Sand Control Solutions Market is Anticipated to Reach USD 4.46 Billion by 2028

Sand Control Solutions
  • Sand Control Solutions Market

TheSand Control Solutions Marketaccounted forUSD 2.48 Billionin 2021 and is estimated to reach USD 4.46 Billionin 2028, at theCompound Annual Growth Rate (CAGR) of8.7%.Sand control systems contain devices that help eliminate sand formation and mixing during the process of extracting hydrocarbons. The system plays an important role in the overall completion process and improves resource efficiency with productivity. They also help eliminate problems such as downhole holes and hardware erosion.

Sand control solutions are one of the major components of the oil and gas production system. Nowadays, many of the world's oil and gas sources, which are composed of fossil fuels, produce sand-containing lakes. Problems associated with sand production include the connection of piercing holes, the accumulation of more particles, the increase in sand production time, and the possible failure to extract holes and overhead equipment due to erosion. Such problems can pose economic and security risks. There are several strategies to reduce sand production in wells. With the depletion of oil reserves, large oil and gas companies have turned their attention to technological advances in order to develop the tools and techniques needed to reach the remaining areas from conventional sources. Oilfield operator companies are currently focused on increasing recovery and extending the life of mature fields, hence, exceeding natural production standards. Operating costs are highly dependent on oil and gas prices as the profit margins of companies vary with oil price fluctuations. Sand control solutions are directly related to operating costs per source, and the cost of services also depends on oil prices. In cheap cases, oilfield service providers experience a decrease in contracts and projects.

The sand control solution market is primarily divided into two based on location into onshore and offshore areas. Onshore sites usually contribute more to the market of sand control solutions. On the basis of application, the market can be either open hole or a cased hole. In sand control solutions, the good type can be vertical and horizontal. The market can also be segmented on the basis of product type into gravel pack, franc pack, sand screens, inflow control devices, among others. The type of gravel packing is deemed to be more effective for the prevention of the formation of sand that might enter the production string.

China, a major supplier of oil, gas, and refined petroleum products has been shut down for a considerable time. As a result, oil prices began to fall in February 2020. Besides, in March 2020, Saudi Arabia and Russia saw a war on oil prices, in which Saudi Arabia responded to Russia's refusal to reduce production so that prices could remain balanced. This lasted for days, leading to a drop in oil prices in the spring. Although it was just a day, it had a negative impact on the economies of oil-producing countries. Since July 2020, oil prices have risen sharply, and are in the range of USD 35–40. Currently, the number of mature oil fields is very high and growing due to the increase in oil and gas production, leading to a rapid depletion of new fields. The recovery capacity of these completed resources is enormous as it is estimated that 80% of the reserves are found in the Middle East and North Africa, 43% in the Asia Pacific region, and 24% in Latin America. In addition, more than 60% of the oil fields have matured in Norway and the UK, which continues to create sufficient demand for sand control solutions to extract the locking capacity of the dams.

The major players in the Sand Control Solutions Market are Tahe Oil Field (China), Daqing Field (China), Adavale Basin (Australia), Cooper Basin (Australia), Amadeus Basin (Australia), Ankleshwar (India), and Digboi (India).