Oil and Gas Packer Market

Oil & Gas Electric Packer Market Analysis

The Oil and Gas Packer Market is expected to register a CAGR of greater than 3% during the forecast period.

• Retrievable packers, owing to its ability to reuse is expected to witness higher growth rate in the forecast period.
• The exploration of deepwater and ultra-deepwater projects and increasing investment in the shale are likely to create ample opportunities for the market players in the near future.
• North America, with its vast reserves of recoverable shale gas and tight oil reserves in the world, is dominating in packer demand and is expected to continue its dominance in the forecast period.

Oil & Gas Electric Packer Market Trends

Retrievable Packer to Witness Significant Growth

• A retrievable packer is a type of packer that is run and retrieved on a running string or production string, unlike a permanent production packer that is set in the casing or liner before the production string is run.
• In Australia, the Browse gas project is expected to be developed in the forecast period. With an estimated capacity of 15.4 trillion cubic feet of dry gas, multiple wells in the future are likely to drive the demand of retrievable packers.
• Africa's offshore deep and ultra-deep space has continued to attract oil explorers and producers in increasing their operations, especially in Southern and Western Africa. Significant projects have either started or have been approved, in turn, creating opportunities for the packer market.
• In Russia, Gazprom Neft continues to conduct studies on its Bazhenov acreage and is targeting 40,000 b/d of production from shale by 2023. With this significant demand for the packers can be expected in the forecast period.
• With total gas production of 3,989 bcm, the market of oil and gas is growing and simultaneously driving the need for a retrievable packers.
• Due to the COVID-19 outbreak, delay in upstream projects is expected. However, later in the forecast period, with the initiation of new projects and completion of drilled wells, the market of the packers is expected to grow considerably

North America to Dominate the Market

• The United States is one of the largest producers of crude oil and natural gas, accounting for around 18% and 23% of the global production, respectively, in 2019. The production surged in 2019, mainly due to robust drilling in its shale reserves, led by the Permian Basin.
• It is expected that around USD 76 billion will be spent on 97 upcoming oil and gas projects in the country between 2018 and 2025 in the United States. Such robust growth in terms of new projects is projected to create a demand for completion and well intervention projects.
• As of April 2019, 8390 drilled wells are incomplete in the country, with the Permian Basin having the largest share. These wells are expected to be completed in the coming years, creating ample opportunity for the packer system in the future.
• With increased crude oil production to more than 24 million barrels per day, the North American region is expected to create sufficient demand and dominate the market.
• With increasing investment in Canada and the United States and the availability of vast reserves of shale gas and sand reserves, the region is leading the market of packers.

Oil & Gas Electric Packer Industry Overview

The oil and gas packer market is moderately consolidated. Some of the major players include National Oilwell Varco Inc, Halliburton Company, Weatherford International plc, Baker Hughes Company, and Schlumberger Limited.

Oil & Gas Electric Packer Market Leaders