Saudi Arabia Liner Hanger System market is anticipated to grow at
a steady pace in the forecast period 2024-2028. The
market for liner hangers is growing as a result of factors like the number of
rigs, total drilled area per well, and technological developments. Expandable
liner hanger systems are advised for Deepwater well completions as they are
made for situations where large, heavy liners must be deployed in difficult
terrain. Liner hangers are an important technology in oilfield drilling.
Rising
Methodology and Adoption of Liner Hanger System in Casing
The part of a wellhead
assembly known as the casing hanger in the petroleum industry supports the
casing string as it is lowered into the wellbore. In drilling
technology, casing string is a long section of connected
oilfield pipe that is lowered into a wellbore and cemented. It ensures that the casing
is put in the right place. A casing hanger, which sits on a landing shoulder
inside the casing spool, suspends the casing string once it has been run into
the wellbore. The complete weight of the casing must be supported by the casing
hanger, and the hanger and spool must be sealed.
In the petroleum industry,
the part of a wellhead assembly known as the casing hanger supports the casing
string as it is lowered into the wellbore. It guarantees that the case is
positioned correctly. The casing string is suspended once it has been run into
the wellbore by a casing hanger, which rests on a landing shoulder inside the
casing spool. The casing hanger must bear the entire weight of the casing, and
both the hanger and the spool must be sealed.
A liner hanger
assembly, releasing tool, cementing head, packer, etc. make up a liner hanger
system. A component of well completion, the liner hanger system can be
mechanical, hydraulic, expandable, premium, standard, rotating, or
non-rotating. It can also be pocket slip.
Planned
production of 0.65 bcm of natural gas per day by Aramco by 2028 is anticipated
to focus on unconventional gas reserves in North Arabia, the South Ghawar, and
the Jafurah Basin, East of Ghawar.
Oil & Gas
Projects in Saudi Arabia
The nation has
sizable shale deposits, and the long-term need for liner hanger systems is
anticipated to be driven by the increased exploitation of its unconventional
reserves. The onshore segment is anticipated to significantly influence the
market since it has the greatest oil and gas reserves and the highest
production from multiple onshore fields.
The Saudi
Arabian government is boosting investments with 15% of the world's oil reserves
as of 2021. It is the biggest crude oil exporter in the world, producing around
to 12 million barrels of crude oil day, including capacity from the Neutral
Zone shared with Kuwait.
The
second-largest producer of all petroleum liquids in the world, after Russia, is
Saudi Arabia. Throughout the projected period, increased oil and gas investment
in Saudi Arabia is anticipated to drive oil production and exploration
operations, propelling the Saudi Arabia liner hanger market.
In April 2019,
Saudi Arabia reported 20 operating offshore rigs and 100 active onshore rigs.
Drilling activities are predicted to rise as a result of the deployment of
these rigs, which will most likely lead to an increase in demand for LHS.
The liner
hanger method is less expensive than full casing string. Better cementing is
provided, increasing rig capacity. An important technique for sealing the annulus
between the casing and the formation is cementing. Hangers are mostly used in
the production of oil and gas from the surface. Hangers are utilized in the
drilling process because of the increased need for gas and oil today. Drilling
rigs primarily employ mechanical and hydraulic hangers.
Constant Rising
Demand of Transportation Fuels Fueling the Market Growth In Forecast Period
The key driver
of the market's growth over the projection period is the rise in demand for
crude oil in cars. The International Energy Agency projects that Saudi Arabia's
energy demand will rise by 30% during the coming years (IEA). Many nations'
gasoline consumption has increased as a result of rapid urbanization and
industrialization. As disposable incomes increase and more people in emerging
nations buy cars, the usage of liquid fuels in the transportation sector is
also expanding.
Due to factors
such as the expansion of unconventional and deep-water exploration and
production activities, the need for greater productivity and efficiency, and
the advantage of being able to cover large areas with a single rig by using
long lateral drilling techniques, it is anticipated that the demand for liner
hanger systems will rise during the forecast period.
Investments in
new offshore projects are being pushed by the existence of ageing onshore
fields and the rise in demand for crude oil and natural gas in developing countries.
Because of the discovery of new offshore oil reserves, it is anticipated that
the market for liner hanger systems will expand throughout the projection
period.
Technological Advancement
& Government Policies Propelling Market Growth
Current fashion
in production equipment's technological advancements are the actual cause of
the market's expansion in the anticipated timeframe. Some examples of hydraulic
and mechanical set furl lock liner hangers include the CMC liner hanger with a mechanical
set, the FLEX-LOCK VTM liner hanger, and the HMCTM liner hanger with a
hydraulic set.
Players in the
industry have been forced to invest a sizable sum of money in identifying new
offshore oil and gas deposits due to the rise in demand for oil and gas as well
as other petroleum products and the high price of oil, globally. According to
Rystad Energy, more than 600 new offshore oil and gas projects are expected to
begin producing in 2025. It is predicted that more than USD 480 billion will be
spent on the development of new offshore oil and gas projects by 2025.
Recent
Developments
The Kingdom of Saudi Arabia (KSA) had the second-largest proved oil reserves in the world in 2019 with 297.6 million barrels, only behind Venezuela. Long term, the LHS market is probably going to collapse due to the enormous reserves.
Also, the offshore Red Sea has been the primary focus of E&P activities in Saudi Arabia, which is likely to create more substantial prospects for the country's conventional liner hanger system market competitors.
In order to make up for declining fields elsewhere, Saudi Aramco is always active in research and development, opening up new markets for traditional liner hanger systems. Hence, the demand for conventional LHS in Saudi Arabia is rapidly rising despite a decline in oil output to 11.8 million barrels per day and an increase in gas production to 113 bcm in 2019.
The country continued to use a greater amount of hydraulic and mechanical liner hanger systems because of the growing production of crude oil and natural gas from onshore fields. Nonetheless, the need for expandable LHS is anticipated to rise with the increased search for offshore oil and gas reserves.
By 2030, the upstream operations of the industry could gain up to USD250 billion in value by utilizing enhanced connectivity to improve maintenance and field operations, optimizing drilling and production throughput, and increasing drilling efficiency. The current infrastructure may be able to release between USD160 and USD180 billion of that value, with low-Earth orbit (LEO) satellites and fifth generation (5G) technology unlocking an additional USD70 billion. Between $160 and $180 billion of that value might be achieved with current infrastructure, with low-Earth orbit (LEO) satellites and fifth generation (5G) technologies unlocking an additional $70 billion.
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Market Segment
The Saudi Arabia Liner
Hanger System Market is segmented into Well type, Hanger Type, and Application.
Based on well type, the market is segmented into horizontal/ directional well
and vertical well. Based on hanger type, the market is divided into Mechanical
liner hangers, Hydraulic liner hangers, and Expandable liner hangers. Based on application,
the market is split into onshore and offshore.
Market Players
The main
market players in Saudi Arabia Liner Hanger System Market are National-Oilwell
Varco, Inc, Halliburton Company, Weatherford International plc, Baker Hughes
Company, Schlumberger Limited, NOV Inc., SCM Daleel, Allamon Tool Company Inc.,
Tianjin Elegant Technology.
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Attribute
|
Details
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Base Year
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2022
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Historic Data
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2018 –
2022
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Estimated Year
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2023
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Forecast Period
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2024–
2028
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Quantitative Units
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Revenue in USD Million, and CAGR for 2018-2022 and 2024-2028
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Report coverage
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Revenue
forecast, company share, growth factors, and trends
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Segments covered
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Well Type
Hanger Type
Application
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Regional scope
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Eastern
Region, Central & Northern Region, Western region
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Key companies profiled
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National-Oilwell Varco, Inc, Halliburton Company,
Weatherford International plc, Baker Hughes Company, Schlumberger Limited,
NOV Inc., SCM Daleel, Allamon Tool Company Inc., Tianjin Elegant Technology
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|
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Customization scope
|
10%
free report customization with purchase. Addition or alteration to country,
regional & segment scope.
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Pricing and purchase options
|
Avail customized purchase options to meet your exact research
needs. Explore purchase options
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Delivery Format
|
PDF
and Excel through Email (We can also provide the editable version of the
report in PPT/Word format on special request)
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Report Scope:
In this report, the Saudi Arabia Liner Hanger
System Market has
been segmented into following categories, in addition to the industry trends
which have also been detailed below:
·
Saudi Arabia Liner Hanger System Market, By Well Type:
o
Horizontal/
Directional well
o
Vertical Well
o Saudi Arabia Liner Hanger System Market, By
Hanger Type:
o Mechanical
liner hangers
o Hydraulic
liner hangers
o Expandable
liner hangers
·
Saudi Arabia Liner Hanger System Market, By Application:
o
Onshore
o
Offshore
·
Saudi Arabia Liner Hanger System Market, By Region:
o
Eastern Region
o
Central & Northern Region
o
Western Region
Competitive Landscape
Company
Profiles: Detailed
analysis of the major companies present in the Saudi Arabia Liner Hanger System Market.
Available Customizations:
Saudi Arabia Liner Hanger System Market report with the given market data,
Tech Sci Research offers customizations according to a company's specific
needs. The following customization options are available for the report:
Company Information
·
Detailed
analysis and profiling of additional market players (up to five).
Saudi Arabia Liner Hanger System Market is an upcoming report to be released
soon. If you wish an early delivery of this report or want to confirm the date
of release, please contact us at [email protected]