In 2017, the global artificial lift market reached a value of $8,010.8 million and is predicted to generate a revenue of $10,883.1 million by 2023, witnessing a 5.3% CAGR during the forecast period (2018-2023). The market is growing because of the increasing number of ultradeep and deepwater activities and rising number of mature oil & gas fields. Artificial lift is utilized in oil wells for increasing the pressure within the reservoir in order to encourage the oil to the surface. In terms of application, the market is bifurcated into offshore and onshore.
When type is taken into consideration, the artificial lift market is categorized into gas lift, electrical submersible pumps (ESP), progressive cavity pumps (PCP), red lift, and others (which include hydraulic jet pumps and plunger lift). Among these, the ESP category is expected to hold the largest share of the market during the forecast period. This is due to the tightly contained units of these devices which keep the liquid out of the housing and internal components, thereby ensuring that the pumps don’t leak or short circuit when submerged.
A major driving factor of the artificial lift market is the rising number of mature oil & gas fields. Most of the oil is produced from mature fields and more than 70% of the produced oil comes from fields which are more than 30 years old. Artificial lifts are primarily utilized in mature fields. As the reduced reservoir pressure in mature fields results in production of water more than oil, operators prefer to use artificial lift techniques in matured wells for improved recovery of oil for maximizing the revenue margins.
Make enquiry before purchase: https://www.psmarketresearch.com/send-enquiry?enquiry-url=artificial-lift-market
Geographical Analysis of Artificial Lift Market
Globally, North America accounted for the largest revenue share in the artificial lift market, during the historical period(2013-2017), and it is expected to maintain the trend during the forecast period, mainly as a result of the presence of established players. Further, more than 90% of oil wells require artificial lifts, in the U.S., owing to the decline in their natural pressure, over time. Considering the future industry scenario, the U.S. is expected to lead the North American market, generating revenue worth $3,771.0 million in 2023.