CALGARY, Alberta (Oct. 1, 2024) — Enverus Intelligence Research (EIR), a subsidiary of Enverus, the most trusted energy-dedicated SaaS company that leverages generative AI across its solutions, is releasing its Oilfield Services Market Fundaments report that examines supply and demand dynamics in each service line. EIR also forecasts changes in year-end costs to coincide with E&P budgeting season.
“We believe activity has bottomed and oilfield service price will bottom by the end of this year, and EIR expects a modest rebound in activity and pricing in 2025,” said Mark Chapman, report author and OFS principal analyst.
“An oversupply of fracture sand caused prices to fall this year, but an expected rebound in gas-directed drilling and a trend to longer laterals should boost prices in 2025,” Chapman said.
Key takeaways from the report:
- Shale well costs are expected to decrease by 6.3% in 2024 due to lower activity and increased efficiencies. Enverus Intelligence Research project costs will rise 2.8% in 2025 with increasing activity and higher demand for new drilling technology.
- The pressure-pumping market shows a large divide, with high demand for electric fleets and Tier 4 dual-gas blend rigs, while diesel equipment faces challenges.
Fracture sand supply increased in 2Q24, leading to price softness, but demand is expected to rise in 2025 due to longer laterals and a rebound in gas-directed drilling.
EIR’s analysis pulls from a variety of Enverus products including Enverus Intelligence® Research, Enverus PRISM®, Activity Analytics and OpenInsights Market Index.
You must be an Enverus Intelligence® subscriber to access this report.
About Enverus Intelligence Research
Enverus Intelligence ® | Research, Inc. (EIR) is a subsidiary of Enverus that publishes energy-sector research focused on the oil, natural gas, power and renewable industries. EIR publishes reports including asset and company valuations, resource assessments, technical evaluations and macro-economic forecasts; and helps make intelligent connections for energy industry participants, service companies and capital providers worldwide. EIR is registered with the U.S. Securities and Exchange Commission as a foreign investment adviser. Enverus is the most trusted, energy-dedicated SaaS company, with a platform built to create value from generative AI, offering real-time access to analytics, insights and benchmark cost and revenue data sourced from our partnerships to 95% of U.S. energy producers, and more than 40,000 suppliers. Learn more at Enverus.com.
Media Contact: Jon Haubert | 303.396.5996
