Specialty Oilfield chemicals are chemical compounds used for enhancing the effectiveness & efficiency of various operations associated with an oilfield site. These operations include drilling, production, completion, and others.
The GCC Specialty Oilfield Chemicals Market is likely to grow at a CAGR of around 5.1% during the forecast period, i.e., 2021-26, says MarkNtel Advisors. It owes to the rising focus of the governments in the GCC region on diversifying the economy and avoiding their reliance on oil revenue, coupled with the extensive oil & gas and building & construction sectors across GCC. Since these end users are the prominent consumers of specialty oilfield chemicals, the market is likely to widen significantly in the forecast period.
|Study Period||Historical Data: 2016-19|
|Base Year: 2020|
|Forecast Period: 2021-26|
|Key Companies Profiled||BASF SE, Dow Chemical, Ecolab, Huntsman International, Evonik Industries, Halliburton, Clariant, Kemira, Solvay, Schlumberger, Others|
|Unit Denominations||USD Million/Billion|
Covid-19 Outbreak Severely Impacted the GCC Specialty Oilfield Chemicals Market
The Covid-19 pandemic severely affected almost all industries where the GCC Specialty Oilfield Chemicals Market was no exception. The market underwent new challenges owing to the imposition of lockdown & stringent movement restrictions. These limitations led to a massive labor shortage and an indefinite delay in various Engineering, Procurement, and Construction (EPC) projects culminating in needs for drilling & excavation services.
The market also faced massive financial losses due to the cancellation or postponing of operations. Moreover, the temporary halt on the transportation & logistics sector, coupled with supply chain disruptions, resulted in inventory shortages and hampered chemical sales. Furthermore, the sudden price drop of oil put more pressure on the specialty oilfield chemical sectors.
Production Chemicals to Dominate the Market with Largest Share Through 2026
Based on the Application, the GCC Specialty Oilfield Chemicals Market segments into Production Chemicals, Drilling Fluids, Well Stimulation, Enhanced Oil Recovery, Cementing, Workover & Completion, and others. Of them all, the Production chemical is likely to dominate the market with the largest share in the forecast period.
It principally owes to the booming demand for energy and increasing crude oil production, especially after the Covid-19 pandemic. Moreover, using these production chemicals in the already existing reservoirs to maximize their productivity even after the peak oil period of well is achieved is another crucial factor expected to lead the segment to dominate the market in the forecast period.
Specialty Biocides to Display the Fastest Growth During 2021-26
Based on the Type, the GCC Specialty Oilfield Chemicals Market segments into Demulsifiers, Inhibitors & Scavengers, Rheology Modifiers, Friction Reducers, Specialty Biocide, Specialty Surfactants, Pour Point Depressants, and others like Additives, Defoamers. Of them all, Specialty Biocides are projected to observe the fastest market growth in the forecast period owing to their increasing utilization across offshore operations to protect the water muds containing naturally occurring gum.
Besides, the microbial attack inhibition capabilities of the specialty biocides are also likely to surge their demand in both offshore & onshore operations. Hence, Specialty Biocides are expected to grow as the fastest product type during the forecast period, reveals MarkNtel Advisors in their research report, "GCC Specialty Oilfield Chemicals Market Analysis, 2021."
The factors that are likely to drive the GCC Specialty Oilfield Chemicals Market in the forecast period include:
The factors that might restrain the GCC Specialty Oilfield Chemicals Market growth include the constant fluctuation in the crude oil prices entwined with the stringent regulatory policies for chemicals. Besides, the effect of these chemicals on the environment might also hamper the overall market growth.
Saudi Arabia to Dominate the GCC Specialty Oilfield Chemicals Market
Based on the Geography, the GCC Specialty Oilfield Chemicals Market expands across Saudi Arabia, UAE, Oman, Bahrain, Kuwait, and Qatar. Of them all, Saudi Arabia is expected to dominate the market in the forecast period. It owes to the burgeoning demand for oil & gas worldwide, coupled with the increasing investments in offshore exploration activities in Saudi Arabia that make the country the largest market for oilfield chemicals across GCC.
Furthermore, with the launch of the Saudi Vision 2030, which aims to diversify the economy, the country also expects growth opportunities from other sectors like automotive, electrical & electronics, etc. Moreover, this plan would further implement various reforms, including Expat Levy, which shall also fuel the market growth in Saudi Arabia during the forecast period.
Besides, as Saudi Arabia widens the oil & gas exploration activities to establish its oil market supremacy over other prominent nations, the market shall observe decent growth across the country in the coming years.
According to MarkNtel Advisors, the leading players in the GCC Specialty Oilfield Chemicals Market are BASF SE, Dow Chemical, Ecolab, Huntsman International, Evonik Industries, Halliburton, Clariant, Kemira, Solvay, Schlumberger, Others.
Key Questions Answered in the Market Research Report:
Market Outlook, Segmentation, and Statistics
Frequently Asked Questions
A. The GCC Specialty Oilfield Chemicals Market is likely to grow at a CAGR of around 5.1% during the forecast period, i.e., 2021-26.
A. BASF SE, Dow Chemical, Ecolab, Huntsman International, Evonik Industries, Halliburton, Clariant, Kemira, Solvay, Schlumberger, and Others are a few leading players in the GCC Specialty Oilfield Chemicals Market
A. Production Chemicals are expected to attain the highest CAGR and maintain their significant market share during the forecast period.
A. The rapid technological advancements and massive investments toward R&D to produce improved chemical solutions, coupled with supportive government policies, are likely to drive GCC Specialty Oilfield Chemicals Market growth and create remunerative opportunities for market players in the forecast period.
A. With the gradual upliftment of restrictions, the transportation and supply chains are likely to revive and enable manufacturers to resume their chemical productions & supplies to end-users. It shall further help the market regain its usual pace and recover from the losses during the forecast period.