The global drill bit market was valued at USD 5.4 billion in 2021and is expected to reach USD 8.7 billion by 2026, with a CAGR of 11.64% from 2021to 2026. Drill bits are one of the important tools in any drilling operation. They are used to cut rocks to drill any oil and gas well. The bit has a rotating device that cuts through the rock. Drill bits are generally made of two or three cones, which are made of solid materials like steel, tungsten carbide, and diamonds, etc.The global market for drill bits is expected to see growth during the forecast period due to increased drilling for crude oil and natural gas exploration and production in Australia, the Middle East and the United States. The economies of India, China and Brazil are likely to increase the drilling bit market. The construction industry is expected to be a potential application for the drill bit given the increasing consumption of foundation and maintenance work in the housing sectors.
Halliburton announced the launch of GeoTech HE, a robust bit that incorporates new features and materials to offer better performance and greater reliability in today's high-energy drilling systems characterized by heavyweight and very high drilling torque. .
Equinor, a leading oil company in Norway, confirmed that the coronavirus had a negative impact on its offshore development projects, but the combined portfolio of projects is still very resilient.
The leading factors driving the global drill bit market include increased exploration and development activity, increased unconventional field development activity, and increased directional drilling. The demand for drill bits is expected to increase in the direction of providing wear resistance and strength properties. The growing demand for fast drilling with minimal wear in terms of medium hard and hard formations is driving the global market. A strong platinum mining base in South Africa is expected to increase the demand for PCD rigs and thus drive the drilling industry growth in the near future. Increased spending on shale field drilling due to the deployment of enhanced oil recovery in the United States is likely to enhance the market for drilling bits. The expansion of crude oil fields in the Middle East due to the increase in crude oil production domestically is expected to positively impact market growth. The Iranian government is expected to seek investments to increase petrochemical production domestically, which is likely to increase the drilling bit industry.
Drill Bit Market Restraints:
The rapid awareness of environmental damage due to excessive mining activities in different regions of the world is expected to restrict the growth or demand for mining bits in the near future.The high cost of drilling and strict government regulations on offshore drilling are major factors that can hamper market growth. The lack of investment in the offshore sector compared to onshore is expected to slow down the growth of the market in the coming years.
REPORT COVERAGE:
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REPORT METRIC |
DETAILS |
|
Market Size Available |
2020 – 2025 |
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Base Year |
2020 |
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Forecast Period |
2021- 2026 |
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CAGR |
11.64% |
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Segments Covered |
By Product, Type, By Application and Region |
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Various Analyses Covered |
Global, Regional & Country Level Analysis, Segment-Level Analysis, DROC, PESTLE Analysis, Porter’s Five Forces Analysis, Competitive Landscape, Analyst Overview on Investment Opportunities |
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Regions Covered |
North America, Europe, APAC, Latin America, Middle East & Africa |
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Market Leaders Profiled |
Atlas Copco (Sweden), Baker Hughes Inc. (U.S), Cangzhou Great Drill Bits Co., Ltd. (China), ESCO Corporation (U.S), Equinor, Halliburton Company (U.S.), and Irwin Industrial Tool Company (U.S.). NewTech Drilling Products LLC (Russia) National Oilwell Varco Inc. (U.S.), Scientific Drilling International Inc. (U.S.), Kingdream Public Limited Company (China), Varel International, Inc. (U.S.), Torquato Drilling Accessories, Inc. (U.S.), and Ulterra Drilling Technologies (U.S) |
The global drilling market is segmented by type of drilling and applications.
Based on type, the market is segmented into fixed bits and rolling cone bits. In stationary bits, polycrystalline diamond bits and natural diamond bits contribute a lot. Roller cone cutter bits are further classified as countersunk tooth bits and tungsten carbide inserts.
Based on application, the market is segmented into onshore and offshore applications. With the advancement of unconventional drilling techniques such as horizontal and vertical drilling business, the market is expected to see further increase for drill bits.
North America is expected to be the largest market for drill bits with an increase in horizontal and unconventional drilling activity. The United States has recently established itself as one of the top crude oil-producing countries with the most onshore drilling activity for the extraction of shale oil and gas. In addition, the Gulf of Mexico region is experiencing an increase in enhanced oil and gas recovery projects that can extend the life of mature oil wells. With the rise of shale gas development projects in China, the Asia-Pacific region is also expected to see rapid growth in the market for drilling bits. With increasing oil and gas discovery activity in countries such as Indonesia, Australia, and the Philippines, the area is expected to supposed high demand for bits.
The key players in the global drill bits market are Atlas Copco (Sweden), Baker Hughes Inc. (U.S), Cangzhou Great Drill Bits Co., Ltd. (China), ESCO Corporation (U.S), Equinor, Halliburton Company (U.S.), and Irwin Industrial Tool Company (U.S.). NewTech Drilling Products LLC (Russia) National Oilwell Varco Inc. (U.S.), Scientific Drilling International Inc. (U.S.), Kingdream Public Limited Company (China), Varel International, Inc. (U.S.), Torquato Drilling Accessories, Inc. (U.S.), and Ulterra Drilling Technologies (U.S) are among others.
The COVID-19 outbreak has taken its toll on the global economy as many industries have been affected by current circumstances and operations in various sectors have come to a halt. In the oil and gas industry, companies are facing various challenges due to falling oil prices following the COVID-19 outbreak. Consumption of petroleum products in the United States has fallen to its lowest level in decades due to travel limiting measures and the general economic downturn triggered by COVID-19 mitigation efforts. The US EIA assesses declining demand for petroleum products by examining changes in total products supplied. In the week ending April 3, 2020, total petroleum products supplied to the US fell 3.4 million barrels per day, the biggest weekly drop in the EIA data series. This would affect the operations of the drilling equipment as this equipment is useful for oil and gas extraction processes and also transforms crude oil into useful petroleum products. However, the European oilfield services market, which was expected to remain stable this year from the 2019 level of $ 47 billion in pre-coronavirus estimates, is now facing various hurdles due to the outbreak.
1. Introduction
1.1 Market Definition
1.2 Scope of the report
1.3 Study Assumptions
1.4 Base Currency, Base Year and Forecast Periods
2. Research Methodology
2.1 Analysis Design
2.2 Research Phases
2.2.1 Secondary Research
2.2.2 Primary Research
2.2.3 Data Modelling
2.2.4 Expert Validation
2.3 Study Timeline
3. Report Overview
3.1 Executive Summary
3.2 Key Inferencees
4. Market Dynamics
4.1 Impact Analysis
4.1.1 Drivers
4.1.2 Restaints
4.1.3 Opportunities
4.2 Regulatory Environment
4.3 Technology Timeline & Recent Trends
5. Competitor Benchmarking Analysis
5.1 Key Player Benchmarking
5.1.1 Market share analysis
5.1.2 Products/Service
5.1.3 Regional Presence
5.2 Mergers & Acquistion Landscape
5.3 Joint Ventures & Collaborations
6. Market Segmentation
6.1 Drill Bit Market, By Type
6.1.1 Fixed Bits
6.1.2 Rolling Cone Bits
6.1.3 Market Size Estimations & Forecasts (2019-2024)
6.1.4 Y-o-Y Growth Rate Analysis
6.1.5 Market Attractiveness Index
6.2 Drill Bit Market, By Application
6.2.1 Onshore
6.2.2 Offshore
6.2.3 Market Size Estimations & Forecasts (2019-2024)
6.2.4 Y-o-Y Growth Rate Analysis
6.2.5 Market Attractiveness Index
7. Geographical Landscape
7.1 Global Identity Governance and Administration Market, by Region
7.2 North America - Market Analysis (2018 - 2024)
7.2.1 By Country
7.2.2 By Type
7.2.3 By Application
7.3 Europe
7.3.1 By Country
7.3.2 By Type
7.3.3 By Application
7.4 Asia Pacific
7.4.1 By Country
7.4.2 By Type
7.4.3 By Application
7.5 Latin America
7.5.1 By Country
7.5.2 By Type
7.5.3 By Application
7.6 Middle East and Africa
7.6.1 By Country
7.6.2 By Type
7.6.3 By Application
8. Key Player Analysis
8.1 Atlas Copco
8.1.1 Business Description
8.1.2 Products/Service
8.1.3 Financials
8.1.4 SWOT Analysis
8.1.5 Recent Developments
8.1.6 Analyst Overview
8.2 Baker Hughes Inc
8.3 Cangzhou Great Drill Bits Co., Ltd
8.4 ESCO Corporation
8.5 Halliburton Company
8.6 Irwin Industrial Tool Company
8.7 National Oilwell Varco Inc
8.8 Varel International, Inc
8.9 Torquato Drilling Accessories, Inc
8.10 Ulterra Drilling Technologies
9. Market Outlook & Investment Opportunities
Appendix
List of Tables
List of Figures
Global, regional and country-level analysis and forecasts of the study market; providing Insights on the major countries/regions in which this industry is blooming and to also identify the regions that are still untapped
Segment-level analysis in terms of technology, component, and type along with market size forecasts and estimations to detect key areas of industry growth in detail
Identification of key drivers, restraints, opportunities, and challenges (DROC) in the market and their impact on shifting market dynamics
Study of the effect of exogenous and endogenous factors that affect the global market; which includes broadly demographic, economics, and political, among other macro-environmental factors presented in an extensive PESTLE Analysis
Study the micro environment factors that determine the overall profitability of an Industry, using Porter’s five forces analysis for analysing the level of competition and business strategy development
A comprehensive list of key market players along with their product portfolio, current strategic interests, key financial information, legal issues, SWOT analysis and analyst overview to study and sustain the market environment
Competitive landscape analysis listing out the mergers, acquisitions, collaborations in the field along with new product launches, comparative financial studies and recent developments in the market by the major companies
An executive summary, abridging the entire report in such a way that decision-making personnel can rapidly become acquainted with background information, concise analysis and main conclusions
Expertly devised analyst overview along with Investment opportunities to provide both individuals and organizations a strong financial foothold in the market
Global Drill Bit Market By Region, From 2021-2026 ( USD Billion )
Global Drill Bit Market By Type, From 2021-2026 ( USD Billion )
Global Fixed Bits Market By Region, From 2021-2026 ( USD Billion )
Global Rolling Cone Bits Market By Region, From 2021-2026 ( USD Billion )
Global Drill Bit Market By Application, From 2021-2026 ( USD Billion )
Global Onshore Market By Region, From 2021-2026 ( USD Billion )
Global Offshore Market By Region, From 2021-2026 ( USD Billion )
