Covid-19 Impact & Market Status
The COVID-19 epidemic has had an impact on oil and gas industry drones all over the world. Because of the ongoing epidemic, sales and productivity throughout the world have been negatively affected. Because of this, the first half of 2020 has seen the worldwide market suffer a massive loss. Many investors have taken a step back during this time period. ' As a result, the major participants in the worldwide market have used a variety of innovative concepts and approaches to help it develop. The oil and gas business are expected to create more drones during the course of the research period, as well.
North America Region to Hold the Highest Revenues during the Predicted Period
Prior to 2021, the U.S. was the greatest consumer of drone services, and it is predicted to continue to be so during the projection period. North America's offshore oil and gas operations are likely to fuel the market's growth during the forecast period, as the United States is the most populous country in the area.
Increased offshore operations are projected to lead to a greater demand for drone services in the United States in the near future.
Oil prices are likely to stabilise by the end of 2019 as drilling costs fall, which will lead to an increase in the number of offshore rigs and offshore oil production in the nation, which is expected to be a key driver for the market under study in the country.
While shallow water stocks are decreasing, deepwater and ultra-deepwater areas are projected to see an increase in exploration activity as a result of recent discoveries. As a result, demand for oil and gas drone services for deepwater operations in the United States is likely to rise.
No commercial finds have been made in the two recent drilling campaigns conducted by Shell Canada and BP Canada. As a result, if the twelve active exploration licences are not renewed soon, the Canadian market for oil and gas drone services is predicted to drop. This would lead to a fall in oil and gas development operations. Sable Offshore Energy and Deep Panuke are also in the process of being decommissioned. Canada's offshore oil and gas business will be less competitive in the coming years due to a lack of adequate market access, increased regulatory uncertainty, and the decommissioning of these two projects, which will impact demand for oil and gas drone services.
As a result, the demand for oil and gas drone services in the region is likely to rise in response to rising foreign investment in the country's upstream sector and an increase in oil and gas exploration operations.
As of 2028, the worldwide oil and gas drone services market is predicted to increase at a CAGR of around 35%. All three areas of the oil and gas business (oil exploration; production; and distribution) are being digitalized by oil and gas firms, such as BP and Shell. Midstream is predicted to be the fastest-growing market of the three sectors. A number of technological restrictions, including a short flight time, limited speed, vulnerability to hackers, and sensitivity to bad weather are stifling market expansion for drone surveillance.
The use of drones by oil and gas operators is predicted to grow over the forecast period due to the advancement of technology and the incorporation of Artificial Intelligence (AI) with the drone, as well as the development of thermal imaging and methane gas detection.
Oil and gas drone service providers will have more business options as the market's need for connected infrastructure, such as pipelines and refineries, rises.
Due to the rising use of drones in the oil and gas industry, North America is predicted to be the largest market for oil and gas drone services in 2021 and to be the largest market in terms of revenue over the forecast period. North America's offshore oil and gas operations are likely to fuel the market's growth during the forecast period, as the United States is the most populous country in the area.
Key players serving the global Oil and Gas Drone Services market include Precisionhawk, Airobotics Ltd, Cyberhawk Innovations Limited, Sky-Futures Limited, Sharper Shape Inc., Phoenix LiDAR Systems, Viper Drones, SkyX Systems Corp., and Terra Drone Corporation, among other prominent players.
Latest Innovations in the Global Oil and Gas Drone Services Market: a Snapshot
- Until recently, a drone's operation required it to remain inside its designated area of operation. The drone can now fly outside the line of sight thanks to advancements in artificial intelligence (AI). With AI, drones can fly beyond the BVLS (beyond the visual line of sight), allowing them to gather more data without the need for human intervention, and this data may be evaluated to assist oil and gas operators avoid disasters or leaks.
- As artificial intelligence (AI) advances, sophisticated drones will be able to make decisions on their own about what to do with the massive amounts of data they collect from assets.
- Operators may also benefit from the use of artificial intelligence (AI) in order to better connect current data to data acquired in the past, which can enable them act before a fatality occurs, like in the case of leaks and spills.
- AI-integrated sensors are now able to travel freely within a confined facility and avoid collisions with walls, all without assistance from human controllers. It is projected that the market for drones would be driven by an increase in their use as technology improves.
This market research study was created by compiling data from primary and secondary sources. Secondary research was conducted using a variety of sources, including (but not limited to) SEC filings, company websites, technical journals, paid data sources, financial reports, and other industry publications. In addition, to acquire first-hand data, the research methodologies perform comprehensive primary research with important industry players. Industry specialists then examine and validate the data.
Oil and Gas Drone Market Scope
|Forecast Unit||Value (USD)|
|Growth Rate||CAGR of 35% during 2021-2028|
|Regions Covered||North America, Europe, Asia Pacific, Middle East and Africa, South America|
|Key Players Profiled||Precisionhawk, Airobotics Ltd, Cyberhawk Innovations Limited, Sky-Futures Limited, Sharper Shape Inc., Phoenix LiDAR Systems, Viper Drones, SkyX Systems Corp., and Terra Drone Corporation, among other|
Key segments of the global oil and gas drone services market
Regional Overview, 2018-2028 (USD Million)
- North America
- United Kingdom
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- South America
- Rest of South America
- Middle East & Africa
- South Africa
- Rest of Middle East and Africa