"Actionable Insights to Fuel Your Growth"

Hydraulic Workover Unit Market Size, Share & Industry Analysis, By Service (Workover and Snubbing), By Capacity (Below 150 Tons, 151-200 Tons, and Above 200 Tons), By Installation (Skid-Mounted and Trailer-Mounted), By Application (Onshore and Offshore), and Regional Forecast, 2024-2032

Last Updated: April 01, 2024 | Format: PDF | Report ID: FBI106284

 

KEY MARKET INSIGHTS

Play Audio Listen to Audio Version

The global hydraulic workover unit market size was valued at USD 1.22 billion in 2023. The market is projected to grow from USD 1.35 billion in 2024 to USD 2.31 billion by 2032, exhibiting a CAGR of 6.94% during the forecast period.


Hydraulic Workover Unit (HWU) is a specialized technique used in the oil and gas industry for the maintenance, repair, and intervention of oil and gas wells. It involves the use of these units and equipment manufactured to access the wellbore, perform various downhole operations, and optimize the well's performance without the need to drill a new well. Hydraulic workover operations can include tasks, such as pulling and running tubing, equipment replacement, well cleanouts, stimulation, and addressing well integrity issues. It is a cost-effective and flexible method for extending the productive life of wells and maximizing hydrocarbon recovery. 


The impact of COVID-19 on the market has been notable due to disruptions in the oil and gas industry. However, the situation may have evolved since then. The pandemic led to a decrease in oil and gas demand, resulting in reduced drilling and well-maintenance activities. For instance, According to the U.S. Energy Information Administration, North Dakota crude oil production declined from an average of 1.5 million barrels per day (b/d) to 0.9 million b/d between December 2019 and May 2020, a decrease of more than 615,000 b/d (41.6%). This decline in production is greater than it would have been if producers had merely halted new wells and allowed production from current wells to decline naturally.


Hydraulic Workover Unit Market Trends


Increasing Focus toward Brownfields to Propel Market Growth


A mature oil and gas field has exceeded peak production. These oil fields hold a large part of the global crude oil production. With advanced and improved technological approaches, such as Enhanced Oil Recovery (EOR), the production of mature oil fields has seen a significant increase. Increasing recovery from mature fields has required expansion of the well and enhancement in production through well intervention and work-up. As oil reserves declined, companies increasingly focused on developing equipment required to access the remaining reserves of mature wells. The main focus is on improving recovery and prolonging life. However, increased water incision with restricted topside facilities, increasing flow control issues, rising operating costs, and integrity issues due to mature facilities have resulted in brownfields being operationally and economically impractical. The rising demand for workover services is expected to fuel market growth over the forecast period.


Request a Free sample to learn more about this report.


Hydraulic Workover Unit Market Growth Factors


Huge Investment in Offshore Oil and Gas Developments to Propel HWU Market


Huge Investment in offshore oil and gas developments to propel hydraulic workover unit market growth. Recently, there has been an amplified focus on reducing energy consumption in several industries, including building and construction. Heating consumes significant energy in the residential and commercial sectors. For instance, in its extraordinary session of 25th August 2022, the Spanish Parliament sanctioned a law that comprised actions to encourage energy efficiency and saving. In addition, the Russia-Ukraine crisis has shifted France's government's focus toward reducing energy consumption.


The aim is to reduce energy consumption by 10% by 2024. To accomplish this, an enterprise and work organization energy sobriety plan and a guide to decent practices for businesses are being drawn up. As well as the prime minister of France also called on all companies to make their energy efficiency plan in September 2022. These measures or laws might help fuel the demand for energy-efficient heating solutions workover units. These units are commonly used as heating systems in large-scale commercial and residential infrastructure. These units have the potential to maintain a preferred temperature by utilizing lower water temperatures, which saves energy.


RESTRAINING FACTORS


Increasing Focus Toward Promoting Clean Energy Solutions to Hamper Market Growth


There is a growing focus of many countries to reduce their carbon footprint and dependence on fossil fuels. The oil and gas sector has the potential to grow significantly after the global renewable investment. China, Europe and the U.S. are the top three markets for renewable investment. According to the MENA solar energy report, up to 37,000 MW of new solar, wind, and hydroelectric projects are planned to be commissioned worldwide. Solar Energy projects would specifically source about 12000-15000 MW. The IEA expects global energy investment to increase by over 8% in 2022 to a total of USD 2.4 trillion, well above pre-Corona levels. Investment is increasing in all parts of the energy sector. Still, the biggest impetus in recent years has come from the energy sector, particularly in renewables and grids and increased spending on end-use efficiency. The increasing share of electricity generation from renewable sources may hamper substantial investment in oil and gas. Also, the need to reduce carbon emissions has fueled the uptake of renewable energy, with government incentives being given across the globe. In addition, the growing demand of renewable energy in generating electricity with great benefits may lead to high acceptance of traditional fuels.


Hydraulic Workover Unit Market Segmentation Analysis


By Service Analysis


Workover Segment Holds a Dominant Share Owing to Its Application in Providing Optimization Activities and Better Performance


Based on service, the market is bifurcated into workover and snubbing.


The workover segment dominated the market as the market focuses on interventions performed on oil and gas wells using hydraulic workover units. This market segment involves pulling the tubing and sometimes the casing out of the wellbore to access downhole equipment or perform maintenance, repairs, and optimization activities.


On the other hand, the snubbing segment of the market focuses on well interventions using snubbing units. Snubbing is a technique used to work on wells under pressure without the need to kill the well or remove the tubing from the wellbore. It's particularly valuable for addressing live wells or wells with high-pressure conditions.


By Capacity Analysis


Above 200 Tons Segment Leads the Market as It Can Handle the Weight of Various Components


Based on the capacity, the market is divided into below 150 tons, 151-200 tons, and above 200 tons.


The leading capacity segment is above 200 tons due to its lifting capacity. This capacity includes lifting heavy components and equipment in and out of the well. A capacity of above 200 tons is particularly preferred as this ensures that these units can handle the weight of various components used in interventions, packer pumps, and other tools. Whether a shallow or deep well, a 200-ton offshore or onshore operation can meet this requirement.


The 150-200 ton segments holds the significant market share and it refers to the specific category or range of units designed to handle loads within that weight range.


Below 150 ton segment these units are dedicated to perform tasks such as wellbore cleaning, fishing, sidetracking etc. This segment also have a significant share in the market


To know how our report can help streamline your business, Speak to Analyst


By Installation Analysis


Skid-Mounted Segment Holds a Major Share Due to Various Benefits as They Can Be Assembled as a Modular Unit


The installation segment is of two types: skid-mounted and trailer-mounted.


The skid-mounted segment accounted for the majority of share in the global hydraulic workover units market owing to the tremendous benefits as skids are assembled as modular units, so skid-mounted process equipment can be more easily disassembled and reassembled when needed. Easier to install than a stick-build approach. Skid-mounted equipment is moved to the desired location and connected to existing machinery, often with single-point process connections. Skid-mounted systems provide additional safety, support, and protection for industrial equipment, often including complex piping, sensitive valves, and other valuable components. The skid-mounted type of installation is advantageous for onshore and offshore vessels as the demand for skid-mounted installation is greater.


The trailer mounted segment also holds a good market value in the industry and it refers to a specific category of units that are mounted on trailers for mobility and ease of transportation.


By Application Analysis


Onshore Segment Holds Major Share as It Can be Easily Installed and Cheaper Than Offshore Installations


Based on the application, the market is segmented into onshore and offshore.


The onshore segment is dominating the market as oil and gas industry is facing increasing demands to clarify the impact of the energy transition on its operations and business models and the contribution it can make to reducing greenhouse gas (GHG) emissions. The offshore segment also holds a significant share and it refers to a specific category of unit that are designed and optimized for use in oil and gas operations.


REGIONAL INSIGHTS


By region, the market has been studied and analyzed across North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.


North America Hydraulic Workover Unit Market Size, 2023 (USD Billion)

To get more information on the regional analysis of this market, Request a Free sample


North America is leading region in the hydraulic workover unit market share. Due to increasing oil and gas production in North America, demand for raw materials is expected to increase during the forecast period. The number of new oil and gas fields being developed in North America for the use of hydraulic work units. The increased focus on brownfield projects and drilling activity in the Permian is resulting in steady growth that is slower than before.


The Middle East & Africa is the second largest region expanding the market. Saudi Arabia, UAE and Oman will continue to increase their drilling and production with a focus on developing gas assets for Saudi Arabia and UAE. The energy transition and CO2 capture are also receiving increasing interest in all three countries. World Oil expects regional drilling to increase by 16.8%. Regional oil production rose 10.8% to 27,465 MMbpd in 2022. The developing oil industries and drilling activities are driving the market.


In Asia Pacific, there is an emerging exploration activities that contribute to the significant growth. The presence of established oil and gas companies impacts the whole market through their services.


In Latin America, due to offshore exploration activities and the development of projects, there is a high demand in the market.


List of Key Companies in Hydraulic Workover Unit Market


Haliburton Dominates the Market Due to High Industry Demand and a Vast Product Portfolio


The global market is highly consolidated, with only a few players providing hydraulic workover units to various countries. Moreover, Halliburton dominated the hydraulic workover unit market as the company accounted for half of its market share. However, there are various other players actively operating across the globe to cater to the demand for hydraulic workover units across the industry.


LIST OF KEY COMPANIES PROFILED:



KEY INDUSTRY DEVELOPMENTS:



  • July 2023 - EEST Energy Services (Thailand), a leading global offshore contractor and services provider, is proud to announce that it has been awarded a USD 9 million contract from Hibiscus Petroleum Berhad, Malaysia, under T7's IWS contract Global Berhad, Malaysia. The contract includes the provision of well work-out/replacement and well plugging and abandonment services utilizing the innovative EEST-502 hybrid hydraulic conversion unit.

  • September 2022 - Helix Energy Solutions Group said that it has entered into an extension agreement of two years of its well intervention charter and services. The negotiated extension is scheduled to conclude in December 2024 and directly follows Helix’s current contracts with Petrobras.

  • February 2022 – Valesto Energy signed a contract with ExxonMobil and got the provision of a hydraulic workover unit and other services in Malaysia.

  • July 2021 - Norwegian energy company ASA announced that the Noble Sam Turner drilling program commenced a spring 2021 well work-out and maintenance campaign and completed three well work-outs, contributing to nearly 2000 bpd positive operating performance results during the Drill program’s second quarter. The use of HWUs contributed significantly to the success of the campaign.

  • April 2021 – Oilfield services firm Archer recently signed an offer letter to purchase 100% of the share of Deepwell, which is a Norwegian well intervention company focused on mechanical wireline and cased hole logging services.


REPORT COVERAGE


The research and business intelligence report offers an in-depth analysis of the market. It further provides details on the adoption of hydraulic workover units across several regions. Information on trends, drivers, opportunities, threats, and restraints of the market can further help stakeholders gain valuable insights into the market. The report offers a detailed competitive landscape by presenting information on key players, along with their strategies, in the market.


To gain extensive insights into the market, Request for Customization


Report Scope & Segmentation










































ATTRIBUTE



DETAILS



Study Period



2019-2032



Base Year



2023



Estimated Year



2024



Forecast Period



2024-2032



Historical Period



2019-2022



Growth Rate



CAGR of 6.94% from 2024 to 2032



 Unit



Value (USD Billion)



Segmentation



By Service



  • Workover

  • Snubbing


By Capacity



  • Below 150 Tons

  • 151-200 Tons

  • Above 200 Tons


By Installation



  • Skid-Mounted

  • Trailer-Mounted


By Application



  • Onshore

  • Offshore


By Region



  • North America (By Service, By Capacity, By Installation, By Application, and By Country)


    • U.S. (By Application)

    • Canada (By Application)


  • Europe (By Service, By Capacity, By Installation, By Application, and By Country)


    • Russia (By Application)

    • Norway (By Application)

    • U.K. (By Application)

    • Netherland (By Application)

    • Germany (By Application)

    • Rest of the Europe (By Application)


  • Asia Pacific (By Service, By Capacity, By Installation, By Application, and By Country)


    • China (By Application)

    • Australia (By Application)

    • Southeast Asia (By Application)

    • Rest of Asia Pacific (By Application)


  • Latin America (By Service, By Capacity, By Installation, By Application, and By Country)


    • Brazil (By Application)

    • Rest of Latin America (By Application)


  • Middle East & Africa (By Service, By Capacity, By Installation, By Application, and By Country)


    • GCC (By Application)

    • Nigeria (By Application

    • Egypt (By Application)

    • Rest of the Middle East & Africa (By Application)







Frequently Asked Questions

A study by Fortune Business Insights states that the global hydraulic workover unit market was USD 1.22 billion in 2023.

The North American market size stood at USD 0.72 billion in 2023.

Based on application, the onshore segment holds a dominating share of the global market.

The global market size is expected to reach USD 2.31 billion by 2032.

Increasing offshore exploration drives market growth.

Halliburton, Well Gear Group and Joney Holdings are some of the top players actively operating across the market.

Seeking Comprehensive Intelligence on Different Markets?
Get in Touch with Our Experts

Speak to an Expert
  • 2019-2032
  • 2023
  • 2019-2022
  • 221

Personalize this Research

  • Granular Research on Specified Regions or Segments
  • Companies Profiled based on User Requirement
  • Broader Insights Pertaining to a Specific Segment or Region
  • Breaking Down Competitive Landscape as per Your Requirement
  • Other Specific Requirement on Customization
Request Customization Banner

Client Testimonials

“We are quite happy with the methodology you outlined. We really appreciate the time your team has spent on this project, and the efforts of your team to answer our questions.”

- One of the largest & renowned medical research centers based in the U.S. on a report on the U.S. NIPT Market.

“Thanks a million. The report looks great!”

- Feedback from a consultant on a report on the U.S. Beef Market.

“Thanks for the excellent report and the insights regarding the lactose market.”

- Brazil based company specializing in production of protein ingredients.

“I liked the report; would it be possible to send me the PPT version as I want to use a few slides in an internal presentation that I am preparing.”

- Global Digital Services Agency on a report on the Global Luxury Goods Market.

“This report is really well done and we really appreciate it! Again, I may have questions as we dig in deeper. Thanks again for some really good work.”

- U.S.-based biotechnology company focussing on treatment of chronic pain.

“Kudos to your team. Thank you very much for your support and agility to answer our questions.”

- Europe-based provider of solutions to automate data centre operations.

“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”

- India-based manufacturer of industrial and specialty intermediates with a strong global presence.

“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”

- One of the largest cosmetics company in the world.

“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”

- U.S. based startup operating in the cultivated meat market.

“We received the below report on the U.S. market from you. We were very satisfied with the report.”

- Global hearing aids manufacturer.

“I just finished my first pass-through of the report. Great work! Thank you!”

- U.S. based solar racking solutions provider.

“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”

- World’s leading advisory firm.

“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”

- Germany based machine construction company.

“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”

- Japanese manufacturing company of stationery products.

“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”

- One of the Leading Food Companies in Germany

“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”

- Intuitive Surgical

“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”

- Major Food Company in Japan

“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”

- Ziering Medical

“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”

- Major Manufacturer of Precision Machine Parts in India

“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”

- Hewlett-Packard

“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”

- Global Management Consulting Firm

“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”

- UK-based Start-up in the Medical Devices Sector

“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”

- One of the Largest Companies in the Defence Industry
We use cookies to enhance your experience. By continuing to visit this site you agree to our use of cookies . Privacy.
X