United States Oil and Gas Chemicals Market is Anticipated to Witness High Growth Owing to Increasing Exploration and Production Activities

United States Oil and Gas Chemicals Market is Anticipated to Witness High Growth Owing to Increasing Exploration and Production Activities

The United States oil and gas chemicals market comprises a wide range of chemicals that are used in the exploration and production of oil and natural gas. Some of the major types of oilfield chemicals used in the industry include biocides, corrosion & scale inhibitors, demulsifiers, friction reducers, surfactants, acids, and others. These chemicals are added during drilling and hydraulic fracturing to enhance oil and gas production and improve the lifespan of oil and gas wells. Biocides are widely utilized to eliminate bacteria in wells and fluids, while corrosion and scale inhibitors prevent equipment damage from corrosion. Surfactants and friction reducers are used to alter the properties of fracturing fluids. Growing exploration and production activities in shale reserves and conventional oil and gas fields have been driving the demand for oilfield chemicals in the country.

The Global United States Oil and Gas Chemicals Market Size is estimated to be valued at US$ 5.50 Bn in 2024 and is expected to exhibit a CAGR of 7.1% over the forecast period 2024-2031.

Key Takeaways 

Key players operating in the United States oil and gas chemicals are ExxonMobil, Chevron Corporation, Shell PLC, TotalEnergies SE, Baker Hughes and Among Others. ExxonMobil is one of the leading suppliers of drilling and fracturing fluids in the United States, while Baker Hughes is a prominent provider of completion and stimulation chemicals.

The United States oil and gas chemicals market offers significant opportunities for manufacturers in terms of expanding their product portfolios. Rising complexity of reservoirs and stringent environmental regulations have increased the need for specialty chemicals in the industry. Companies are investing in research & development activities to develop bio-based and eco-friendly chemicals.

North American players are actively looking to expand their geographical footprint globally and capture opportunities in fast-growing markets. Mergers and acquisitions remain an important strategy for large petrochemical companies to strengthen their presence internationally and diversify business operations.

Market Drivers

Growing shale oil and gas production has been a major factor propelling the demand for oilfield chemicals in the United States. According to the U.S. Energy Information Administration, shale gas production increased from 23 Bcf/d in 2010 to over 80 Bcf/d in 2020. This has augmented the consumption of drilling chemicals, stimulation chemicals and production chemicals.

Market Restrain

Volatility in crude oil prices poses significant challenges for investment decisions in the oil and gas industry. Uncertainty around oil prices negatively impacts exploration budgets of E&P companies, restricting the market growth of oilfield chemicals. Fluctuations in feedstock prices also affect the profit margins of chemical manufacturers.

Segment Analysis

The United States oil and gas chemicals market is dominated by basic inorganic and polymers and resins sub-segments. The basic inorganic chemicals sub-segment accounts for more than 30% of revenue share due to high demand from end-use industries like power, manufacturing, automotive etc. They are used in various processes and production of other oilfield and downstream chemicals. The polymers and resins sub-segment follows basic inorganic chemicals with around 25-30% share. They are used in extensive applications such as pipes, tanks, vessels, cementing, drilling fluids etc. owing to properties like high strength, corrosion resistance and durability.

Global Analysis

North America dominates the global oil and gas chemicals market with over 50% share and is expected to maintain its leading position during the forecast period. This is attributed to rise in exploration and production activities coupled with advancement in extraction methods of tight and shale oil & gas reserves in the US. Additionally, growing demand for chemicals from end-use industries is spurring growth of the regional market. Asia Pacific is projected to witness fastest growth due to growing oil & gas industry and rise in demand for petrochemical products in countries like China, India and Indonesia. However, regulations regarding environmental safety and product stewardship are major challenges for manufacturers in the region. The Middle East & Africa is another lucrative market driven by discovery of new reserves and expansion of production capacity in GCC countries.

What Are The Key Data Covered In This United States Oil and Gas Chemicals Market Report?

:- Market CAGR throughout the predicted period

:- Comprehensive information on the aspects that will drive the United States Oil and Gas Chemicals's growth between 2024 and 2031.

:- Accurate calculation of the size of the United States Oil and Gas Chemicals and its contribution to the market, with emphasis on the parent market

:- Realistic forecasts of future trends and changes in consumer behaviour

:- United States Oil and Gas Chemicals Industry Growth in North America, APAC, Europe, South America, the Middle East, and Africa

:- A complete examination of the market's competitive landscape, as well as extensive information on vendors

:- Detailed examination of the factors that will impede the expansion of United States Oil and Gas Chemicals vendors

FAQ’s

Q.1 What are the main factors influencing the United States Oil and Gas Chemicals?

Q.2 Which companies are the major sources in this industry?

Q.3 What are the market’s opportunities, risks, and general structure?

Q.4 Which of the top United States Oil and Gas Chemicals companies compare in terms of sales, revenue, and prices?

Q.5 Which businesses serve as the United States Oil and Gas Chemicals’s distributors, traders, and dealers?

Q.6 How are market types and applications and deals, revenue, and value explored?

Q.7 What does a business area’s assessment of agreements, income, and value implicate?

Get more insights on this topic: https://www.marketwebjournal.com/united-states-oil-and-gas-chemicals-market-trend-size-and-demand-2/