The coiled tubing market has been forecast to increase at a compound annual growth rate (CAGR) of 7% over the next five years, increasing from a value of approximately $2 billion at the end of 2012, to grow to a total of $4 billion by 2018.
According to a recent report, 'Coiled Tubing Market: Global Trends & Forecasts to 2018,' North America was the dominant market by value in 2012 and is expected to remain an important player through to 2018.
The Middle East and Europe are two regions with the most promising CAGR growth rates of 12% and 9% between 2013 and 2018 due to increasing requirement of well completion and cleaning services.
Coiled tubing (CT) is used as a cost-effective solution for numerous well work and intervention applications with the key advantage of the ability to continuously circulate through the tubing while utilizing the CT pressure control equipment in treating a live well.
The tool string at the bottom of the coil is known as Bottom Hole Assembly (BHA). It can be a simple jetting nozzle, to pump chemicals or cement through the coil or large string of logging tools.
In the oil and gas industries, coiled tubing refers to metal piping, normally 1" to 3.25" in diameter, used for interventions in oil and gas wells and sometimes as production tubing in depleted gas wells, which comes spooled on a large reel.
Coiled tubing is often used to carry out operations similar to wirelining. The main benefits over wireline are the ability to pump chemicals through the coil and the ability to push it into the hole rather than relying on gravity.
North America is the largest market for coiled tubing by value and by active fleet count. The region which did fairly well in the last 10 years accounted for nearly half of the total revenue in 2012. The region started to witness poor growth margins in the last three years due to intense completion prevailing in the industry and falling natural prices.
The severity in the market is likely to continue allowing marginal growth at a CAGR of over 3% from 2013 to 2018 shrinking the market share by more than 20% by 2018.
For more information on the coiled tubing market, see the latest research: Coiled Tubing Market
Follow us on Twitter @CandMResearch
Companiesandmarkets.com issues news updates and report summaries covering all major industries and sectors. The service provides additional client monitoring and timely alerts to breaking industry and sector news leading the day's business headlines. News articles, written by our staff, contain additional analyst insight, providing value added insight for our readers. News updates and real-time alerts on newly-released market reports are also available from our Facebook page, Twitter feed @CandMResearch and RSS links. We also welcome inquiries from business journalists and the news media.