Business Opportunities for OCTG Companies

Oil Country Tubular Goods (OCTG) is one of the primary equipment used in the upstream sector. It finds a wide range of application in the oil and gas industry – both onshore and offshore. OCTG comprise of the piping products employed in oil and gas production (drilling activities). The market is segmented into two different grades- American Petroleum Institute (API) certified- and premium-grade. OCTG companies develop products according to the specifications provided by these organizations. With such a wide range of application, the OCTG companies are always on a lookout of advanced technologies to improve their quality of products and services.

This article will discuss the market and business opportunities for OCTG companies.

Market Analysis for OCTG Manufacturers

The drilling activities have increased significantly. The demand for premium and technologically advanced pipes is on a constant rise. The global Oil Country Tubular Goods (OCTG) market is expecting strong growth in the near future. The improvement in the OCTG market since the last crisis of 2014 has helped OCTG companies have a positive future outlook.

EIA reported in 2016 that “hydraulically fractured wells accounted for around 68 % of all natural gas and oil wells drilled in the U.S. and 83% of the overall linear footage drilled.” The increase in horizontal drilling activities in the US is good news for OCTG companies. Leading to a rise in demand for premium grade products, this ultimately results in better margins on OCTG.

Further, several factors like enhanced efficiencies and advancements in well drilling technology are affecting the overall market growth of OCTG. Advanced OCTG products are becoming popular in the unconventional resources segment as well.  OCTG companies must invest in new technologies to stand out.

By 2023, the market of OCTG is expected to be worth USD 43 billion and will have a CAGR of approximately 7.14%.

A strong market outlook is an encouragement for OCTG companies to look for better business opportunities in the future. The industry is entering the new era of digitization and automation. With time, the internet will create a huge and efficient marketplace for the industry. And this is the right time for the companies to shift towards digitization.

Energy Dais – A digital solution for OCTG Suppliers

With the change in the industry landscape, one thing which has been affected the most is the supply-demand fundamentals of the market. And this has also influenced the buying pattern of the industry. Today, most of the purchase happens online. Since most of the OCTG companies are not aware of this shift, they are losing out on major business opportunities. The industry leaders are finding digitization as a solution to many challenges in cost reduction and enhancing efficiency. This is the reason why OCTG suppliers need an online digital platform that can provide them with business opportunities.

Energy Dais, an online digital platform for the oil and gas industry, is helping buyers, manufacturers, suppliers, and service providers collaborate and explore business opportunities. It will prove to be a real-time asset for OCTG suppliers. Here’s how Energy Dais can help OCTG companies:

Global Visibility

Energy Dais has a global verified database of 15,000+ companies. This will help OCTG suppliers gain instant visibility amongst the global oil and gas community.

Right business partner at the right time

Energy Dais helps the suppliers connect with the right prospects at the right time. It helps the suppliers search through the directory smoothly and provides optimized search results.

Do business in previously inaccessible geographies

Energy Dais, as an effective digital tool, empowers OCTG companies to do business in previously inaccessible geographies.

OCTG market is strengthening with time, companies are trying to improve the quality of products and now they also need to go digital. Energy Dais provides them with the opportunity to expand and grow at a pace like never before.