A Hydraulic Workover Unit Market Forecasts to 2028 – Global Analysis By Installation (Skid-Mounted and Trailer-Mounted), Service (Workover and Snubbing), Capacity (Up to 50 tonnes, 50 to 150 tonnes and Above 150 Tonnes)

Hydraulic Workover Unit Market Forecasts to 2028 – Global Analysis By Installation (Skid-Mounted and Trailer-Mounted), Service (Workover and Snubbing), Capacity (Up to 50 tonnes, 50 to 150 tonnes and Above 150 Tonnes), Application (Onshore and Offshore) and By Geography

According tStratistics MRC, the Global Hydraulic Workover Unit Market is accounted for $9.52 billion in 2022 and is expected treach $15.46 billion by 2028 growing at a CAGR of 8.4% during the forecast period. Moving pulling tools called hydraulic workover units are economical and provide both onshore and offshore projects with a number of benefits. For drilling, maintaining, and repairing wells along the shore, the hydraulic workover unit is a flexible, cost-effective, and safe tool. When performing well intervention operations, the equipment increases lifting capacity in ways that a wireline or coiled tubing unit cannot. The main factors driving the expansion of the hydraulic workover unit market are the rising oil and gas production coupled with the falling price of oil and the expanding development of natural gas resources.

According tthe United States Energy Information Administration, shale gas production in the USA is expected tincrease from 27.90 trillion cubic feet in 2021 t32.50 trillion cubic feet by 2025. Therefore, the increasing shale gas production drives the growth of the hydraulic workover unit market.

Market Dynamics:

Driver:

Rising energy requirement

The demand for energy from the various end-user sectors has increased due tthe population explosion and urbanization. Since hydrocarbons still make up the majority of power generation, renewable energy is still in the early stages of adoption. The increased drilling and upkeep of wells is brought on by the inadequate development of alternative energy sources and the rising global demand for oil and gas. As the capacity for producing crude oil and shale gas rises and the number of brownfields rises, the demand for well workover and intervention is anticipated trise, supporting market expansion.

Restraint:

Shortage of skilled workforce & decline in oil prices

Some of the factors anticipated trestrain the growth of the hydraulic workover unit market include a lack of skilled labour, issues with the use of hydraulic workover units, including a lengthy rig-up process and carrying difficulties due ttheir heavyweights. Additionally, during the anticipated timeframe, the decline in oil prices is likely tnegatively impede market growth.

Opportunity:

Growing Demand for Efficient Technology

Due tthe growing number of mature oil fields, there is a significant increase in demand for creating a reliable, adaptable, and affordable tool for workover and well intervention operations. This factor increases demand for HWUs on a global scale. Low setup times and cost-effectiveness make this equipment more useful. Similar operations were carried out with older workover rigs, but they required a lot of setup time and labor toperate. Additionally, the wells needed tbe destroyed before operations HWUs with snubbing capabilities, however, have enabled snubbing capabilities with more recent technologies.

Threat:

Trend towards renewable energy

The primary factor restraining the hydraulic workover unit market growth is the consumer shift towards clean fuels. The increasing requirement of the renewable energy sector will undoubtedly decrease the investment being made in the oil and gas energy sector, which will harm the well intervention sector. The increasing proportion of power generation using renewable energy can hinder the principal investments being made for oil and gas. Further, the developing competence of renewables for power generation with durable benefits can result in increased adoption over conventional fuel which is hindering the market growth.

Covid-19 Impact

The novel coronavirus that caused the COVID-19 pandemic has had a negative effect on the world's industrial environment. Due tthe strict lockdowns put in place tstop the COVID-19 virus from spreading, Hydraulic Workover Unit industry suffered significant losses and had tscale back operations. As a result, the virus outbreak has changed the market for HWUs. However, recover from the COVID-19 pandemic in the second half of 2021. Additionally, rising production and exploration activities, rising investments in the oil and gas industry globally, and an increase in the number of hydraulic fracturing operations all result in an increase in the demand for hydraulic workover units from the oil and gas industry, which in turn increases production from unconventional reserves.

The workover segment is expected tbe the largest during the forecast period

Over the forecast period, the workover segment is anticipated tregister the largest share. Operations over dead wells are considered workover. The high number of brownfields and growing demand for dead well services are crucial for the workover market. The workover segment is significant because it offers a wider range of services. Additionally, mature oil and gas fields in North America and Europe need intensive intervention services trelease trapped oil and conduct safe production, which is fueling the growth of the workover market.

The offshore segment is expected thave the highest CAGR during the forecast period

The deepwater exploration activities being undertaken by various nations, including those in Latin America, Asia Pacific, the Middle East, and Africa, are expected tincrease, which will contribute significantly tthe growth of the offshore segment over the forecast period. Deepwater projects have a high initial capital investment (ICI), which could exceed USD 10 billion, making them more alluring tforeign competitors in offshore markets. Additionally, the offshore market is growing more quickly because of the growing offshore trend and the complexity of operations, which calls for equipment that is simple tset up, like HWUs.

Region with largest share:

Due tthe widespread use of workover and snubbing services, as well as consumer demand for operational simplicity and efficiency, as well as technological advancement, the North American region commands a sizeable portion of the market throughout the forecast period. The market is alsdriven by the region's increasing share of mature oilfields. Additionally, the government regulations treduce emissions made it unprofitable for businesses texpand exploration and increased the need textend existing oil wells and drive the market in the region.

Region with highest CAGR:

Over the forecast period, the Middle East and Africa are expected texperience the highest CAGR. The higher percentage of established oil wells in the area is tblame for this. Most of the region's demand for equipment is generated by the GCC nations. Furthermore, it is predicted that increased demand for hydraulic fracturing from shale gas reserves will drive product demand in the Middle East and Africa region.

Key players in the market

Some of the key players profiled in the Hydraulic Workover Unit Market include Archer, Baker Hughes, Balance Point Control, Basic Energy Services, Canadian Energy Equipment Manufacturing FZE, Cased Hole Well Services, Cudd Energy Services, Easternwell Pty Ltd., Halliburton, High Arctic Energy Services, Key Energy Services, LLC, National Oilwell Varco, Precision Drilling Corporation, PT Elnusa Tbk, Schlumberger, Superior Energy Services, VelestEnergy Berhad, WellGear Group B.V. and ZYT Petroleum Equipment Co. Ltd.

Key Developments:

In February 2022, Archer Limited is pleased tannounce that Pan American Energy LLC has agreed textend the duration of Archer's drilling services contract for further twyears. The extended contract covers 2 drilling rigs, 13 workover units and 13 pulling units on Pan American's CerrDragon field in the GolfSan Jorge basin in southern Argentina.

In September 2021, Halliburton will collaborate with Energean tdeliver exploration, appraisal, and development wells offshore Israel economically and safely. The contract is for three firm and twoptional wells tdeliver all services including project management, directional drilling, drill bits, drilling fluids, cementing, solids control, wireline, slickline, completions, production enhancement, and subsea services.

Installations Covered:
• Skid-Mounted
• Trailer-Mounted

Services Covered:
• Workover
• Snubbing

Capacities Covered:
• Up t50 tonnes
• 50 t150 tonnes
• Above 150 Tonnes

Applications Covered:
• Onshore
• Offshore

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements