Hydraulic Workover Unit Market Trends

Hydraulic Workover Unit Market Synopsis

The Hydraulic Workover Unit Market Size was valued at USD 6512 million in 2022. The Hydraulic Workover Unit Market industry is projected to reach USD 12987 Million by 2032, exhibiting a compound annual growth rate (CAGR) of 8.0% during the forecast period (2023 - 2032).

Increasing demand for hydraulic workover units for offshore oil & gas operations is expected to boost the growth of the global hydraulic workover unit market during the forecast period.

Shale natural gas resources are a part of shale formations. They contain significant accumulations of natural gas and oil. According to the EIA (Energy Information Administration) predictions, natural gas production will reach 554 BcF/d by 2040. The largest component of the market growth is natural gas production from shale resources. It will grow to 168 BcF/d by 2040. Participating regional countries like the US, Canada, China, and Argentina have commercial shale gas production. Moreover, other countries such as Mexico and Algeria will encourage the development schedules of shale resources with the help of technological funding for improvements.

Hydrocarbon’s mature fields are responsible for its past peak production. Mature oilfields have more than 70% of the world’s oil and gas production. The constant recovery of mature oil fields is increasing. 80% of these estimated reserves are found in countries like the Middle East, North America, Asia Pacific, and Latin America. Also, there has been an easy recovery from mature fields that involves extending the life of the well and improving production. For the same, various methods such as artificial lifts, intervention, and snubbing are used. Mature oil fields are a part of conventional, unconventional, or deepwater reservoirs. It depends on its permeability and the reservoir’s flow regime. Major oil & gas companies are shifting their attention toward technological advancements to cater to the decline in reserves with the help of inventing tools and techniques.

Hydraulic Workover Unit Market Prominent Players

The Prominent Players operating in the Global Hydraulic Workover Unit Market are Halliburton (US), National Oilwell Varco (US), Archer (Norway), Cudd Energy Services (US), Precision Drilling Corporation (Canada), High Arctic Energy Services Inc. (Canada), Basic Energy Services (US), Superior Energy Services (US), Velesto Energy (Malaysia), Canadian Energy Equipment Manufacturing FZE (UAE), PT Elnusa Tbk (Indonesia), Uzma Berhad (Malaysia), and ZYT Petroleum Equipment Co., Ltd (China).

Recent Developments in Hydraulic Workover Unit Market

• In December 2018, one of the market companies - Elnusa entered into a partnership with Schlumberger for a period of 5 years. Under this agreement, the focus lies on Master Cooperation Agreement (MCA) and Wireline Master Service Agreement (Wireline MSA).


• In March 2018, Boots & Coots, which is a subsidiary of Halliburton, announced that it entered into a contractual arrangement with Capstone Blowout Recovery (Calgary, Canada) to provide first responder and well control services to Boots & Coots customers throughout Canada.

Global Hydraulic Workover Unit Market Segmentation:

Global Hydraulic Workover Unit Market is segmented based on Capacity, Service, Installation, Application, and Region. By capacity, the global market has been segmented into up to 50 tonnes, 50 to 150 tonnes, and above 150 tonnes. By service, the global market has been segmented into workover and snubbing. By installation, the global market has been segmented into skid mount and trail mount. By application, the global market has been segmented into onshore and offshore.

Hydraulic Workover Unit Market Regional Analysis

Geographically, the hydraulic workover unit market has been segmented into five major regions: North America, Europe, Asia-Pacific, the Middle East & Africa, and South America. The hydraulic workover unit market in North America is estimated to account for the highest share, where per capita energy consumption, exploration and production of oil & gas, and advancements in upstream operations drive the growth of the regional market. According to the US Energy Information Administration (EIA), in 2018, approximately 6.44 million BPD of crude oil was produced from tight oil resources in the US. The increase in the extraction and production of oil and gas boosts the demand for hydraulic workover units for performing routine well maintenance for land, inland waters, and offshore installations. These developments lead to an increase in the demand for a cost-efficient method to repair, resulting in the installation of hydraulic workover units. Such factors are expected to drive the growth of the hydraulic workover unit market in North America.

A hydraulic workover unit is an ideal well intervention solution for well maintenance, well interventions, and re-entry operations. The hydraulic workover unit utilizes hydraulic cylinders to lift the tubular in or out of the well. The use of hydraulic cylinders allows complete control over tubular movements and eliminates the need for a large mast construction, which is present on conventional drilling rigs.

The report for the global hydraulic workover unit market of Market Research Future research covers extensive primary research. This is accompanied by a detailed analysis of qualitative and quantitative aspects by various industry experts and key opinion leaders to gain deeper insights into the market and industry performance. The report gives a clear picture of the current market scenario, which includes the historic and forecasted market size in terms of value and volume, technological advancement, macroeconomic, and governing factors of the market. The report provides comprehensive information about the strategies of the top companies in the industry, along with a broad study of the different market segments and regions.

The factors driving the demand for hydraulic workover units are the technological advancements in oil & gas well production and the increasing offshore production after the decline in oil prices. Technological developments in oil & gas exploration methods, including seismographic and gravity surveys, have led to the growth of drilling activities in the past few years, as innovative technologies have enabled exploration and production companies to access numerous unconventional reserves. For instance, according to statistical data from the World Oil Report 2018, globally, the number of wells drilled in 2017 was 41,560, which grew from 37,454 in 2016. This growth in the number of wells drilled will result in increased demand for hydraulic workover units, which are used to carry out repairs in new and old oil wells.

Furthermore, the demand for hydraulic workover units in the offshore oil & gas industry is expected to grow steadily during the forecast period. The rising electricity demand, the focus on offshore exploration, and the production (E&P) of oil & gas are factors that fuel the use of hydraulic workover units for carrying out the repairs of offshore wells. Many oil and gas exploration companies are focusing on drilling and oil & gas production. The Oil and Natural Gas Corporation (India) approved the phase-three development of Mumbai High Field in 2014 to increase the production of natural gas to 5.253 BCM by 2030 to boost the domestic offshore production of oil & gas in the country. Hence, the increasing demand for hydraulic workover units for offshore oil & gas operations is expected to boost the growth of the global hydraulic workover unit market during the forecast period.