than US$ 2 billion on the IT services such as cloud and advanced analytics in the year 2020. Moreover, advanced analytics is estimated to grow more than US$ 7 billion by the end of 2027. Implementation of oilfield integrity management market reduces the needless burden on workers. Additionally, the system allows the transmission of data over a secure network which ensures privacy of the data.
However, constant, and abrupt fluctuation in the prices of oil is estimated to have a negative impact on the market. Prices highly affect the supply of oil to the customers and affect the market directly. For Instance, the emergence of lockdown across the globe led to a sudden downfall in the oil & gas industry due to a fall in revenues on account of demand droop. Although the recovery was done after the lockdown was lifted, heavy losses led to reduced revenue, profits, and operating margins which in turn lead to reduced capital investments. Thus, lesser spending in IT infrastructure was observed in 2020.
North America is estimated to hold the highest market share globally. It was observed that in 2020 the U.S. increased its production by 1685 thousand b/d and Canada witnessed an increase of production of 150 thousand d/b. Moreover, Middle East & Africa is projected to hold a considerable share across the globe due to the highest number of oilfields in the region. As per a statistical review of world energy, published by British petroleum in 2020, Saudi Arabia, Iran, Iraq, Kuwait & U.A.E contribute world share of reserves by, 16.2%, 9.5%, 8.7%, 6.1%, 5.9% respectively.
Competitors in the oilfield integrity management market include TechnipFMC plc, Oceaneering International, Inc., SGS, John Wood Group plc, Aker Solutions ASA, Oracle Corporation, IBM Corporation, Siemens AG, Baker Hughes Company, Halliburton Company, Schlumberger Limited. Companies are focused on the vertical and horizontal expansion of the products to gain a competitive advantage in the market. In February 2020, Halliburton launched SPIDRive, an unconventional, well-testing, intelligent data retriever and fracture interaction monitoring technology that is also self-powered. Moreover, in 2019, Baker Hughes Company collaborated with an artificial intelligence solution provider company, C3.ai, to increase digitization in the oil & gas industry and accelerate production in the industry.
The Global Oilfield Integrity Management Market is segmented into the following categories.