The global oilfield chemical market is expanding at an exponential rate, and experts even predict it will be able to account for $33.94 billion (£27.08 billion) by 2025.

According to analysis of the sector by Frost & Sullivan, the development of innovative and advanced oilfield chemicals with superior performance characteristics that are environmentally friendly have given the industry a big boost.

As a result, its Global Oilfield Chemicals Market Forecast to 2025 revealed application use has increased, as well as market growth and premium prices, leading the firm to estimate the industry will achieve a steady CAGR of 5.1 per cent between 2018 and 2025.

Ganesh Dabholkar, senior analyst of Chemicals and Materials in Infrastructure & Mobility at Frost & Sullivan, said: “Rapid growth and investment by global and regional oilfield service companies, as a result of exploration and production participants augmenting their business in high-growth economies of China, India, Brazil, Mexico, and Southeast Asia, will fuel an uptick in oilfield service activities and volume demand for oilfield and EOR [enhanced oil recovery] chemicals.”

The report also stated new oil and gas fields, in addition to as shale gas and EOR expansion projects will help the industry grow as well, providing “extensive opportunities” for chemical manufacturers.

To boost the market growth even more, Mr Dabholkar suggested more high-level research and development is required, as this will result in eco-friendly, valuable formulations that work successfully in different environments.

Manufacturers could also help the industry develop by expanding in high-growth markets to ensure local demand is catered for and enlargement occurs organically.

They could also conduct strategic mergers or acquisitions by leveraging a manufacturing or distribution facility base of the company they have acquired, or by improving the product portfolio.

Mr Dabholkar went on to say the oilfield chemical industry still faces some challenges, including a potential slowdown in oil and gas production from prolonged rig maintenance work.

“This has an adverse effect on the extent of oilfield services activities and impacts demands for oilfield chemicals,” he stated, adding: “Furthermore, economic turmoil in some countries has also curtailed investment in oilfield services and, in turn, the demand for oilfield chemicals.”

There is also a growing market for eco-friendly chemical manufacturing processes, which could be assisted with a new discovery by scientists at the US Department of Energy’s Lawrence Berkeley National Laboratory and Joint Center for Artificial Photosynthesis (JCAP).

Their latest study has revealed copper can help turn carbon dioxide into sustainable fuel, as the metal acts as a catalyst for the change.

Joel Ager, a researcher at JCAP and leader of the study, said: “The goal of ‘green’ or sustainable chemistry is getting the product that you want during the chemical synthesis. You don’t want to separate things you don’t want from the desirable products, because that’s expensive and environmentally undesirable.”

Therefore, the discovery that solar cells can feed electrons to active sites into a copper catalyst, resulting in the creation of biofuels, is an important one.

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