Cementing Oil & Gas Well Services Industry

Average industry growth 2014–2019: -10.8%

The Cementing Oil and Gas Well Services industry comprises companies engaged in providing cementing, well sealing and mixing services to oil and gas well operators. Cementing operations are performed so that oil and gas wells are secured in place and surrounding environments are not contaminated by the extraction process. The use of cementing also prevents caverns from forming and other parts of the borehole from collapsing. Companies also use cementing services to seal wells that are not being currently used. Over the five years to 2019, the industry has been highly volatile due to massive fluctuations in crude oil and natural gas prices. The prices of oil and gas influence the level of investment in oil drilling and gas extraction, which require s...

The growth of the Cementing Oil and Gas Well Services industry is expected to accelerate over the five years to XXX. Crude oil and natural gas prices are projected to somewhat recover from recent lows, which will result in greater investment from oil drilling and gas extraction companies attempting to capitalize on a rebounding world economy. Demand is anticipated to slowly return to historically normal levels because of slow growth from Europe, steady demand in the United States and relatively weak demand from China and other emerging markets. However, as global productivity improves, demand for energy is expected to surge and create demand for cementing services. Drilling wells are also expected to become larger and more productive, which will incr...