Industry trends
Oil field water treatment chemical demand continues to rise
2016-03-28 16:28:05

Sub-Saharan Africa oilfield water treatment chemicals market is in a growth stage. In 2010, the area of oilfield water treatment chemicals market size of $ 220.8 million. New oil wells in the area will allow oil production has continued to rise, promoting growth in demand for oil-field water treatment chemicals market. By 2017, the average annual rate of growth of the market will be 3.8%, the size of the market will reach $ 286.1 million. United States growth consulting company furuositeshaliwen published in October this year to conduct a detailed analysis of the study.

Sub-Saharan Africa oil and gas market is dominated by Nigeria and Angola, two State-controlled. Nigeria and Angola, no domestic manufacturer of oilfield water treatment chemicals, products are all provided by the transnational corporations in the market. Oil field water treatment chemicals including inhibitors, corrosion inhibitors, demulsifiers, coagulant, flocculant, defoaming agents, paraffin inhibitors, etc. Primarily through its establishment of transnational corporations in Nigeria and Angola branch directly to the oil and gas companies to sell these products. In recent years, with the increasing global demand for crude oil, coupled with Ghana's oil resources and the establishment of mining facilities, demand for oilfield water treatment chemicals market in the region will continue to grow.

Nigeria 2010 oilfield water treatment chemicals market reached US $ 111.8 million, is expected to 5% an average annual growth rate in 2017, will increase to $ 157.3 million in size. Factors that promote the growth of markets in Nigeria are:

one is the rising demand for energy. Although worldwide are trying to cut the use of traditional fossil fuels and promoting the use of renewable, but in the medium to long term period, fossil fuels will remain the most important source of energy and rising energy demand will continue to push the use of fossil fuels. Nigeria will be the impact of this global trend, continued to develop the oil industry, and promote the growth of demand for oilfield water treatment chemicals.

Second, government privatization drive. Historically, Nigeria's Government does not allow foreign companies to set up wholly-owned enterprises in Nigeria, especially in the area of national security. And Nigeria's ongoing reforms, the future for many industries, including the oil and gas industry will open up, follow is the improvement of the operational efficiency of the industry, which will bring more opportunities to the oilfield water treatment chemicals.

Although Nigeria this a market of prospects very bullish, but also exists following adverse Yu market development of hinder factors: Niger Delta is Nigeria main of crude oil reserves district, this area of armed violence activities for oil gas company constitute has very big of threat; oilfield water processing chemicals and oil of mining activities directly related, and global crude oil needs of fluctuations great to effect has Nigeria oil gas company of operation, For oilfield water treatment chemicals market instability; in the upstream oil industry, Nigeria's State oil company in financial problems, cannot fulfil their obligation in a timely manner. Funding limits oil exploration and production, also negatively affected for oilfield water treatment chemicals market.

with respect to Angola 2010 oilfield water treatment chemicals market size of $ 94.8 million, is expected in 2017 market will reach us $ 257.4 million, an average annual growth rate of up to 15.3%.

promoting growth factors of oilfield water treatment chemicals in Angola include the following aspects: one is the country's rapid economic growth dependent on the oil and gas industry. Angola, oil and natural gas industry is the largest industry, exports contributed revenues of over 80% and 90%. This industry's development is of great significance for promoting the rapid growth of the national economy, Angola's oil production is expected to peak in 2015, about 3 million barrels a day. Huge growth in demand for oilfield water treatment chemicals.

Second, the discovery of new oil fields. Recently, more and more of the oil field was discovered in Angola, 2010-2012, there are 13 new oil production. These new fields will promote the development of oil and gas industry continues to also provide growth opportunities for oilfield water treatment chemicals market.

third, relatively stable political environment. Angola's political environment is relatively stable in the past years, for foreign companies to invest in Angola to provide a good environment and rising investment. Many multinational oil companies have set up branches in Angola and the development of the oil and gas industry has developed rapidly, and has led growth in oilfield water treatment chemicals market.

Meanwhile, the Angolan oil field water treatment chemicals market, there are some obstacles to development. First, OPEC oil production limits. 2007 Angola joined OPEC. OPEC to stabilize the oil markets of the Member States, are provided to each Member State's oil production, to some extent this provision limits the development of oilfield water treatment chemicals market.

Second, the bidding for its sales practices detrimental to the development of the market. In Angola, oil-field water treatment chemicals must be sold through bidding to win the bidding suppliers to gain a first-mover advantage and those bids are not strong the company's development is very limited. Therefore, whether first time to obtain bidding information and provide the required product will become an important element of competition among companies.



(original title: continuous growth in demand for oilfield water treatment chemicals)
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