Managed Pressure Drilling Market Size, Trends and Growth Analysis by 2027

The global managed pressure drilling market is projected to expand from US$ 4,298.97 million in 2021 to US$ 6,004.50 million by 2028, reflecting a compound annual growth rate (CAGR) of 4.9% during the period from 2021 to 2028.

The increasing adoption of advanced technologies for drilling high-pressure, high-temperature (HPHT) wells is anticipated to create significant opportunities for the utilization of managed pressure drilling equipment in the upcoming years. Drilling operations often face various challenges, including circulation loss, stuck pipes, twisting off, kicks, and loss scenarios. To address these issues and ensure a safe drilling environment, advanced drilling equipment is employed. Moreover, the number of HPHT wells is consistently increasing, with many more planned for the near future. The extreme conditions associated with these wells heighten the risk of disasters and reduce the margin for error. Managed pressure drilling is particularly beneficial in HPHT well drilling, as it enhances penetration rates, mitigates kicks or losses, narrows the drilling window, manages mud programs, facilitates early detection of wellbore ballooning, ensures high efficiency, and minimizes non-productive time. Consequently, the effectiveness of managed pressure drilling techniques in HPHT well operations is driving substantial growth opportunities for providers of managed pressure drilling equipment.

Impact of COVID-19 Pandemic on Managed Pressure Drilling Market

The COVID-19 pandemic has profoundly impacted numerous industries globally. The rapid spread of the virus prompted governments to implement stringent restrictions on movement and transportation. These travel bans, widespread lockdowns, and business closures have adversely affected economies and various sectors across many countries. The lockdowns led to a decline in the production of goods and services.

In 2020, the oil industry faced significant challenges due to the pandemic, which caused major disruptions in supply chain activities and restrictions on international trade. The global oil prices fell sharply due to decreased demand, while oil-producing nations continued their production, leading to a substantial decline in activities among major oil producers. As a result, the demand for managed pressure drilling services diminished, particularly in the early months of 2020, as many countries implemented lockdowns that hindered the growth of the global managed pressure drilling market.

However, in 2021, as lockdowns were lifted and vaccination efforts progressed, manufacturing and construction sectors began to resume operations. This resurgence in oil production and the corresponding demand for managed pressure drilling equipment and machinery are expected to drive the growth of the global managed pressure drilling market in the forthcoming years.

Market Segmentation

The managed pressure drilling market is categorized based on technology into several segments: constant bottom hole pressure (CBHP), mud cap drilling (MCD), dual gradient drilling (DGD), and return flow control drilling (RFCD). In 2020, the constant bottom hole pressure (CBHP) segment dominated the market, holding the largest share. Additionally, the market is divided by application into onshore and offshore segments, with the offshore segment capturing a larger market share in 2020.

Geographically, the market is segmented into North America, Europe, Asia Pacific (APAC), Middle East & Africa (MEA), and South America (SAM). In 2020, North America held a significant share of the global market.

The overall size of the managed pressure drilling market has been determined through a combination of primary and secondary research methods. The research process began with extensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data related to the market. This approach also aimed to provide an overview and forecast for the managed pressure drilling market across all segments. Furthermore, primary interviews were conducted with industry participants and experts to validate the data and gain deeper analytical insights. Participants included industry professionals such as VPs, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the managed pressure drilling sector.

Several prominent companies operating within the managed pressure drilling market include Ensign Energy Services, Archer, Blade Energy Partners, Nabors Industries Ltd., Air Drilling Associates, Inc., ADS Services, LLC, Halliburton Energy Services, Inc., Schlumberger Limited, Weatherford International plc, and NOV Inc.