Perforating Gun Market Size, Share and Global Trend By Type (Hollow Carrier Gun, Through Tubing Strip, Others), By Application (Offshore, Onshore) and Regional Forecast, 2024-2032

Perforation is an essential operation that is carried out to connect the wellbore and the reservoir efficiently. The connection created between the reservoir and the wellbore allows the reservoir fluids to flow into the wells efficiently and with minimal pressure loss.

The perforation process involves the introduction of a perforating gun in the wellbore and lowering it to planned depth and firing the shape charges. The firing of shape charges creates an explosion and the energy from the explosion creates holes or tunnels through the casing for the reservoir fluid to rise in the well.

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Different factors are to be considered before carrying out the perforation operation. The factors include tectonic stress, rock properties, the mineral content of the rock, temperature, and pressure of the reservoir, and reservoir fluid among others.

By type, the perforating gun market is classified as a hollow carrier gun, through tubing strip, and others. The expendable guns are the ones whose parts are destroyed after the perforation explosion operation. The hollow carrier guns are the most widely used perforating guns and are expected to dominate the perforating gun market by type.

The hollow carrier guns are highly reliable, can be used for higher temperature and pressure applications, to eliminate casing damage and leave no debris behind. Based on application, the perforating gun market is bifurcated based on the applications of perforating guns in the offshore and onshore oil wells.

Perforating guns are widely used in the oil and natural gas industry. The growth of the oil and natural gas industry will thus directly affect the growth of the perforating gun market. Increasing exploration activities in various regions have added new capacities to the existing oil reserves.

Due to this, the oil and natural gas industry are expected to grow at significant rates in the coming years. The growth of the oil and natural gas industry is thus likely to augment the growth of the perforating gun market.

Perforating guns such as expendable guns and semi-expendable guns used in through-tubing applications generally disintegrate most of the parts after the explosion, and this makes these guns non-economical as compared to the hollow carrier guns. Owing to this the expendable and semi-expendable perforating gun market is expected to grow at a slower pace as compared to the hollow carrier perforating gun market.

Key Players Covered

Some of the major companies that are present in the global perforating gun market are National Oilwell Varco, Halliburton, Schlumberger, Yellow Jacket Oil Tools, Hunting Plc, FHE USA LLC, Tenaris, Baker Hughes, a GE Company, Core Laboratories, Oso Perforating, LandSea Technical Services Pte Ltd, TigerShark, Tassaroli S.A., Schlumberger, and Weatherford among others.

SEGMENTATION

Regional Analysis

The global perforating gun market has been segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. North America region is expected to witness steady growth in the oil and natural gas industry in the coming years. For instance, the United States Geological Survey has found new oil and gas reserves in the Permian Basin in West Texas and South Eastern New Mexico. The discovery of such oil and gas reserves is expected to drive the sales of perforating guns in the North America region. In the Europe region, the demand for the perforating guns is likely to boost in the coming years owing to the discovery of new oil reserves in the region. In 2019, around 250m barrels of oil was discovered in the Glengorm Reservoir in the central North Sea. The growth of the oil and natural gas industry in Russia and the discovery of new oil reserves are thus expected to create a platform for the sales of perforating guns in the Europe region. In 2018, Petroleos Mexicanos, a Mexican company discovered an oil reserve of capacity equivalent to 180m barrels of crude oil which are expected to add in the production capacity of the Latin America’s oil and natural gas industry. The growth of the oil and natural gas industry in Latin America is thus likely to add in the growth of the perforating gun market. The Middle East and Africa region have a well-established oil and natural gas industry. The discovery of new oil reserves in South Africa is expected to add around 1 Billion barrels of capacity for oil production in the region. Owing to the growth of the oil and natural gas industry in the Middle East and Africa region, the perforating gun market is expected to gain traction during the forecast period. ONGC, an India based oil producer has discovered around 230 Million tonnes of oil reserves in the recent past. Additionally, China National Offshore Oil Corporation has discovered high yield and high-quality oil flow in the Bohai Sea. The new oil reserves are expected to create lucrative opportunities for the perforating gun market growth in the Asia Pacific region.

Key Industry Developments

• In February 2019, Hunting Energy Services announced the development of a short plug-and-play perforating gun system. The company is a subsidiary of Hunting Plc and has launched the perforating gun system under the brand name H-2 Perforating System
• In February 2019, DynaEnergetics, a subsidiary of Dynamic Material Corporation has announced 100% success in the trials of its perforating system. The Company has developed this new perforating system under the brand name DS Trinity^TM
• In March 2018, Schlumberger developed an instrumented docking perforating gun system. The perforating gun system is a combination of plug-in gun design and advanced downhole measurements in real-time.