Global Polyglycolic Acid In Oil And Gas Industry
Market Size in USD Billion
CAGR :
% 
 Forecast Period |
2024 –2031 |
 Market Size (Base Year) |
USD 85.35 Million |
 Market Size (Forecast Year) |
USD 122.31 Million |
 CAGR |
% |
| Major Markets Players |
Global Polyglycolic Acid Market in Oil and Gas industry Segmentation, By Form (Powder/Granular, Fibrous Materials, Films, and Others), Application (Scale Control And Remediation, Horizontal Well Stimulation, Gypsum Removal, Metal Naphthenate Dissolution, Removal Of Water Soluble Organics, Hydraulic Fracturing, Downhole Tools, Pressure Management, Well Control, Oil Extraction, and Others) – Industry Trends and Forecast to 2031.
Polyglycolic Acid Market in Oil and Gas Industry Analysis
The polyglycolic acid (PGA) market in the oil and gas industry is experiencing notable growth due to its pivotal role in enhancing operational efficiency and environmental sustainability. PGA, a biodegradable polymer known for its strength and biocompatibility, is increasingly utilized in various applications within the sector, particularly in hydraulic fracturing, drilling fluids, and water treatment processes. PGA’s use in hydraulic fracturing is a significant driver of market expansion. It is employed as a component in fracturing fluids to aid in the effective extraction of oil and gas from unconventional reservoirs. PGA's ability to act as a delayed-release acid helps in breaking down rock formations and stimulating well productivity. In drilling operations, PGA enhances the performance of drilling fluids by improving viscosity control and wellbore stability, which is crucial for efficient and safe drilling practices. The market is driven by advancements in extraction technologies and rising exploration activities in unconventional oil and gas reserves. The increasing adoption of hydraulic fracturing and the need for efficient water management solutions further fuel the demand for PGA.
Polyglycolic Acid Market in Oil and Gas Industry Size
Global polyglycolic acid market in oil and gas industry size was valued at USD 85.35 million in 2023 and is projected to reach USD 122.31 million by 2031, with a CAGR of 4.6% during the forecast period of 2024 to 2031. In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include import export analysis, production capacity overview, production consumption analysis, price trend analysis, climate change scenario, supply chain analysis, value chain analysis, raw material/consumables overview, vendor selection criteria, PESTLE Analysis, Porter Analysis, and regulatory framework.
Polyglycolic Acid Market in Oil and Gas Industry Trends
“Growing Global Energy Demand”
The surging global demand for energy has significantly impacted the oil and gas industry, necessitating more intensive exploration and extraction efforts to meet this increasing need. As energy consumption rises worldwide, oil and gas companies are compelled to explore new reserves and enhance their extraction processes to secure adequate supplies. Polyglycolic acid (PGA) plays a pivotal role in these activities by improving the efficiency and effectiveness of extraction operations. PGA is utilized in hydraulic fracturing fluids and drilling muds, where it helps optimize performance and manage the challenges associated with high-pressure and high-temperature environments. The growing need for more efficient and reliable extraction methods, driven by escalating energy demands, underscores PGA's importance in modern oil and gas operations. As exploration extends into more challenging and unconventional areas, the demand for PGA is expected to rise, supporting the global trend towards maximizing resource extraction and ensuring energy security.
Report Scope and Market Segmentation
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Attributes |
Polyglycolic Acid Market in Oil and Gas Industry Key Market Insights |
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Segmentation |
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Countries Covered |
U.S., Canada, Mexico, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific, Saudi Arabia, U.A.E., South Africa, Egypt, Israel, Rest of Middle East and Africa, Brazil, Argentina, Rest of South America |
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Key Market Players |
Kureha Corporation (Japan) and The Chemours Company (U.S.) |
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Market Opportunities |
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Value Added Data Infosets |
In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include import export analysis, production capacity overview, production consumption analysis, price trend analysis, climate change scenario, supply chain analysis, value chain analysis, raw material/consumables overview, vendor selection criteria, PESTLE Analysis, Porter Analysis, and regulatory framework. |
Polyglycolic Acid Market in Oil and Gas Industry Definition
The polyglycolic acid (PGA) market in the oil and gas industry is characterized by the use of this advanced polymer in various extraction and processing applications. PGA, known for its high chemical stability and biodegradability, plays a crucial role in enhancing the efficiency of oil and gas extraction processes. It is primarily used in hydraulic fracturing (fracking) to improve the performance of drilling fluids and to facilitate the extraction of oil and natural gas from underground reservoirs. PGA's ability to act as a delayed-release acid in fracturing fluids aids in the effective breakdown of rock formations, which enhances resource recovery.
Polyglycolic Acid Market in Oil and Gas Industry Dynamics
Drivers
- Rising Use of PGA in Shale Gas and Oil Exploration
Advancements in extraction technology have significantly increased shale gas production, leading to a global abundance of natural gas over the past decade. This trend is expected to continue in the foreseeable future. Typically, increased domestic energy production results in larger supplies, lower prices, reduced dependence on imports, and improved energy security. Consequently, exploration and production units have set ambitious goals to expand their operations, driving up the demand for polyglycolic acid (PGA) and contributing to the growth of the global PGA market within the oil and gas industry.
- Increasing Oil and Gas Drilling Operations Worldwide
The rise in oil drilling activities brings substantial benefits to both the global economy and environment. Oil drilling involves a refinement process that produces usable petroleum products globally. PGA is essential in this process, particularly for air pollution control, where it helps remove harmful particulate matter from waste gases at industrial facilities and power stations. PGA's role in industrial filters and precipitators allows for the removal of various particulate exhaust elements, such as coal smoke, salt cake, and chemical pulp extracts. This increased use of PGA in drilling technologies fuels demand and supports the growth of the global PGA market in the oil and gas sector.
Opportunities
- Growing Use of PGA in Fresh Water and High-Salinity Water Fracturing Processes
The surge in oil and gas production through hydraulic fracturing, or fracking, is seen as a key solution for global energy needs. Produced water from fossil-fuel wells often has a salinity much higher than seawater, which can be effectively removed through stages of electro-dialysis. PGA also acts as a delayed-release acid through degradation, facilitating the decomposition or activation of various finishing fluids. This functionality presents opportunities for the PGA market, accelerating the growth of the global PGA market in the oil and gas industry.
- Rise in R&D Activities for PGA
Oil and gas operations in various regions contribute to improving living standards by fostering sustainable development in often-overlooked areas. Recently, governments have increased investments in research and development of fluids used in gas production, including PGA, focusing on environmental management and infrastructure costs. Additionally, governments in developing countries are enhancing domestic gas distribution networks to support domestic and transportation segments. These advancements in R&D create opportunities for the PGA market, driving the growth of the global PGA market in the oil and gas industry.
Restraints/Challenges
- High Cost of Production for PGA
The rising costs associated with drilling and finishing efficiency, coupled with the shift toward longer wells and more complex finishing stages, are driving up the costs in the oil and natural gas extraction sectors. The expenses related to land acquisition for exploration and ongoing drilling operations, even amidst declining prices, add to the overall financial burden. Additionally, the necessity to maintain production levels to avoid idling, despite reduced output, escalates costs related to labor, equipment, and rentals. The use of various high-cost equipment and machines for PGA in deep-sea oil and gas extraction further contributes to the high production costs. These factors collectively impede the growth of the global polyglycolic acid (PGA) market in the oil and gas industry.
- Fluctuations in the Prices of Natural Gas
Natural gas prices are highly susceptible to fluctuations due to changes in market supply and demand. With limited alternatives to natural gas in the short term, even minor shifts in supply or demand can lead to significant price variations. Infrastructure constraints and the difficulty for many consumers to switch fuels quickly exacerbate these fluctuations. Additionally, adverse weather conditions can force natural gas refineries to slow down or halt production, impacting supply and increasing price volatility. These fluctuations in natural gas prices can decrease the demand for polyglycolic acid (PGA), thereby hindering the growth of the global PGA market in the oil and gas industry.
This market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.
Impact and Current Market Scenario of Raw Material Shortage and Shipping Delays
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Apart from the standard report, we also offer in-depth analysis of the procurement level from forecasted shipping delays, distributor mapping by region, commodity analysis, production analysis, price mapping trends, sourcing, category performance analysis, supply chain risk management solutions, advanced benchmarking, and other services for procurement and strategic support.
Expected Impact of Economic Slowdown on the Pricing and Availability of Products
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Polyglycolic Acid Market in Oil and Gas Industry Scope
The market is segmented on the basis of form and application. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.
Form
- Fibrous Materials
- Powder/Granular
- Films
- Others
Application
- Oil Extraction
- Hydraulic Fracturing
- Downhole Tools
- Scale Control and Remediation
- Horizontal Well Stimulation
- Gypsum Removal
- Metal Naphthenate Dissolution
- Removal of Water Soluble Organics
- Well Control
- Pressure Management
- Others
Polyglycolic Acid Market in Oil and Gas Industry Regional Analysis
The market is analyzed and market size insights and trends are provided by country, form, and application as referenced above.
The countries covered in the market are U.S., Canada, Mexico, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, rest of Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, rest of Asia-Pacific, Saudi Arabia, U.A.E., South Africa, Egypt, Israel, rest of Middle East and Africa, Brazil, Argentina, and rest of South America.
North America is expected to dominate the market due to the burgeoning demand for PGA in shale gas and oil exploration. Recent advancements in horizontal drilling and hydraulic fracturing technologies have unlocked previously inaccessible shale deposits, significantly boosting the need for PGA in these energy sectors. The U.S. holds a dominant position in North America’s PGA market, particularly within the oil and gas industry, due to the increasing number of oil drilling operations.
In the Middle East and Africa, Saudi Arabia is the leading market for PGA in the oil and gas sector, driven by its expanding shale gas activities. Meanwhile, in the Asia-Pacific region, China is the primary market for PGA, with demand fueled by rising oil drilling activities in the country.
The country section of the report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.
Polyglycolic Acid Market in Oil and Gas Industry Share
The market competitive landscape provides details by competitors. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to market.
Polyglycolic Acid Market in Oil and Gas industry Leaders Operating in the Market Are:
- Kureha Corporation (Japan)
- The Chemours Company (U.S.)
Latest Developments in Polyglycolic Acid Market in Oil and Gas Industry
- In January 2023, Kureha Corporation unveiled plans to expand its production capacity for poly-glycolic acid (PGA) in Japan. This strategic move aims to meet the increasing demand for PGA, a high-performance polymer used in various applications. By boosting its production capabilities, Kureha Corporation seeks to strengthen its position in the market and support the growing needs of its global clientele
- In July 2021, Kureha Corporation established a new polyvinylidene fluoride (PVDF) plant at its fully owned subsidiary, Kureha Changshu Fluoropolymers Co., in China. This expansion has bolstered the company's presence in the Asia-Pacific region
- In April 2022, The Chemours Company announced an upcoming investor webinar scheduled for May 16, 2022. The webinar will focus on the thermal and specialized solutions segment, discussing key market trends, business drivers, and strategic growth initiatives. This initiative aims to enhance the company's appeal to global customers
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Research Methodology
Data collection and base year analysis are done using data collection modules with large sample sizes. The stage includes obtaining market information or related data through various sources and strategies. It includes examining and planning all the data acquired from the past in advance. It likewise envelops the examination of information inconsistencies seen across different information sources. The market data is analysed and estimated using market statistical and coherent models. Also, market share analysis and key trend analysis are the major success factors in the market report. To know more, please request an analyst call or drop down your inquiry.
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