Oil Derrick Market - Global Industry Analysis, Size, Share, Trends, Analysis, Growth, and Forecast 2017 - 2025

  • Single User License $3500

Oil Derrick Market - Global Industry Analysis, Size, Share, Trends, Analysis, Growth, and Forecast 2017 - 2025

Status : March, 2020 | Energy & Mining | PPT format

Report Digest


Global Oil Derrick Market: Overview

Oil derrick is a type of derrick used in various onshore and offshore oilfield operations. It consists of a complex set of equipment and forms a critical part of drilling rigs. Over the past few the oil derrick market is gaining traction for various offshore oil and gas rigs. Derrick is used to support massive structures of the hydraulic or electric top drive used in oil rigs. Since derricks are usually large structures, they are mostly assembled piece by piece or disassembled while moving from one location to another. Specialized derrick designs find wide uses for drilling in deep-water locations where they are positioned in the middle of the deck to help lower the drill stems through a moonhole.

Technological advancements brought about by manufacturers are focusing on increasing the load capacity of the derrick so that the weight of casing suspended from oil rigs can be increased. Consequently, this allows drillers and roughnecks to amplify pressure and rotational torque to the drill string. As a result, the rig capacities can be upgraded.

Continuous automation in drilling rigs has led to the development of rigs that require less number of personnel and workers on the drill floor. This is highly imperative since the safety of the workers employed for operating a derrick may be severely compromised at times. In addition, the use of lightweight composite materials such as graphite, fiberglass, and Kevlar significantly reduces the weight of the derrick, thereby reducing the cost of offshore rig operations and enhancing the efficiency of the rigs used. Modifications in design are poised to expand the applications of oil derricks in oil derrick market.

Global Oil Derrick Market: General Outline 

The global oil derrick market is predicted to witness a substantial growth as the exploration and production activities in oil fields see a rise. In fact, there has been a significant rise in the drilling activities of oil and gas fields worldwide in the recent past. The market is also expected to ride on the increasing demand for energy. 

The fundamental idea behind the implementation of oil derricks is controlling reservoir drilling in the oil and gas sector. The perpendicular stock-still component of a traditional derrick is capable of bearing immense weight of several tons. 

With an augmented production of tight oil formations and oil sands in North America as anticipated by the U.S. Energy Information Administration (EIA), the need for quality drilling equipment is expected to be strengthened. The increasing demand for such equipment will in turn ensure a profitable advancement of the international oil derrick market. In 2013, the EIA announced a 1 million barrels per day (MMBD) increment in the global oil supply, which increased to 1.7 MMBD in the next year. 

Global Oil Derrick Market: Growth Factors 

The crucial recovery in the growth of the global economies at the outset of 2014 ignited a notable increase in the world liquid consumption. Although the recovery was at a moderate level, it proved to be significant to increase the consumption from a sluggish 0.9 MMBD to 1.3 MMBD in 2014, as per the statistics of the EIA. In this regard, the economic advancement at an international level has emerged as a major driver for the worldwide oil derrick market. 

Regions such as Asia Pacific and the Middle East are also predicted to contribute to the growth of the global oil derrick market alongside North America with the discovery of new oil and gas fields. However, long hours of exploration and expensive operational activities could be among the few restraints of the market, which also include fear of heights and risk of falling from heights when mounting a derrick or rig. A few laborers working in the oil and gas fields may also complain about exposure to engine and crude oil fumes, mud, or gas. 

Nevertheless, such minimally affecting depressions of the market are foreseen to get recompensed with the elevation in the demand for petroleum and petroleum products. The recent swell in the demand for shale gas and its production is one of the illustrative instances of the potential growth opportunities in the global oil derrick market. 

Global Oil Derrick Market: Segment Analysis 

While the primary function of oil derricks is to control drilling in the oil and gas fields, there are some specialized designs that are also used to perform uncommon functions, such as extracting precious resources from the earth. In terms of design, the global oil derrick market includes three segments, viz. jack-up derrick, drilling derrick, and rotary derrick. 

Oil derricks are deemed to be responsible for executing a constitutive portion of the drilling process. Considering the requirement and depth of the targeted well in an oil and gas field, the corresponding type of derricks is chosen. Jack-up derrick is one of the largely used types which finds usage in the exploration activities. As North America is heavily involved in exploration and production activities, it holds a dominant share in the jack-up derrick market. 

Global Oil Derrick Market: Key Players 

The global oil derrick market is envisioned to be impacted by some of the prominent players, which are Superior Energy Services, Inc., Weatherford International Ltd., Quail Tolls, Schlumberger Company, Precision Drilling Corporation, Total Oilfield Rentals LP, Superior Derrick Services LLC, Chesapeake Oilfield Services LLC, Oilfield Hire and Services, and Raven Oilfield Rentals.

The study presents a granular assessment and quantitative evaluation of:

  • Key growth factors and prominent trends
  • Size and share of key segments in overall market
  • Key challenges and winning imperatives
  • Factors shaping competitive landscape
  • Insights into how contours of market will change in coming years
  • Technological advances
  • New avenues and imminent investment pockets
  • Regulatory landscape shaping current and future strategies of companies

The region-wise assessment includes market dynamics in:

  • North America
  • Asia Pacific
  • Europe
  • Latin America
  • The Middle East and Africa

The study is prepared with the help of an extensive primary and secondary research. Primary research includes but not limited to interactions, interviews, surveys, and events. Opinions of policy makers and industry experts are carefully integrated into the insights to complement primary research. Volumes of secondary data gleaned through renowned paid sources, annual statements, reputed journals, and government documents offer insights into current dynamics and key evolution trajectories the market is likely to assume. The research employs various industry-wide analytics methods and well-established methodologies to ascertain the attractiveness of key segments. Further, it evaluates the lucrativeness of key regions and factors underlying their maturity. The insights notably include a detailed analysis of forces behind vendor differentiation and offers insight into investment-decision making by prominent players.

The report strives to enlighten businesses and industry stakeholders on multiple facets of the growth dynamic of the market, the key of which include answers to:

  • Which key factors will shape the competitive landscape?
  • Which trends will stimulate research and development activities in different geographies?
  • Which are the lucrative growth areas and what is the size of potential they are likely contribute to the overall market?
  • Which disruptions in market growth are likely to come with the new business models?
  • Which are some of the recent overhauls in policies that may change the course of the market significantly?
  • Which are the geographies that will form sizable sources of new streams to new and established players alike?
  • How are top players likely to realign their strategy to counter the forces of competition?
  • Which key strategies emerging players are likely to focus on to consolidate their position?
  • Which changes in end-user preferences might affect the status quo held by the leading players?
  • Which are some of the game-changing innovations influencing the projected share and revenue of the market and its segments?

Note: Utmost care has invariably been taken to present data and arrive at statistics at all the TMR Research reports. Meanwhile, some recent developments and new industry trends may take time to be included in the reports.

Wish to check Table of Contents of this report?

Click below to Request TOC

Request TOC