USD 12.93 Billion
Directional Drilling Market Size, Share, and Growth Analysis
Directional Drilling Market By Well Type (Horizontal, Extended reach), By Tool Type (Logging-while drilling, Measurements-while drilling), By Technology (Rotary Steerable Systems, Downhole Motors), By Application (Onshore, Offshore), By Region - Industry Forecast 2025-2032
Report ID:
SQMIG15F2167 |
Region:
Global |
Published Date: November, 2024
Pages:
184
|Tables:
90
|Figures:
74
Format -
Directional Drilling Market Insights
Directional Drilling Market size was valued at USD 12.93 Billion in 2023 and is poised to grow from USD 14.17 Billion in 2024 to USD 29.52 Billion by 2032, growing at a CAGR of 9.60% during the forecast period (2025-2032).
The increasing use of various tools and equipment in the oil and gas industry across the globe, coupled with the discovery of new potential reservoirs, is expected to boost the directional drilling market demand to meet the tremendous growth in demand is being addressed, companies are focusing on investing in research and manufacturing activities.
Directional drilling services include techniques to drill wells more efficiently and increase production by allowing the wells to be drilled sideways. The technology offers many advantages, such as flexibility, minimum site restoration, minimum soil disturbance, low risk of geological distortion and fast installation with low cost, which means quality for the market. Increased E&P activities in various areas with advanced technological changes drilling more wells from a single location to provide more resources with less downtime are planned to stimulate the industry and create the need for directional well drilling.
Market snapshot - 2025-2032
Global Market Size
Largest Segment
Rotary Steerable System
Fastest Growth
Growth Rate
9.60% CAGR
Global Directional Drilling Market ($ Bn)
Country Share for North America Region (%)
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Directional Drilling Market Segments Analysis
Directional Drilling Market is segmented by Well Type, Tool Type, Technology, Application, and region. Based on Well Type, the market is segmented into Horizontal, Extended reach, and Multilateral. Based on Tool Type, the market is segmented into Logging-while drilling (LWD), and Measurements-while drilling (MWD). Based on Technology, the market is segmented into Rotary Steerable Systems, and Downhole Motors. Based on Application, the market is segmented into Onshore, and Offshore. Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa.
Directional Drilling Market Analysis by Type
The conventional type of segment is expected to hold the largest directional drilling market share over the forecast period. Traditional drilling services use mud motors, special BHA parts, whipstocks, specific drill bits, and a variety of other tools to turn well bores. It has low operating costs, drills very low wells in complex structures, and simple materials prevent traditional type block growth at forecast times.
The rotary steerable system (RSS) type portion of guided drilling services is used for both onshore and offshore wells. It can drill long horizontal wells even in dense structures. It is believed that easily accessible, low cost of living, low cost of living, great wealth availability and other diverse factors are making the last round, leading to manufacturing processes in the future. The previous inference is due to the cause the central coastal zone is expected to grow significantly.
Directional Drilling Market Analysis by Location
The onshore section is expected to have a huge increase inside the directional drilling industry because of smooth drilling techniques, low drilling price, low working price, huge useful resource availability, and numerous other elements. In recent years, bulk sized conventional and unconventional reservoirs have been observed in the onshore vicinity, which in turn propels the call for the marketplace in the imminent years.
The offshore phase is estimated to develop drastically over the forecast period due to increasing investments in drilling extra wells from a single platform to increase the production output.
Global Directional Drilling Market By Type
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Directional Drilling Market Regional Insights
North America is expected to dominate the directional drilling market share, due to presence of various key industry players, long-term expertise in exploring complex formations, availability of large unconventional reserves, and good government policies e.g. In December 2019, the US Energy Information Administration (EIA) reported that total proved oil reserves in the country rose to 43.8 billion barrels in 2018 compared to 39.2 billion barrels in 2017, a year earlier. North America led the directional drilling market and was expected to be the largest market by 2023, driven by increasing demand from the US. and Canada. Technically, it is one of the largest recoverable reserves of shale gas in the United States and the second largest reservoir of heavy oil in the world. Technological advances in hydraulic fracturing and low breakout values have supported oil and gas directional drilling activities in the region.
The Asia-Pacific is also expected to exhibit significant growth due to rapidly growing energy demand, increasing E&P activities, dependence on coal reserves and large number of metals and minerals reserves for example World of BP Statistical Review published in June 2020 according to Energy, total coal imports from China at the end of 2019 reached 79.82 exajoules, up from 76.58 exajoules in 2018 and saw an increase of 4.2% year-on-year.
Asia-Pacific could be the secondary market owing to the advancement in drilling technologies such as deep horizontal wells and completion methods, including multistage hydraulic fracturing. Furthermore, the country oil companies (NOCs) to increase domestic production offshore e -Invest &P activities, which drives market growth. In addition, many Asia Pacific countries are increasing their capital expenditures (CAPEX) to meet future energy demand. Europe is expected to grow due to continued investment in offshore areas. Major countries in Europe are investing heavily in exploring new offshore hydrocarbon reserves to boost domestic production. Norway and the United Kingdom have a large market share due to increasing exploration on the Norwegian mainland.
Global Directional Drilling Market By Region
- Largest
- Fastest
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Directional Drilling Market Dynamics
Directional Drilling Market Drivers
Increasing Investment in Untapped Oil and Gas to Accelerate Market Growth
- The expansion of the oil and gas industry has created a worldwide demand for energy. Over the years, oil & gas has been widely used in power generation, manufacturing, transportation, and other end-use industries. However, the huge demand for unconventional fuels such as shale gas, tight gas, coal bed methane due to increasing urbanization, globalization and high economic growth is estimated to lead to negative market growth that many countries are increasing their capital expenditures (CAPEX) to secure the inflow of energy. Hydrocarbons, offshore oil and gas have proven to be the most efficient and reliable source of energy attracting many investors and oil and gas companies so growing interest in oil is expected and scrap gas will drive the directional drilling market size.
Increased Energy Requirements
- The United Nations predicts that the world population will increase from 6.7 billion in 2011 to 8.7 billion in 2035. During that time, energy demand should increase dramatically. Population growth and high living standards for many people in developing countries will lead to a significant increase in energy demand. More than 70% of the increase in energy demand comes from developing countries led by China and India. United Nations Organization (UNO) estimates show that urbanization continues, from 52% in 2011 to 62% in 2035 to 70% of the world by 2050. Moreover, by 2040, the global urban population has nearly doubled.
Directional Drilling Market Restraints
Volatility in Oil Prices and Rise in New Energy Generation Technologies
- Oil prices depend on oil demand and supply and fluctuate frequently. Higher oil prices stifle the inflow of jobs and investment, and the mining industry. The significant increase in alternative energy technologies such as solar, wind and hydro will reduce their reliance on oil & gas, which could affect oil refinery operations. Thus, volatility in oil prices and development of new energy generation technologies restrain the market growth during the forecast period.
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Directional Drilling Market Competitive Landscape
The competitive environment of the global Directional Drilling market is dynamic and characterized by the presence of a mix of well-established brands, emerging players, and niche producers. The global market competitive landscape provides detailed information from competitors. Detailed information includes company overview, company financials, earnings, market potential, investment in research and development, new market strategy, global presence, manufacturing regions and locations of production, manufacturing capacity, company strengths and weaknesses, product launches, product expansion and expansion, application authority.
Top Players in Directional Drilling Market
- The Charles Machines Works, Inc. (Ditch Witch)
- Barbco, Inc.
- The Toro Company
- Vermeer Corporation
- VMT Gmbh Gesellschaft Fur Vermessungstechnik
- Ellingson Companies
- Laney Directional Drilling Co.
- Schlumberger Ltd
- Weatherford International PLC
- Halliburton Company
- Baker Hughes Company
- China Oilfield Services Limited
- PHX Energy Services Corp.
Directional Drilling Market Recent Developments
- In May 2023, Envirobor Directional Drilling, a drilling company, announced the acquisition of Full Bore Contracting Limited to expand its footprint in northeastern British Columbia, Canada.
- In March 2023, Elvan Equipment Solutions, a professional Horizontal Directional Drilling (HDD) manufacturer, announced its expansion into North America by providing and distributing its machinery and equipment in Greater Toronto, Canada.
- In January 2021, Nabors Industries Ltd entered into an agreement with Chesapeake Energy Corporation to designate Nabors as the preferred driller for oil and gas projects in the US. This agreement will allow the company to expand its operations across the country.
Directional Drilling Key Market Trends
- Technological Advancements: Factors such as technological advances enable the deepwater and ultra-deepwater industry, and many new markets, such as Gabon, Senegal, Guyana, Trinidad and Tobago, Egypt, and the Mexican side of the Gulf of Mexico are strongly encouraging development. This directional drilling market trend is expected to create important opportunities for operating countries in the near future.
Directional Drilling Market SkyQuest Analysis
SkyQuest's ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Correlates, and Analyzes the Data collected by means of Primary Exploratory Research backed by robust Secondary Desk research.
The increasing demand for natural gas and electricity generated from mid- and upstream pipelines is likely to fuel the growth of the upstream drilling market during the forecast period Factors an increased horizontal drilling in the utilities, communications, and oil and gas industries. The advantages of its use are high rates, better equipment-care and controlled treatment outcomes. The increasing use of various tools and equipment in the oil and gas industry across the globe, coupled with the discovery of new potential reservoirs, is expected to boost the market demand. To meet the tremendous growth in demand that has been addressed, companies have focused on investing in research and manufacturing activities.
Directional drilling services include techniques for drilling wells more efficiently and maximizing production by drilling the wells sideways. The technology offers many advantages, such as flexibility, minimum site restoration, minimum soil disturbance, low risk of geological distortion and fast installation with low cost, which means quality for the market. Facilitate service market development. Increased E&P activities in various areas with advanced technological changes drilling more wells from a single location to provide more resources with less downtime are planned to stimulate the industry and create the need for directional well drilling is developed.
| Report Metric | Details |
|---|---|
| Market size value in 2023 | USD 12.93 Billion |
| Market size value in 2032 | USD 29.52 Billion |
| Growth Rate | 9.60% |
| Base year | 2024 |
| Forecast period | 2025-2032 |
| Forecast Unit (Value) | USD Billion |
| Segments covered |
|
| Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
| Companies covered |
|
| Customization scope | Free report customization with purchase. Customization includes:-
|
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Table Of Content
Executive Summary
Market overview
- Exhibit: Executive Summary – Chart on Market Overview
- Exhibit: Executive Summary – Data Table on Market Overview
- Exhibit: Executive Summary – Chart on Directional Drilling Market Characteristics
- Exhibit: Executive Summary – Chart on Market by Geography
- Exhibit: Executive Summary – Chart on Market Segmentation
- Exhibit: Executive Summary – Chart on Incremental Growth
- Exhibit: Executive Summary – Data Table on Incremental Growth
- Exhibit: Executive Summary – Chart on Vendor Market Positioning
Parent Market Analysis
Market overview
Market size
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- SWOT Analysis
KEY MARKET INSIGHTS
- Technology Analysis
- (Exhibit: Data Table: Name of technology and details)
- Pricing Analysis
- (Exhibit: Data Table: Name of technology and pricing details)
- Supply Chain Analysis
- (Exhibit: Detailed Supply Chain Presentation)
- Value Chain Analysis
- (Exhibit: Detailed Value Chain Presentation)
- Ecosystem Of the Market
- Exhibit: Parent Market Ecosystem Market Analysis
- Exhibit: Market Characteristics of Parent Market
- IP Analysis
- (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
- Trade Analysis
- (Exhibit: Data Table: Import and Export data details)
- Startup Analysis
- (Exhibit: Data Table: Emerging startups details)
- Raw Material Analysis
- (Exhibit: Data Table: Mapping of key raw materials)
- Innovation Matrix
- (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
- Pipeline product Analysis
- (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
- Macroeconomic Indicators
COVID IMPACT
- Introduction
- Impact On Economy—scenario Assessment
- Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
- Revised Market Size
- Exhibit: Data Table on Directional Drilling Market size and forecast 2021-2027 ($ million)
- Impact Of COVID On Key Segments
- Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
- COVID Strategies By Company
- Exhibit: Analysis on key strategies adopted by companies
MARKET DYNAMICS & OUTLOOK
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- Regulatory Landscape
- Exhibit: Data Table on regulation from different region
- SWOT Analysis
- Porters Analysis
- Competitive rivalry
- Exhibit: Competitive rivalry Impact of key factors, 2021
- Threat of substitute products
- Exhibit: Threat of Substitute Products Impact of key factors, 2021
- Bargaining power of buyers
- Exhibit: buyers bargaining power Impact of key factors, 2021
- Threat of new entrants
- Exhibit: Threat of new entrants Impact of key factors, 2021
- Bargaining power of suppliers
- Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
- Competitive rivalry
- Skyquest special insights on future disruptions
- Political Impact
- Economic impact
- Social Impact
- Technical Impact
- Environmental Impact
- Legal Impact
Market Size by Region
- Chart on Market share by geography 2021-2027 (%)
- Data Table on Market share by geography 2021-2027(%)
- North America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- USA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Canada
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Europe
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Germany
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Spain
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- France
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- UK
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Europe
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Asia Pacific
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- China
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- India
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Japan
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Korea
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Asia Pacific
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Latin America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Brazil
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of South America
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Middle East & Africa (MEA)
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- GCC Countries
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Africa
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of MEA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
KEY COMPANY PROFILES
- Competitive Landscape
- Total number of companies covered
- Exhibit: companies covered in the report, 2021
- Top companies market positioning
- Exhibit: company positioning matrix, 2021
- Top companies market Share
- Exhibit: Pie chart analysis on company market share, 2021(%)
- Total number of companies covered
Methodology
For the Directional Drilling Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Directional Drilling Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Analyst Support
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Directional Drilling Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Directional Drilling Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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