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With Produced Water Reinjection Becoming Customary, Investments in Produced Water Treatment Systems Market to Rise

02-15-2017 11:13 PM CET | Energy & Environment

Press release from: Transparency Market Research-Energy

With Produced Water Reinjection Becoming Customary,

Expanding their global footprint and signing strategic cross-border contracts is expected to be the mainstay of companies aiming for global growth in the produced water treatment systems market, finds Transparency Market Research in a new study. Entities such as Schlumberger Water Services, Alderley Plc, and Siemens Water Technology are actively pursuing the development of tertiary patented products to steal a march on the competition. These initiatives will eventually lead to better service and product differentiation, prompting smaller companies to follow suit.

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TMR’s projections show that by 2020, produced water volumes will surpass the 340-bn barrel mark. This in indicative of a massive opportunity for companies offering produced water treatment equipment and services.

With Produced Water Reinjection Becoming Customary, Investments in Produced Water Treatment Systems to Rise

Across the world, it is now common practice to reinject produced water given the stringent government regulations at play and the overall scarcity of water. This trend is creating hitherto unexplored opportunities for companies in the produced water treatment systems market. In 2014, while 68% of the 201.4 bn barrels of produced water generated worldwide from oil and gas wells was disposed of, the rest was treated and injected back into oilfields at onshore and offshore locations.

This trend is expected led to a sizeable increase in produced water volume worldwide, reaching 340 bn barrels by 2020. At 23% from 2014 through 2020, offshore reinjection is expected to exhibit the fastest CAGR and will be followed by onshore reinjection.

Besides this high-impact driver, factors such as the rising ratio of oil-to-produced water and an inclination toward unconventional oil exploration are driving investments in produced water treatment systems, observes TMR.

Opportunity for Produced Water Treatment Systems to Touch US$2.6 Bn by 2020 in North America

Produced water treatment systems are expected to account for a market worth US$2.6 bn in North America by 2020. North America is also the clear leader in the global produced water treatment systems market. With crude oil production in North America projected to rise steadily through 2020, the demand for produced water treatment systems in the region is projected to remain strong.

With Asia Pacific and Europe trailing North America, the two regions collectively comprised 43% of the global produced water treatment systems market in 2014. The demand for produced water treatment systems in Latin America is expected to grow substantially through the forecasting horizon.

Aging Oil Wells Act as Spur to Development of Highly Efficiency Products and Services

The types of produced water treatment systems can be broadly classified into primary, secondary, and tertiary. Of these, secondary systems generated about 38.6% of the total market revenue in 2012 given the pressing need to cut oil content in produced water.

“However, the growing number of tertiary systems-especially the patented offerings combining the benefits of primary and secondary treatment systems as a bundled or packaged service-will witness strong adoption in the near future. So much so, that securing patents on innovative tertiary systems will lend players a strong edge over their counterparts,” says a TMR analyst. This will consequently lead to tertiary treatment systems displaying a 9.1% CAGR from 2014 and 2020 – the highest among all types of produced water treatment systems.

Produced water treatment systems represented a global market with a valuation of US$3.78 bn in 2012, which will rise to US$6.16 bn by 2020 at a CAGR of 6.1% between 2014 and 2020.

This analysis is based on a report, titled, ‘Produced Water Treatment Systems Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2012 -2020,’ published by Transparency Market Research.

About Us

Transparency Market Research (TMR) is a global market intelligence company providing business information reports and services. The company’s exclusive blend of quantitative forecasting and trend analysis provides forward-looking insight for thousands of decision makers. TMR’s experienced team of analysts, researchers, and consultants use proprietary data sources and various tools and techniques to gather and analyze information.

TMR’s data repository is continuously updated and revised by a team of research experts so that it always reflects the latest trends and information. With extensive research and analysis capabilities, Transparency Market Research employs rigorous primary and secondary research techniques to develop distinctive data sets and research material for business reports.

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