Artificial Lift Market

Global Artificial lift Market Size (2024 to 2029)

The global artificial lift market size is expected to grow at a CAGR of 10.2 percent to USD 15.80 billion by 2029, up from an estimated USD 9.72 billion in 2024 during the forecast period.

The worldwide oil consumption market is increasing substantially in recent decades as a result of potential expansion in the industrial and transportation sectors. To fulfill the increased demand for hydrocarbons, several operators throughout the world are drilling constantly. The reservoir pressure in existing wells, on the other hand, is insufficient to bring fluids to the surface. To bring hydrocarbon to the surface, the majority of wells throughout the world require some assistance.

The artificial lift system is a well-established and well-proven technology for assisting oil wells in increasing reservoir pressure. Artificial lift assistance is required in 85-90 per cent of wells to supplement reservoir pressure. Various types of artificial lifts are used depending on the well's features and technology available, resulting in global market expansion in the coming years.

MARKET DRIVERS

Global population growth and urbanization are driving up oil demand around the world. Increasing advancements in major oil-producing countries, including Saudi Arabia, Kuwait, and Egypt, among others, are boosting the market's expansion.

Electrical submersible pumps are also becoming more popular due to their versatility and availability in all high-production countries. They can handle a wide range of flow rates and extremely high downhole temperatures, making them perfect for oil wells as countries focus on oil reservoirs, propelling artificial lifts market expansion. Furthermore, during the projection period, onshore exploration and production are assisting global oil output and boosting the artificial lift industry's expansion.

MARKET RESTRAINTS

The Artificial Lift market growth is being hampered by factors such as exorbitant capital and maintenance costs, as well as a shortage of experienced labour to operate the equipment.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Artificial lift Market Analysis By Type

Electric submersible pumps are regarded as the most versatile and commonly utilised pump by operators all over the world. It can handle a huge volume, a wide range of flow rates, and operate in challenging conditions. In an environmentally sensitive area, ESP is the only option for artificial lift deployment. The electric submersible pump enjoys a fictitious market share of above 40%.

Rod lift is a form of artificial lift system in which a surface power source drives a downhole pump assembly. The unit is made up of a variety of components that are used both above and below ground. Depending on the size of the equipment, this hoisting mechanism can pump up to 1,000 BPD. Rod lifts provide a high salvage value for downhole equipment and can handle gas and corrosion well during the artificial lift operation. Such advantages are likely to enhance the demand for artificial lift during the trial phase. As a result, the increased necessity to minimise gas and corrosion management during artificial lift operations is driving the rod lift industry.

Global Artificial lift Market Analysis By Mechanism

Onshore exploration and production dominate global oil output, although the recent movement of North America and Europe to offshore exploration has raised offshore exploration's prospective growth. Onshore exploration activities are a major contributor to the expansion of the artificial lift in North America, Europe, MEA, and APAC.

During the projected period, the offshore segment is expected to increase at the fastest rate. Because offshore has vast unexplored reserves, corporations have started seeking offshore regions for oil and gas development. As a result, the offshore market requires more money than the onshore market. The Gulf of Mexico and the North Sea have the most developing shallow fields, which means artificial lift systems are in significant demand.

REGIONAL ANALYSIS

Currently, the US market accounts for more than 40% of all artificial lifts deployed around the world. Artificial lift system market share in North America has increased as a result of technological advancements and increased exploration activities. Oil output increased in 2018 as a result of new projects and expansion in the Gulf of Mexico basin. Texas, the Permian Basin, Oklahoma, Alaska, and North Dakota are significant counties where production is at an all-time high, indicating that the market in North America is expected to rise.

Exploration efforts in the North Sea region, which are led by Norway, Germany, the United Kingdom, and others, are expected to fuel major expansion in Europe. When it comes to adopting and creating novel technologies, European countries are ahead of the pack, which drives the ESP business. As a result, Sucker Rod Pump will play a vital part in Europe's artificial market. In APAC, Chinese oil exploration is the most common, followed by Indonesia and the Philippines.

The artificial lift system market in Latin America is estimated to grow at a CAGR of more than 2.78 per cent between 2021 and 2026. Brazil is expected to be one of the leading markets for artificial lift systems. The country is predicted to produce 5 million barrels of oil per day by 2026, making it one of the world's top non-OPEC producers of petroleum.

KEY PLAYERS IN THE GLOBAL ARTIFICIAL LIFT MARKET

The global artificial market is concentrated with well established players. Key players in the market include Halliburton Co (US), Weatherford International Ltd (Switzerland), Baker Hughes Co (US), Dover Corp (US), United Drilling Tools Ltd (India), Borets International (Russia), National Oilwell Varco (US), Oilserv (UAE), Novomet (Russia), Apergy (US) and JJ Tech (US)

RECENT HAPPENINGS IN THE MARKET​​​​

• Schlumberger and AVEVA have formed cooperation to help operators improve digital solutions for oil and gas production by integrating edge, AI, and cloud digital technologies. By streamlining how they acquire, process, and act on field data, the companies will work together to help energy operators enhance well site efficiency and performance. The collaboration's initial focus is on linking edge systems to applications in the DELFI cognitive E&P environment so that equipment health and performance may be better controlled. (Source: 

• Turkish Petroleum has awarded Schlumberger a significant contract for engineering, procurement, construction, and installation (EPCI) of end-to-end production solutions for Turkey's largest gas reserve, the Sakarya gas field. Well completions, subsea production systems (SPS), subsea umbilicals, risers, flowlines (SURF), and an early production facility, as well as subsurface solutions to onshore production, will be covered under the integrated project (EPF).

• Halliburton's iStar platform for drilling measurement is on the list of oilfield technology to compare with iPhone capabilities. The organization has updated the downhole equipment required to provide a wide range of important downhole data collecting services, taking advantage of advances in electronic technology. 

• Vine Energy, a natural gas producer, has agreed to use Baker Hughes' ProductionLink Edge artificial lift technology in 100 natural gas wells in Louisiana's Haynesville Shale. The automation system uses advanced analytics and "smart" edge technologies to improve output and reduce associated methane emissions from oil and gas wells. 

DETAILED SEGMENTATION OF THE GLOBAL ARTIFICAL LIFT MARKET INCLUDE IN THIS REPORT

This research report on the global artifical lift market has been segmented and sub-segmented based on type, mechanism and region

By Type

• Electrical Submersible Pumps
• Rod Lift
• Progressive Crafty Pumps
• Gas Lift
• Others

By Mechanism

• Onshore
• Offshore

By Region

• North America

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