Robotic Drilling Market

Robotic Drilling Market Size (2024 to 2029)

The Global Robotic Drilling Market was valued at USD 778 million in 2023 and is anticipated to reach USD 1226 million by 2029 from USD 839 million in 2024 witnessing a CAGR of 7.88% during the forecast period 2024-2029.

MARKET SCENARIO

Increased drilling activities due to the development of unconventional products, Hydrocarbon resources, and the adoption of automation and robotics in oil and gas drilling, resulting in more efficient drilling and greater safety in platforms-forms, are the main factors of market expansion. Today, the robotic drilling market is highly focused on the plug-and-play rig floor system. The plug-and-play system can work automatically just by plugging it into power supplies and communication cables and can be remotely controlled off-site in an offshore office, on land, or on a surface ship. Robotic drilling is an automation system made for drilling works in the oil and gas industry. Robotic drilling offers advantages for the oil and gas industry, such as reduced drilling times, safer operations, multi-sensor measurements, mass production, high drilling capacity, and greater predictability than human rigs. Robotic drilling companies have experience in building robotic hardware and software to program and control robots on oil and gas rigs.

MARKET DRIVERS

Major market players invest heavily in the research and development of electric robots and electric boobies for the oil and gas industry capable of lifting heavy weights and performing human tasks without compromising quality.

Electric robots use artificial intelligence that can fix the weight of objects and adjust the speed of acceleration and movements based on the size and weight of the materials being lifted. Robotic drilling provides incredible precision, improved productivity, and greater flexibility, facilitating the oil extraction process, and leading to increased calls for robotic drilling systems, which in turn is predicted to drive expansion in the market. robotic drilling world during the foreseen period. Reducing cycle times, improving quality, making better use of floor space, and reducing waste are some of the additional benefits of robotic drilling, which are predicted to drive worldwide market expansion over the course of the estimated period.

MARKET RESTRAINTS

The main factors holding back the market's expansion are the drilling control systems employed in robotic drilling's lack of interoperability and the cybersecurity problems of the automated systems.

Current developments in robotic drilling include the hydraulic arm that removes the drill rod from the notch in the centre of the hole, thereby reducing human involvement and saving time. Another trend observed in the robotic drilling markets is the design of multi-stacking robots and pipe-handling robots. Multi-stack robots reduce human involvement and improve efficiency. Pipe handling robots can lift a pipe from a horizontal position, bring it to a vertical position, build and move shelves, manipulate various sizes, and change all tools to operate various functions within the limits established by the existing drilling structure.

MARKET OPPORTUNITIES

The worldwide robotic drilling market is predicted to register significant expansion over the foreseen period, due to the escalating adoption of automated systems in the oil and gas industries, coupled with a focus on less human intervention during the drilling process. The escalating development of unconventional hydrocarbon resources, coupled with increased consumption of oil and natural gas, is also predicted to drive expansion in the worldwide robotic drilling market. In addition, robotic drilling is gaining popularity as oil and gas drilling becomes more efficient and safe using robots, even in extreme environmental conditions. The advantages of robotic drilling over traditional drilling include higher efficiency, better health and safety (HSE) statistics, low operating costs, etc. All of these factors are predicted to drive the expansion of the worldwide robotic drilling market during the foreseen period. The rapid return on investment overcomes the challenges of the high initial cost and is an expansion driver of the worldwide robotic drilling market during the foreseen period. Furthermore, the escalating investment in renewable energy has a positive impact on the worldwide robotic drilling market in the oil and gas industry. Investments in renewable energy are growing rapidly due to the depletion of fossil fuel reserves and escalating attention to the environment. Robotic drilling performs drilling operations to obtain renewable resources, which can be converted into renewable energy, thus escalating its call and stimulating its market.

CHALLENGES

The high initial cost associated with adopting robots in the oil extraction process can affect worldwide market expansion to some extent during the foreseen period.

Impact of COVID-19 on the Robotic Drilling Market

India's oil and gas (O&G) industry is remarkable in the worldwide context: it contributes 5.2% of worldwide oil calls, ranks among the top three markets for expansion in the call, and is fourth in the world in refinery capacity (~ 249 MTPA). India is also heavily dependent on imports, with oil imports at 84% and gas at 53% of their respective annual calls. By the way, O&G imports accounted for around 25% of India's import bill in the fiscal year 2019. Hence, the impact of COVID-19, either due to destruction, widespread call, or the spiral of declining oil prices is a major concern for all participants in the Indian O&G industry. The Indian O&G business is usually competent in disaster response and its effectiveness has been explained in a range of disaster scenarios in the past years. With COVID-19, the industry has worked very well till now, as proven by near-continuous operations and the presence of various fuels, almost throughout the nation. Nevertheless, most O&G CXOs believe that the sector's recovery is probable to be longer than a predicted time period.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Robotic Drilling Market Analysis Application

Based on the application, the onshore segment had the largest share of the worldwide oil and gas industry robotic drilling market in 2023. The market share of this segment will increase and continue to dominate the market for the past five years.

REGIONAL ANALYSIS

North America is predicted to dominate the worldwide market during the foreseen period due to increased shale gas production and higher standards of safety and efficiency provided by drilling contractors. North America is also predicted to be the fastest-growing market, followed by Asia-Pacific. The worldwide call for robotic drilling is predicted to grow at a sustained rate due to increased drilling activity for unconventional hydrocarbon resources and the adoption of automation and robotics in oil and gas drilling. The Asia-Pacific region market is predicted to expand rapidly in the near future due to the high call for crude oil in India.

The North American market is currently predicted to dominate the worldwide robotic drilling market during the foreseen period, due to increased oil and natural gas extraction activities in the region, along with faster adoption of advanced technologies in the region. The United States market in the North American region is focused on the development of shale gas resources to increase oil and gas production, which is predicted to drive the call for robotic drilling, leading to regional market expansion during the foreseen period. Asia-Pacific is predicted to record the fastest expansion rate during the foreseen period, due to the growing call for crude oil from emerging economies.

KEY PLAYERS IN THE GLOBAL ROBOTIC DRILLING MARKET

The global robotic drilling market is concentrated with well-established players. Key players include Weatherford International, Nabors—Rds, Ensign Energy Services, Huisman, Drillmec, Precision Drilling, Sekal, Abraj Energy, Drillform Technical, Automated Rig Technologies, and Rigarm. 

RECENT HAPPENINGS IN THE MARKET

• Hilti in North America recently launched an aerial platform robot for M&E, plumbing, and retrofit work. The robot is called Jaibot, It is cordless can run for up to eight hours between charges, and has a built-in dust collection system. Now the maximum height it can reach is 5 meters.

DETAILED SEGMENTATION OF THE GLOBAL ROBOTIC DRILLING MARKET INCLUDED IN THIS REPORT

This research report on the global robotic drilling market has been segmented and sub-segmented based on application and region.

By Application

• Onshore
• Offshore

By Region

• North America 
• Europe 
• Asia Pacific
• Latin America 
• Middle East & Africa