MARKET OVERVIEW- ASIA-PACIFIC PRESSURE PUMPING MARKET
Pressure pumps or booster pumps are designed to help increase the volume and pressure of water flow from various water sources, to a water outlet. It is used in reservoirs with resources like coalbed methane, shale gas, and tight oil and gas, where the conventional drilling procedure is challenging to use, so this type of pumping is crucial in these processes. The pressure pumping technique is used for several purposes, which include cementing well injection, wireline intervention, workover pumping, pressurized fluid pumping, and coiled tubing. The growing exploration activities in the oil, gas, and mining industry and increasing usage of pressure pumps in waste water treatment plants are major factors which are anticipated to drive the growth of the market during the forecast period. Also, several technological developments within the oil and natural gas sectors are anticipated to provide ample opportunities for the market players during the forecast period.
MARKET DRIVERS
The growth of the market is driven by the rise in growing exploration activities in the oil, gas, and mining industries. In 2020, the crude oil production in Southeast Asian countries, such as Thailand, Singapore, Indonesia, Brunei, Malaysia, and Vietnam, was around 92 million tons. Also, many companies are focussing on increasing oil and gas production. For example, in December 2021, Essar Exploration and Production Ltd and the Italy-based energy company, Eni, announced plans to start production from offshore block-114 in 2024-25. The duo has already drilled three wells and expects the development plan to be ready by 2023. Block -114 is the largest hydrocarbon concession in Southeast Asia and is estimated to hold around 2 billion barrels of oil and gas. Thus, growing exploration activities in the oil, gas, and mining industries are the major factors that is anticipated to drive the growth of the market during the forecast period. Furthermore, the rise in the use of modern pumping solutions are anticipated to further drive the market growth over the estimated time period.
MARKET OPPORTUNITIES
Efficient wastewater pump systems can bring down the energy cost of wastewater treatment and also reduce maintenance cost significantly. It is a key factor that is anticipated to have a positive impact on the growth of the market. Pumps are an essential component of wastewater treatment plants as they are needed at many application points such as at the pumping station to collect and deliver wastewater to the plant; the headwork to provide a hydraulic head for the subsequent treatment processes and within the plant to convey inflow and outflows from various unit processes. It is expected to provide ample of new growth opportunities in the market during the forecast period.
MARKET RESTRAINTS
Environmental hazards caused by hydraulic fracturing is expected to restrain the growth of the market over the forecast period. Water contamination due to surface spills of hydraulic fracturing fluids is also a key concern which may have a negative impact on the growth of the market.
MARKET GROWTH CHALLENGES
The COVID-19 pandemic has hampered the growth of the market to a major extent, which has created major challenges for the market’s growth. Also, the high installation costs associated with pressure pumping systems is another factor that is expected to be a major challenge for the market’s growth over the forecast period.
CUMULATIVE GROWTH ANALYSIS
The report provides an in-depth analysis of the Asia-Pacific Pressure Pumping market including, market size, and compound annual growth rate (CAGR) for the forecast period of 2023-2029, considering 2022 as the base year. An increase in exploration of oil, gas and mining activities is anticipated to stimulate the demand for pressure pumping systems and due to this factor, the market is expected to witness growth at a specific CAGR from 2023-2029.
ASIA-PACIFIC PRESSURE PUMPING MARKET SEGMENTAL OVERVIEW
The Asia-Pacific Pressure Pumping market comprises of different market segments like type, well type, applications and country.
ASIA-PACIFIC PRESSURE PUMPING MARKET BY TYPE
By type, the Asia-Pacific Pressure Pumping market includes key segments like
- Hydraulic Fracturing
- Cementing
- Others
The hydraulic fracturing segment is anticipated to lead the market over the forecast period. Hydraulic fracturing has gained a lot of momentum in recent years due to a rapid increase in the use of the technique in combination with horizontal drilling technology to produce oil and gas resources from tight reservoirs. Hydraulic fracturing techniques are also used in a variety of other applications that are unrelated to oil and gas production, including tunnel and dam construction, enhanced geothermal energy, carbon sequestration, groundwater remediation, and others.
The cementing segment is predicted to witness high growth over the forecast period. Rise in demand for concrete pumps due to rapid urbanization and improvements in the lifestyle of consumers, particularly in the development nations are a major factor driving the growth of the segment.
ASIA-PACIFIC PRESSURE PUMPING MARKET BY WELL TYPE
On the basis of type of well, the Asia-Pacific Pressure Pumping market includes segments such as
- Directional
- Horizontal
- Vertical
The directional segment is projected to dominate the market over the estimated time period. Directional flow control allows for direct pump mounting as well as remote mounting of pressure pumps. It helps to provide flexible solutions to control a hydraulic system.
The vertical segment is projected to witness the fastest growth over the forecast period. It is suitable for transferring liquids of low viscosity, non-inflammable liquids and liquids that does not contain solid parties or fibres. It finds usage in high-rise buildings, filtration and transfer at water works, pressure boosting in main pipes etc.
ASIA-PACIFIC PRESSURE PUMPING MARKET BY APPLICATION
The Asia-Pacific Pressure Pumping market finds major applications in
- Oil and Gas
- Mining
- Chemical
- Marine
- Automotive
- Food and Beverage
- Construction
- Agriculture
- Others
The oil and gas application segment is estimated to lead the market during the forecast period. The rise in exploration of oil and gas activities is driving the growth of the segment. For instance, in November 2021, Delta Offshore Energy's upcoming LNG-to-Power project for Bac Lieu Province was planned to be included in the latest plan on Vietnam's seaport system development. The LNG-to-power project is expected to have 3.2 GW of power generating capacity, and it will be operational by 2024-2027.
The mining application segment is expected to witness high growth over the forecast period. An increase in focus on mining exploration is expected to stimulate the demand for pressure pumping systems. For example, the Geological Survey of India (GSI) has taken up 108 projects in NER on different mineral commodities during the last five years and 23 mineral exploration projects on various commodities in NER in the current field season 2022-23. The government is also funding projects through the National Mineral Exploration Trust (NMET). NMET is also providing financial assistance for procurement of machinery/ laboratory equipment/ instruments etc. to State DGMs up to 10% of the total approved exploration projects in year.
ASIA-PACIFIC PRESSURE PUMPING MARKET BY COUNTRY
The Asia-Pacific Pressure Pumping market is studied for the following countries
- China
- Japan
- India
- Rest of Asia-Pacific
China is projected to lead the market during the forecast period. The rise in the number of current projects planned with the practice of enhanced oil recovery is expected to drive the growth of the market in the region. For instance, in May 2021, China National Offshore Oil Corporation (CNOOC) completed the deployment of a 15,000-ton offshore oil platform in the South China Sea. The platform will be used in mining oilfields of Lufeng 14-4 and 14-8, which will be included in the Lufeng oilfield group and offer oil and gas supplies for the Guangdong-Hong Kong-Macao Greater Bay Area.
India is expected to witness high growth over the projected time period. Rising per-capita income, high industrialization, the implementation of key strategic initiatives and collaborations are key factors driving the growth of the market in the country. For instance, India’s state-run Oil & Natural Gas Corp. has finalized a series of international partnerships in an effort to draw the expertise of some global oil majors to expand upstream output. ONGC recently signed an agreement with Chevron New Ventures PTE Limited, a subsidiary of California-based energy major Chevron Corporation, to assess exploration potential in India.
COVID-19 IMPACT ANALYSIS ON ASIA-PACIFIC PRESSURE PUMPING MARKET
Axiom MRC provides a 360-degree analysis of micro and macro-economic factors in the Asia-Pacific Pressure Pumping market. In addition, a complete analysis of changes in Asia-Pacific Pressure Pumping market expenditure, economic and international policies on the supply and demand side is provided in this exclusive report. The report also studies the impact of the pandemic on Asia-Pacific economies, international trade, business investments, GDP, and the marketing strategies of key players present in the market.
The COVID-19 pandemic has severely impacted the growth of the market. The pandemic has affected all industries, including the mining, oil and gas industry. The delays and halts in the upstream projects due to government-imposed lockdowns has slowed the various exploration activities. During the COVID-19 in first quarter of 2020, South-east Asia, oil and gas demand dropped by 520,000 barrels per day (b/d). Also, COVID-19 has caused the delay in the various projects across the region. For instance, Indonesia postponed its six oil and gas bidding rounds, and Petronas delayed its Kelidang cluster in Brunei and Malaysia. This hampered the growth of the market during the pandemic. However, with the lifting of government-imposed lockdowns, the market is expected to witness high demand in the upcoming years.
COMPETITIVE LANDSCAPE ANALYSIS
The competitive landscape analysis of Pressure Pumping market is primarily focused on expanding the growth of Pressure Pumping industry in the Asia-Pacific region with new product innovation, business expansion, increasing presence of a range of manufacturers operating in pressure pumping sector has led to growing demand for the market. Besides, the market offers a range of products in different application to fulfil the required demand of consumers, which further contributes to healthy growth in the market.
The key players studied in market are
- Halliburton
- Baker Hughes
- Patterson-UTI Energy, Inc.
- Trican
- Caterpillar Inc.
- Superior Energy Services, Inc.
- Calfrac Well Services Ltd.
- ProPetro Holding Corp.
- C&J Energy Services, Inc.
- RPC Inc.
- NexTier Oilfield Solutions Inc.
- FTS International
RECENT DEVELOPMENT:
March 2023: Japan’s Ebara Corporation had developed a liquid hydrogen booster pump for hydrogen power generation. The pump will supply hydrogen to hydrogen power generation gas turbines.
August 2021: Pump solutions provider Grundfos India announced the launch of SCALA1, an all-in-one pressure booster with a high-efficiency motor and hydraulics with low noise operation. SCALA1 is an integrated, self-priming pump designed for optimal pressure boosting and it is suitable for domestic water boosting.
