Saudi Arabia Oilfield Chemicals Market Research Report: Forecast (2025-2030)

Market Definition

Oilfield chemicals are the components that are used in the extraction of oil and gas, by improving the efficiency and productivity of petroleum refining and oil drilling process.

Market Insights & Analysis: Saudi Arabia Oilfield Chemicals Market (2025-2030):

The Saudi Arabia Oilfield Chemicals Market size is valued at around USD 0.95 billion in 2024 and is projected to reach around USD 1.38 billion by 2030. Along with this, the market is estimated to grow at a CAGR of around 5% during the forecast period (2025-30). Factors like advancement in technology, oil & gas production domination, and enhancement in oil recovery techniques are fueling the market growth. Out of the total global oil stake, 17% is held by Saudi Arabia alone, making it the largest global oil exporter. Multiple uses in oil refineries like oil extraction, production, cementing, and drilling further create demand for the Oilfield chemicals market. By 2028, the per barrel oil production capacity will be increased to 12.3 million barrels, says the Saudi Energy minister. This creates further demand for oilfield chemicals.

*Boost strategic growth with in-depth market analysis - Get a free sample preview today!

Furthermore, complex oilfield operations and reservoir depletion provide expansion potential for oilfield chemicals. A major portion of Saudi Arabia's oil manufacturing comes from mature fields like the Ghawar, Safaniya, and Khurais. Additionally, corrosion control, scaling, productivity enhancement, and reservoir fluids management in these oilfields are done by oilfield chemicals. Moreover, some other market opportunities are provided by the depletion of reservoir and oilfield operations. Oilfield chemicals have benefits such as reducing corrosion and efficiency in fluid management. Some of the well-known oilfields of Saudi Arabia fulfill a large portion of its oil needs. Improved oil recovery techniques can boost oil production from 5% to almost 15% per field. With increasing oil demand globally, Saudi Arabia is planning to increase extraction from its existing oil fields.

Saudi Arabia Oilfield Chemicals Market Driver

Rising Oil Production & Exploration Activities – In 2023, 79.1% of the world’s crude oil reserves are situated in OPEC Countries with Saudi Arabia alone having a share of 21.5%. With this boost in oil production, the demand for oilfield chemicals rises significantly. The boost in oil production is planned to meet the rising global oil demand. They are also investing in onshore and offshore locations to explore new reserves in deep waters. This will boost the market for oilfield chemicals as well. Exploration experiments in the Red Sea by Saudi Aramco are some of the recent examples. With the use of oilfield chemicals in drilling and extraction, oil reserves inaccessible before like this, got explored.

Saudi Arabia Oilfield Chemicals Market Opportunity

Expansion of Off-shore Oilfield Operations – A wide range of oilfield chemicals are required for drilling and production, and Saudi Arabia plans new offshore operations for the expansion of their oil production capabilities. By 2028, oil demand is going to shoot up to 105.7 million barrels per day as per IEA. With other Middle Eastern countries, Saudi Arabia would also be the major supplier providing them opportunities to explore their offshore output. Moreover, deeper offshore reserves can be drilled with technological advancements in drilling and subsea systems. This will create the requirement for sophisticated oilfield chemicals.

Saudi Arabia Oilfield Chemicals Market Challenge:

Shift Towards Renewable Energy Sources – The global shift to renewable energy is lowering the need for oil, which affects the market for oilfield chemicals. Saudi Arabia is therefore putting together workable plans to lessen its reliance on oil for its economy, in line with the shifting global trend. Plans for the nation's economic diversification led to a decline in oil production and extraction, which in turn reduced the need for different chemicals needed for drilling, production, and maintenance procedures. Countries like India & China are boosting their renewable energy sources including solar and wind energy ultimately evading the revenue for Saudi Arabian oil companies by decreasing the demand for crude oil.

Moreover, the growth in EV technology and grid storage is drifting investments away from traditional fossil fuel infrastructure in the region. Renewable energy becomes more cost-effective and widely adopted leading to a shift in the competitive landscape. Oilfield chemicals that once enjoyed a stable demand may face competition from bio-based chemicals or other innovative materials used in renewable energy technologies. This shift towards renewable energy sources can adversely affect the growth & expansion of Saudi Arabia Oilfield Chemicals Industry during the forecast period as well.

Saudi Arabia Oilfield Chemicals Market Trend:

Increasing Use of Advanced Oil Recovery Techniques – To maintain production levels, Saudi Arabia is focusing on maximizing oil extraction from mature fields to meet the growing energy demand globally. Enhanced oil recovery techniques are essential in increasing their lifespan. Companies like Saudi Aramco employ various EOR methods, including water flooding and gas injection in the Ghawar oil field which started production in the 1950s. With Saudi Arabia moving towards sustainability development, EOR techniques help in the reduction of the carbon footprint of oil extraction aligning with Saudi Arabia’s Vision 2030 initiative.

The Uthmaniyah CO2 injection project injects CO2 generated from industrial processes into oil reservoirs to enhance recovery while simultaneously capturing carbon emissions. The region has prioritized research into EOR technologies through various initiatives like the King Abdullah Initiative for Oil Research, to meet its growing demand in the industry. Furthermore, the government is actively supporting the adoption of EOR technologies as part of its broader economic vision, making it a significant trend.

Saudi Arabia Oilfield Chemicals Management Market (2025-2030): Segmentation Analysis

The Saudi Arabia Oilfield Chemicals Market study of MarkNtel Advisors evaluates & highlights the major trends and influencing factors in each segment. It includes predictions for the period 2025–2030 at the national level. Based on the analysis, the market has been further classified as:

By Product

• De-emulsifier
• Biocides
• Corrosion & Scale Inhibitors
• Surfactants
• Polymers
• Lubricants
• Hydrogen Sulphide Scavengers
• Fluid Loss Additive

Out of these, the De-emulsifier segment has the lion’s share in the market. Saudi Arabia’s crude oil often contains water during extraction. De-emulsifier resolves this major problem of the region as it has abilities to separate oil and water in the drilling process. The region is the leading oil producer with an output of around 10 million barrels per day which creates a high demand for effective chemical management to handle significant water production alongside oil.

Moreover, it is a critical component in maintaining operational efficiency as it reduces downtime and minimizes the costs associated with the treatment of emulsions. For instance: In oil fields like Khurais and Shaybah, specialized de-emulsifiers are installed to manage high water cuts and improve oil recovery rates. Furthermore, by improving overall extraction efficiency, they also play a vital role in optimizing enhanced oil recovery techniques. This fulfills the country’s demand for maximizing recovery from mature fields. With further technological developments in the future, the market for de-emulsifiers will grow at a rapid rate during the forecast period 2025-30.

By Type

• Special Oilfield Chemicals
• Commodity Oilfield Chemicals

Based on type, special oilfield chemicals lead the Saudi Arabia Oilfield Chemicals Market. This is because they are designed to address specific issues like high water cuts, scaling, and microbial contamination involved in oil extraction and production processes. They are highly used in Saudi Arabia as they provide more valuable solutions as compared to commodity chemicals which are often generic and less effective. Moreover, they help in improving performance and operational efficiency leading to reduced downtime and higher production rate.

In Saudi Arabia, it is used in various oilfields like Ghawar, where specialized corrosion inhibitors protect infrastructure from the damaging effects of corrosive substances in crude oil. Furthermore, extraction difficulty increases with already matured oil fields in the region creating a need for enhanced oil recovery methods requiring the use of specialized chemicals in oil fields like Khurais. With the industry's evolution, the demand for special oilfield chemicals will continue to grow during the forecast period.

Saudi Arabia Oilfield Chemicals Market (2025-30): Regional Projections

Geographically, the Saudi Arabia Oilfield Chemicals Market expands across:

• East
• West
• North
• South
• Central

East region holds the largest share of the Saudi Arabia Oilfield Chemicals Market. This growth is supported by one of the major factors, i.e., some of the largest oilfields in the world are present in the region. Oilfields like Ghawar & Safaniya are present there which significantly require a continuous supply of oilfield chemicals such as production chemicals, de-emulsifiers, and drilling fluids.

Moreover, the region’s proximity to key ports facilitates the import and export of oilfield chemicals further enhances the supply chain efficiency, and provides growth opportunities for the market players present there. Based on the market analysis it can be concluded that the region is positioned for exceptional growth during the forecast period as well.

Saudi Arabia Oilfield Chemicals Industry Recent Developments:

• February 2024: Baker Hughes Saudi Arabia Co and Dussur inaugurated the Petrolite Chemicals Facility in Jubail’s Plaschem Park for the production of industrial, power generation, and oilfield chemicals.
• March 2022: Halliburton Co. Saudi Arabia opened an oilfield chemical manufacturing plant in Saudi Arabia.

Gain a Competitive Edge with Our Saudi Arabia Oilfield Chemicals Market Report

1. Saudi Arabia Oilfield Chemicals Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size, growth rate, competitive landscape, and key players. This comprehensive analysis helps business organizations to gain a holistic understanding of market dynamics & make informed decisions.
2. This report also highlights current market trends & future projections, allowing business organizations to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
3. Saudi Arabia Oilfield Chemicals Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, business organizations can develop strategies to minimize risks & optimize their operations.

*Reports Delivery Format  - Market research studies from MarkNtel Advisors are offered in PDF, Excel and PowerPoint formats. Within 24 hours of the payment being successfully received, the report will be sent to your email address.