The global enhanced oil recovery market size is projected to reach USD 20.06 billion by 2027, exhibiting a CAGR of 7.5%during the forecast period. Increasing requirement for advanced oil recovery technologies around the world is expected to be the key growth driver for this market, as per the new Fortune Business Insights™ report, titled “Enhanced Oil Recovery Market Size, Share & Industry Analysis, By Technology (Thermal Injection, Gas Injection, and Chemical Injection), By Application (Onshore and Offshore), and Regional Forecast, 2020-2027”. Enhanced oil recovery (EOR), or tertiary recovery, is a technique that is deployed to increase oil production at a well-site. EOR mechanism is utilized to retrieve oil that primary and secondary extraction methods have been unable to retrieve. According to the US Department of Energy (DoE), EOR technology can lead to an increase in oil production between 30% and 60% of a reservoir’s original oil capacity. The technology features three main categories, namely, thermal recovery, gas injection, and chemical injection. Of these, the gas injection technique, involving pushing of CO2 in wellbores, has been found to be particularly successful, especially in North America, and is slated to lead the enhanced oil recovery market trends in the coming years.
The rising awareness about green energy sources across the world is transforming the energy and power industry. The trend of green energy is emerging on account of increasing environmental pollution from traditional energy resources. Governments are playing a significant role in conducting awareness programs about clean energy. Fortune Business Insights in a report, titled “Enhanced Oil Recovery Market Size, Share and Global Trend By Method, By Application and Geography Forecast till 2026” published the above information.
Top Players Overview:
Some of the leading players operating in the global Enhanced Oil Recovery market include;
Chevron
Total
ExxonMobil
Petrobras
Conoco Phillips
Equinor
Husky Energy
Cenovus Energy
PDVSA
Imperial Oil
Gazprom
China National Petroleum Corporation
China Petroleum and Chemical Corporation (Sinopec)
Occidental Petroleum
The rising instability in crude oil prices is expected to positively impact the growth of the Enhanced Oil Recovery Market. Rising privatization and relaxation in the FDI norms are factors enabling growth in the market. Also, governments are heavily investing in power projects, which in turn, may fuel demand for energy and power plants across the globe.
Regional Analysis:
North America (The USA and Canada)
Europe (UK, Germany, France, Italy, Spain, Russia and Rest of Europe)
Asia Pacific (China, India, Australia, Southeast Asia and Rest of Asia Pacific)
Latin America (Brazil, Mexico and Rest of Latin America)
Middle East & Africa (South Africa, GCC and Rest of the Middle East & Africa)
Competitive Landscape
Increased Collaboration between State Entities to Excite the Market
According to the enhanced oil recovery market study, the state entities are teaming up to explore the possible avenues for utilizing the EOR technology. This has the potential to prepare the market for a surge in demand that is expected to occur once the world tides over the COVID-19 outbreak, even though the demand is unlikely to return to the pre-pandemic levels anytime soon.
Industry Developments:
July 2019: The Office of Fossil Energy under the US Department of Energy announced that it has selected five projects that will receive federal funding amounting to USD 39.9 million. This funding will be directed towards R&D in advancing the EOR technology in conventional and unconventional reservoirs.
July 2019: The Indian Oil Corporation Limited (IOCL) and the Oil and Natural Gas Corporation Limited (ONGC) signed a MoU for implementing CO2-based EOR in the Koyali refinery operated by IOCL. The two companies aim at reducing India’s carbon footprint and elevating its domestic production simultaneously.
