Enhanced Oil Recovery (EOR) is the technique used to increase the amount of crude oil that can be extracted from the reservoir. In this process, the oil recovery is increased by injecting substances into the oil well to increase pressure and reduce the viscosity of the crude oil. In a conventional process, the recovery from an oil well is approximately 25% of the oil reserve capacity, whereas, with EOR techniques, up to 70% of the oil can be extracted from the reservoir. In heavy oil reservoirs where crude extraction from primary recovery is difficult, EOR techniques such as thermal injection are widely used to enhance oil recovery. However, this technique is not effective when the reservoirs are deep or too thin. Moreover, the thermal injection technique requires high capital investment, which may be a feasible solution in the case of smaller oil fields. Similarly, chemical injection techniques are most effective at increasing the yield in wet oil reservoirs. The increasing use of gas injection techniques as a tertiary recovery method, especially CO2 injection techniques, is expected to intensify the growth of the enhanced oil recovery market until 2023.
The global enhanced oil recovery market is gaining traction owing to declining oil prices over the past two years, which have adversely affected the profit margins of oil producers. Moreover, an increasing number of mature reserves coupled with increasing production of shale gas Thus, oil producers are concentrating on enhancing oil production from existing wells rather than investing in new wells. Such factors are expected to drive the growth of the global enhanced oil recovery market. Besides this, the EOR gas injection technique provides an added advantage for the commercial-scale use of carbon dioxide (CO2) generated by various industries and power plants, coupled with various government initiatives for the disposal of greenhouse gases, which is expected to drive the demand for the enhanced oil recovery market over the forecast period of 2016–2023.
The global enhanced oil recovery market has been estimated to be valued at US$ 45.8 billion by the end of 2016 and is expected to attain revenues of US$ 159.5 billion by 2023, expanding at a CAGR of 19.5% during the forecast period 2016–2023.
Purpose of the Report
The purpose of this strategic research study titled "Global Enhanced Oil Recovery Market: Growth, Future Prospects, Competitive Analysis, and Forecast, 2016–2023" is to provide company executives, industry investors, and industry participants with in-depth insights to enable them to make informed strategic decisions regarding the opportunities in the global enhanced oil recovery market.
Target Audience
Industry Investors
Research Professionals
Emerging Companies
Raw Material Suppliers and Buyers
Product Suppliers and Buyers
Research Institutes
Overall, the research study provides a holistic view of the global enhanced oil recovery market's growth, offering market size and estimates for the period from 2013 to 2023, keeping in mind the above-mentioned factors.
On the basis of Technology, the enhanced oil recovery market is categorized into the following types:
Thermal injection
Gas injection
Chemical injection
Enhanced oil recovery (EOR) is widely used to increase the recovery rate in mature oil fields. Crude oil found on the earth's surface is of various qualities depending upon the presence of sulfur content, which makes the oil highly viscous. Oil producers use various oil recovery techniques to increase the recovery of oil from their reserves. The increasing number of mature oilfields, coupled with the growing production of non-conventional shale gas, fuels the demand for enhanced oil recovery techniques. Moreover, the slowdown in the oil and gas industry is influencing oil producers to concentrate on enhancing the oil recovery from the existing oilfields rather than investing in new oilfields.
On the basis of Technology, the enhanced oil recovery market can be segmented as a thermal injection, gas injection, and chemical injection. The thermal injection is the most common enhanced oil recovery technique used to reduce the viscosity of the highly viscous crude under the earth's surface. In this process, steam and hot water are injected at the earth's surface to increase the temperature of the high-viscosity crude oil, which in turn reduces the viscosity of the oil and facilitates its smooth recovery. Over the forecast period, the segment is expected to remain the most dominant among the technology segments.
The gas injection method uses carbon dioxide (CO2) for the recovery of crude oil and is expected to be the second largest segment over the forecast period (2016–2023) owing to more efficient oil recovery coupled with various government initiatives regarding the disposal of greenhouse gases such as carbon dioxide (CO2) generated by various industries and power plants.
The chemical injection method uses polymers, surfactants, alkalis, and microbes for crude oil recovery and can be used for both sandstone and carbonate formations. An increasing number of matured reserves is expected to fuel the demand for enhanced oil recovery techniques over the forecast period (2016–2023).
On the basis of geography, the global enhanced oil recovery market is segmented into the following categories:
North America
U.S.
Canada
Latin America
Brazil
Mexico
rest of Latin America
Europe
Germany
France
U.K.
Rest of Europe
Asia Pacific
China
India
Japan
Rest of Asia Pacific
Middle East and Africa (MEA)
GCC
rest of MEA
The oil and gas industry has witnessed a slowdown in the recent past due to supply exceeding demand, which resulted in a decline in oil prices, which in turn adversely affected the profit margins of oil producers. Growing oil demand and the increasing number of mature reservoirs have influenced the oil producer to adopt technologies such as enhanced oil recovery. The increasing adoption of enhanced oil recovery techniques is expected to witness robust growth until 2023. The global enhanced oil recovery market is segmented on the basis of geography. North America contributed the highest revenue share in the global enhanced oil recovery market, with a contAribution that is estimated to be more than 25% by the end of 2016. Following it, MEA stood in second place in the same year. An increasing number of matured reserves and rising government interest in promoting the use of gas injection technology, especially carbon dioxide (CO2) due to water scarcity in the region, are projected to intensify the significant growth of the region over the forecast period. Europe is expected to be the fastest-growing segment, as major economies in the region are looking to obtain sufficiency by increasing oil production using technologies such as enhanced oil recovery. Such factors are expected to spur the growth of the enhanced oil recovery market over the forecast period (2016–2023).
Frequently Asked Questions:
The market for Enhanced Oil Recovery Market is expected to reach XX Mn in 2023.
The Enhanced Oil Recovery Market is expected to see significant CAGR growth over the coming years,at 70%.
The report is forecasted from 2016-2023.
The base year of this report is 2015.
Exxon Mobil Corporation,Chevron Corporation,Royal Dutch Shell Plc, Cenovus Energy Inc.,ConocoPhillips Company are some of the major players in the global market.
