Directional Drilling Tools Market Analysis

Application Segment Analysis

The onshore drilling segment is predicted to gain the largest directional drilling tools market share of 52.2% during the projected period by 2037, due to its ease of logistics and higher accessibility to land. Following the recent boom in unconventional resource extraction, particularly shale and tight oil, this has been increased long-term confidence in using directional drilling in the oil and gas sector. Government policies that support energy independence will likely sustain onshore drilling expansion. According to the International Energy Agency (IEA), the cost-effectiveness of projects and speed of projects will drive industry growth in the oil and gas sector. Rapid improvements in engineering leading to innovations in hydraulic fracturing and horizontal drilling will mean that land-based drilling will remain productive and the dominant method. Based on community priorities, oil and gas continue to play a critical role going forward globally, and by 2037, onshore will be the leading revenue-generating segment in directional drilling tools.   

Type Segment Analysis

The rotary steerable systems (RSS) segment is anticipated to constitute the most significant growth by 2037, with 35.1% directional drilling tools market share, mainly due to their ability to improve accuracy in the wellbore, reduce drilling time faster than conventional systems, and be cost-effective. Interest in RSS systems continues to grow because of increased exploration in shale gas and deepwater drilling. RSS systems reduce non-productive time (NPT), thus improving operational efficiency. Recent technology advancements, such as automated directional control systems, will only enhance market growth. The U.S. Energy Information Administration (EIA) states that orders for new RSS units as the increase in unconventional oil and gas production is moving quickly and forcing consumers to accelerate the use of RSS technology. Greater levels of precision in drilling into complex reservoirs make it evident that RSS will cement its place as the dominant sub-segment of directional drilling tools by 2037.  

Our in-depth analysis of the global directional drilling tools market includes the following segments: