ASIA PACIFICOILFIELDCHEMICALS MARKET

Market Shares, Forecasts& Trends

2014 - 2019

mordorintelligence.com

Asia Pacific Oilfield Chemicals Market | Sample

TABLE OF CONTENTS

1. Introduction

1.1 Description

1.2 Research Methodology

1.3 Report Outline

2. Executive Summary

3. Market Overview

3.1 Current Market Scenario

3.2 Factors Driving the Oilfield Chemicals Market

3.2.1 Demand for Oilfield Chemicals Bolstered through Growing Crude Oil Production

3.2.2 Oilfield Chemicals Being Driven by Shale Gas Exploration and Production

3.2.3 Environment-Friendly Chemicals Being Developed Due to Stringent Regulations

3.3 Factors Restraining the Oilfield Chemicals Market

3.3.1 Environmental Sustainability in Shale Gas Extraction

3.4 Opportunities for the Oilfield Chemicals Market

3.4.1 New Horizons Opened Up Due to Deep Water Drilling Operations

3.4.2 Nanotechnology’s Prospects Bright in Cementing Applications

3.4.3 Productive Opportunities Provided by Developing Regions

3.5 Porter’s Five Forces

3.5.1 Bargaining Power of Suppliers

3.5.2 Bargaining Power of Consumers

3.5.3 Threat of New Entrants

Asia Pacific Oilfield Chemicals Market | Sample

3.5.4 Threat of Substitute Products and Services

3.6 Industry Value Chain Analysis

4. Market Segmentation

4.1 By Chemical Type

4.1.1 Biocides

4.1.2 Corrosion & Scale Inhibitors

4.1.3 Demulsifiers

4.1.4 Polymers

4.1.5 Pour-Point Depressants

4.1.6 Surfactants

4.1.7 Other Chemicals

4.2 By Application

4.2.1 Cementing

4.2.2 Drilling

4.2.3 Enhanced Oil Recovery

4.2.4 Production

4.2.5 Well Stimulation

4.2.6 Workover & Completion

5. Asia-Pacific Market Analysis

5.1 China

5.2 India

5.3 Others

Asia Pacific Oilfield Chemicals Market | Sample

6. Policies and Regulations

7. Competitor Analysis

7.1 Market Shares of Leading Global Players

7.2 Strategies Adopted by Leading Global Players

8. Company Profiles

8.1 AkzoNobel NV

8.2 Albemarle Corp

8.3 Ashland Inc

8.4 Baker Hughes Inc

8.5 Canadian Energy Services & Technology Corp

8.6 Clariant AG

8.7 Croda International Plc

8.8 Dow Chemical Company

8.9 E.I. DuPont De Nemours & Company

8.10 Elementis Plc

8.11 Flotek Industries Inc

8.12 Halliburton

8.13 Kemira Oyj

8.14 Lamberti Group

8.15 Messina Inc

8.16 Nalco Champion Technologies Inc

8.17 Newpark Resources Inc

8.18 Schlumberger Limited

Asia Pacific Oilfield Chemicals Market | Sample

8.19 M-I SWACO

8.20 Solvay SA

8.21 Stepan Company

8.22 The Lubrizol Corporation

8.23 Weatherford International Ltd

8.24 Zirax Limited

9. Appendix

Asia Pacific Oilfield Chemicals Market | Sample

RESEARCH METHODOLOGY

The research methodology can be put into the following sequence:

1) Secondary Research: Information was collected from a number of public and paid data sources.

Public sources involved Ministry of Oil and Natural Gas- India, ESDM, Malaysian Oil and Gas Service

Council, Department of Mines and Petroleum – Australia, company annual reports, white papers and

research publications by recognized industry experts. Paid data sources include authentic industry

databases.

2) Primary Research: After collecting data from secondary sources, primary interviews were conducted

with stakeholders at different points of the value chain like manufacturers, distributors, companies

producing chemicals, end-product users and key opinion leaders of the industry. Primary research was

used both to validate the data points obtained from secondary research and to fill the data gaps after

secondary research.

3) Market Engineering: The market engineering phase involves analysing the data collected, market

breakdown and forecasting. Macroeconomic indicators and bottom-up and top-down approaches are

used to arrive at a complete set of data points that give way to valuable qualitative and quantitative

insights. Each data point is verified by the process of data triangulation to validate the numbers and

arrive at close estimates.

4) Expert Validation: The market engineered data is verified and validated by a number of experts, both

in-house and external.

5) Report Writing: After the data is curated by the mentioned highly sophisticated process, the analysts

begin to write the report. Garnering insights from data and forecasts, insights are drawn to visualize the

entire ecosystem in a single report.

Asia Pacific Oilfield Chemicals Market | Sample

3. DRIVERS

3.2.2 OILFIELD CHEMICALS BEING DRIVEN BY SHALE GAS EXPLORATION AND PRODUCTION

Australia, China, India and Indonesia have taken tentative steps to explore their shale gas and oil

potential, including drilling wells. This increase in drilling and production has resulted in higher volumes

of drilling, stimulation, and cementing chemicals. The Asia-Pacific market is expected to show strong

growth of in the drilling, cementing, and stimulation markets, while production chemicals will grow more

slowly due to much of the new development coming from shale gas fields.

From producing 30 million cubic meters of natural gas from shale formations in 2012, China produced

200 million cubic meters in 2013, which was about 0.2 percent of China’s total natural gas production.

China's shale gas production in 2014 is expected to surpass 1.5 billion cubic meters, 7.5 times that of

2013. China has a goal of producing 6.5 billion cubic meters of shale gas in 2015, which would equal 5.5

percent of total 2013 gas production. By the end of July, 2014 the country had invested US$3.25 billion

on exploiting 54 possible shale gas fields,

According to estimates of the petroleum and natural gas ministry, by 2015-16, India’s demand for gas is

set to rise to 162 (billion cubic metres) bcm per year against a partial increase in the domestic supply to

43 bcm per year and higher imports of 60 bcm per year. Shale gas production would reduce the supply-

demand gap. Companies including Reliance Industries Limited (E&P), RNRL, Vikas WSP Limited have

expressed interest in exploring in India, which is estimated to hold 500 to 2000 trillion cubic meter of

recoverable shale gas. Six main basins have been identified that could be successfully exploited:

Asia Pacific Oilfield Chemicals Market | Sample

Cambay (Gujarat), Assam-Arakan (North-East), Gondwana (Central India), Krishna Godawari onshore

(East coast), Cauvery onshore, and Indo-Gangetic basins. India’s first shale gas well was inaugurated in

November, 2013 in Ankleshwar, Gujarat by the Oil and Natural Gas Corp. Ltd. (ONGC) and it planned to

explore 30 additional shale gas wells in India over the next two years investing about USD $100 million.

The following table lists the total shale gas production in Asia Pacific by million cubic metres and

respective chemicals consumed in these operations in million USD.

Total Shale gas Production (mcm) and Chemicals consumed (million USD)

Chemicals 2013 2014 2015 2016 2017 2018 2019 2020 CAGR%

Shale Gas Production xx xx xx xx xx xx xx xx xx

Drilling Chemicals xx xx xx xx xx xx xx xx xx

Stimulating Chemicals xx xx xx xx xx xx xx xx xx

Coil Tubing Chemicals xx xx xx xx xx xx xx xx xx

Cementing Chemicals xx xx xx xx xx xx xx xx xx

Production Chemicals xx xx xx xx xx xx xx xx xx

Workover Fluids xx xx xx xx xx xx xx xx xx

Others xx xx xx xx xx xx xx xx xx

Asia Pacific Oilfield Chemicals Market | Sample

8.12 HALLIBURTON

3000 North Sam Houston Parkway East

Houston, TX 77072

Phone: 281-871-2699

Website: http://www.halliburton.com

COMPANY OVERVIEW

Founded in 1919, Halliburton Halliburton is the second largest player in the oilfield services segment

after world leader Schlumberger providing a range of services and products for the exploration,

development, and production of oil and natural gas to worldwide oil and gas companies. With more than

80,000 employees, representing 140 nationalities in approximately 80 countries, the company serves the

upstream oil and gas industry throughout the lifecycle of the reservoir – from locating hydrocarbons

and managing geological data, to drilling and formation evaluation, well construction and completion,

and optimizing production through the life of the field.

Halliburton comprises 13 product service lines (PSLs). The PSLs operate in two divisions: Drilling and

Evaluation, and Completion and Production. PSLs are primarily responsible and accountable for

strategy, technology development, process development, people development and capital allocation.

The Completion and Production segment offers production enhancement services, including stimulation

services and sand control services; and cementing services comprising bonding the well and well

casing, and casing equipment. It also offers completion tools that provide downhole solutions and

services, including well completion products and services, intelligent well completions, liner hanger

systems, sand control systems, and service tools. This segment also provides well intervention services,

pressure control, equipment rental tools and services, and pipeline and process services; and oilfield

production and completion chemicals and services that address production, processing, and

transportation operations.

Asia Pacific Oilfield Chemicals Market | Sample

The Drilling and Evaluation segment offers drill bits and services, including roller cone rock bits, fixed

cutter bits, hole enlargement, and related downhole tools and services, as well as coring equipment and

services; wireline and perforating services, such as open-hole logging, cased-hole and slickline, borehole

seismic, and formation and reservoir solutions; and testing and subsea services comprising acquisition

and analysis of reservoir information and optimization solutions. This segment also provides drilling

fluid systems, performance additives, completion fluids, solids control, specialized testing equipment,

and waste management services; drilling systems and services; integrated exploration, drilling, and

production software, as well as related professional and data management services; and oilfield project

management and integrated solutions.

A slowdown in shale gas exploration activity in the U.S. forced by low gas prices in North America is

hastening the company to push for markets outside the country. In Asia-Pacific, an important market for

the oil field services industry, Halliburton meets the market demand for the hydrocarbon industry

services sector. The recent development of significant reserves in deepwater and unconventional assets

in the region is key to expansion of investments in the region. Halliburton already has close to 5,500

employees in the Asia Pacific region and is looking to capitalise on the future efforts to explore

unconventionals in countries like Indonesia, Malaysia and Australia. This is expected to boost rig counts

in the region over the next few years.

KEY FINANCIALS

The total revenue of the company was USD $29,402 in 2013.

The total revenue in Asia, in 2013 was USD $5056 million, up from USD $4295 million in 2012, an

increase of 18%. The revenue from Completion and Production segment was USD $2112 million

compared to $1709 in 2012, increasing by 24%. The revenue from Drilling and Evaluation segment was

USD $2944 million compared to $2586 in 2012, increasing by 14%. The total revenue from Asia, in 2013

was 17.2 % of the global revenue in 2013, up from 15% of the global revenue in 2012. The total

operating income from Asia in 2013 was USD $865 million, up from USD $687 million in 2012, an

Asia Pacific Oilfield Chemicals Market | Sample

increase of 26%. Asia Pacific contributed to 27.5% of the global operating income, thus proving to be

one of the most profitable and fastest growing regional segments for the company.

Revenue in Asia improved by 18% due to higher drilling activity and higher wireline activity in Australia,

Indonesia, and China, strong demand in Indonesia, increased completion tools sales in Malaysia and

higher demand for cementing services in Thailand. Operating income in Asia increased by 26% due to

higher direct sales in China, improved profitability and stronger demand in Indonesia, region, higher

drilling activity and higher wireline activity throughout the Asia Pacific region.

Table: Halliburton Financial Performance by Region

Completion and Production Revenue by Region

2013 2012

Total XX XX

North America 11,417 12,157

Latin America XX XX

Europe/Africa/CIS 2,391 2,099

Middle East/Asia XX XX

Drilling and Evaluation Revenue by Region

Total XX XX

North America 3,795 3,847

Latin America XX XX

Europe/Africa/CIS 2,834 2,411

Middle East/Asia XX XX

Asia Pacific Oilfield Chemicals Market | Sample

Table: Halliburton Operating Income by Region

Completion and Production Operating Income by Region

2013 2012

Total XX XX

North America 1,916 2,260

Latin America XX XX

Europe/Africa/CIS 356 347

Middle East/Asia XX XX

Drilling and Evaluation Operating Income by Region

2013 2012

Total XX XX

North America 656 680

Latin America XX XX

Europe/Africa/CIS 334 346

Middle East/Asia XX XX

Table: Halliburton Total Revenue

Revenue by Segment 2013 2012

Completion and Production XX XX

Drilling and Evaluation 11,896 11,123

Total Revenue XX XX

Asia Pacific Oilfield Chemicals Market | Sample

Figure: Halliburton Revenue Share by Region

Halliburton Revenue Share by Region (%)

North America

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