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Zonal isolation set to grow the oil and gas industry across the board

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Zonal Isolation Market in the Oil and Gas Industry

Over the last decade, there has been an increasing oil and gas demand as well as a rise in both offshore and onshore drilling activities globally which is driving a drastic growth in the zonal isolation market. The increased exploration activities are as a result of the industry players trying to match production to the rising demand. Zonal isolation is vital to the success of drilling operations as it facilitates operation efficiency in wells. Further, the heavy investment in offshore exploration activities, as well as rising production, is expected to continue propelling market growth over the next decade. It is therefore expected to generate lucrative opportunities for all players.

The lucrative nature of the zonal isolation market has attracted a wide number of participants. Some of the notable participants include Superior Energy Services, Schlumberger, TAM International, Baker Hughes, Oilserv, Archer, Weatherford, Expro, and Tendeka among others.

Why zonal isolation is gaining prominence

 

One of the areas where zonal isolation has gained prominence is in mature fields. It is found to be critical in improving the production potential while also lowering the construction cost. This approach mitigates risks and therefore enhances wellbore integrity. Zonal isolation prevents the crossflow of oil, gas, and fluids across different geographical layers. However, due to the increasing complexity of oil wells, the process has advanced to be more than just splitting the reservoir into compartments.

The shift of exploration and production from onshore to offshore is expected to continue boosting the demand for zonal isolation techniques across the globe. Besides, the increasing awareness among consumers on the benefits of zonal isolation is expected to further accelerate the growth. Though strict government rules and regulations are likely to limit the growth globally over the next few years, the development of state-of-the-art innovations and technologies in zonal isolation is likely to portend greater unforeseen opportunities.

The competitive nature of the zonal isolation market is likely to witness the entry of new participants over the next few years. However, some of the countries expected to dominate this trend include Saudi Arabia, Canada, Mexico, Russia, China, Iran, Brazil and the UAE. Major players have also strategically invested in research and development activities and are therefore projected to continue providing innovative methods. Further, a strategic collaboration which has been on the increase can augment the growth of the markets.

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Technology

Mechanical and chemical technologies have also significantly enhanced the zonal isolation market. The technologies are being used to prevent the crossflow of oil, gas and water between formation. The mechanical technology is primarily used to halt the passages of oil and gas between different geographical layers. It is further segmented into sliding sleeves, plug, packers and perforated lines. Conversely, chemical technology is utilized in isolating gas as well as water producing zones in the horizontal wells. It is also segmented into polyacrylamide, monomer and plastic. The chemical technology is expected to witness tremendous growth due to its strong stability and usability in a wide range of technology.

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