Market Size (2016)
2016
$3.67B
Vertical: EnPBase Year: 201710 Sections
Market Size (2016)
2016
$3.67B
Projected (2023)
2023
$4.75B
CAGR (2016–2023)
3.7%
3.7%Key Players
108+
Managed pressure drilling is the process for deep offshore oil and gas wells in safer, more controlled, and more efficient way. As oil and gas exploration is a complicated process, it requires maximum supervision to avoid any collapse in casing and cementing. The main objective behind managed pressure drilling is to develop simulations in a controlled environment and draw appropriate conclusions.
Globally, half of the offshore projects are un-drillable due to the technical constraints. Moreover, drilling-related problems raise the issue of loss of circulation, stuck pipe, twisting off, kick/loss scenarios, which increase the cost of drilling in various projects. Managed pressure drilling (MPD) can decrease the possibility of these problems and help reduce nonproductive time. MPD involves several benefits such as drilling with narrow pressure window, avoid kick loss, reduced number of casing, improved rate of penetration, reduced nonproductive time, accurately managed mud programs, early identification of wellbore ballooning, and improved drilling efficiency. The market of MPD is growing because of the high technical advancement. For instance, Noble Corporation plc has awarded AFGlobal Corporation, a contract for integrated Deepwater MPD systems. The addition of MPS systems help provide competitive advantage with higher level of safety and performance in rigs.
The Managed pressure drilling market is anticipated to progress at 3.92% CAGR during the forecast period and is expected to touch the market size of USD 4,750.1 million by 2023. North America accounts for the largest market share of 47.50% and is very closely followed by Asia-Pacific with 27.65% and Europe with 16.10%.
The global market for managed pressure drilling is segmented on the basis of technology, tool, application, and regions. Based on the technology, the market is further classified into constant bottom hole pressure, mud cap drilling, dual gradient drilling, and return flow control drilling. On the basis of tool, global managed pressure drilling market is segmented into Rotating Control Device (RCD), Non-return Valves (NRV), and Choke Manifold Systems. On the basis of application, the segments taken into account are onshore and offshore.
The Managed Pressure Drilling Market market is projected to grow at a CAGR of 3.7% from 2016 to 2023.
Historical performance and future projections (2020–2030, USD Billion)
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View Subscription PlansManaged pressure drilling is the process used in oil and gas industry to precisely control the annular pressure throughout the wellbore. The objective behind the managed pressure drilling is to ascertain the downhole pressure limits and to manage the annular hydraulic pressure, accordingly. Additionally, MPD consciously avoids the influx of formation fluids to the surface. The application of MPD becomes vital in offshore wells for maintaining the wellbore integrity because of the pore pressure and fracture gradient curves.
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View Subscription PlansThis report applies a rigorous multi-stage research process combining primary interviews, secondary data sources, and bottom-up market modelling to ensure accuracy and completeness across all segments and geographies.
Base Year
2017
Historical Period
2016 – 2017
Forecast Period
2017 – 2023
Primary Interviews
150+
Historical data (2016–2017) and forecast period (2017–2023)
Our research process spans primary interviews with industry stakeholders combined with comprehensive secondary data analysis, validated through triangulation across multiple independent sources.
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View Subscription PlansMarket estimates by geography (2023)
InsightNorth America leads with $2.29B by 2023.
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View Subscription Plans| REGION | 2016 | 2017 | 2023 | CAGR | SHARE |
|---|---|---|---|---|---|
| Asia Pacific | $1.02B | $1.16B | $1.31B | 3.7% | 28% |
| Europe | $591.50M | $678.00M | $765.90M | 3.8% | 16% |
| Middle East and Africa | $132.90M | $144.60M | $157.10M | 2.4% | 3% |
| South America | $192.00M | $211.30M | $231.60M | 2.7% | 5% |
| North America | $1.74B | $2.01B | $2.29B | 4.0% | 48% |
| Total | $3.67B | $4.21B | $4.75B | 3.7% | 100% |
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View Subscription PlansTotal Market Size
$4.75B
| APPLICATION | REVENUE ($B) | GROWTH RATE | MARKET PENETRATION |
|---|---|---|---|
| Constant Bottom Hole Pressure | $2.85B | 3.7% | 73% |
| Dual Gradient Drilling | $811.20M | 3.7% | 40% |
| Mud Cap Drilling | $677.90M | 3.7% | 54% |
| Return Flow Control Drilling | $407.60M | 3.7% | 53% |
* Revenue projections based on 2025 estimates. Growth rates represent CAGR 2024–2030. Market penetration indicates current adoption rate within addressable market segments.
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Analytical insights on Managed Pressure Drilling Market covering market dynamics, competitive landscape, and strategic outlook.
The Managed Pressure Drilling Market market is projected to reach $4.75B by 2023, growing at 3.7% CAGR. The Constant Bottom Hole Pressure segment holds the largest share.
Global MPD market is expected to witness excellent growth during the forecast period with the changing trends of the oil and gas industry. Besides, there is a continuous rise in the number of drilling activities from the offshore locations, worldwide and the drilling operation in offshore locations require huge precautions related to well pressure management. Moreover, the upstream players are pouncing upon the asset acquisition of shale fields as shale is proven alternative for conventional crude oil. This has created opportunities for MPD service providers as fracturing process for shale rock drilling is a risky operation. Furthermore, the continuous developments in the oil drilling technologies are expected to create opportunities for the market.
The global oil industry has been evolving very fast after the major downturn of 2014 oil price shock. There has been a global rise in demand for oil due to the increased demand from the emerging economies and industrialization. Moreover, the OPEC’s extended production cut has provided an opportunity to the national oil companies and independent players of upstream players to gain profit margins. This has directly enhanced the service quality of the oilfield service providers. According to a study preformed by rigzone the total count of offshore rigs in January 2018 was around 1,300. The regional breakdown of the offshore rig count is depicted below:
The total number of wells drilled in Canada in 2017 was 7,550 and according to the Petroleum Services Association of Canada, that the number of wells drilled is expected to reach up to 7,900 in 2018. Similarly, in 2017 the total number of wells drilled in the US had been estimated at 24,186, while according to World Oil, the number of wells is expected to increase up to 27,095 in 2018. Moreover, the rising offshore rig count is positively affecting the growth of MPD market. The upstream operators are focusing on offshore location at the farthest and the deepest areas to produce oil as the offshore locations are appropriate for maximum reserve optimization, meanwhile operators have their operations expanded at vast areas. Hydrocarbon exploration and production operators are focusing on expanding their production rate from the existing wells and by drilling new wells. Thus, MPD activities have been developing very fast in the offshore region. For instance, in 2017, offshore classification organization ABS awarded Seadrill’ West Capricorn drilling unit with MPD notation to support new drilling technologies and standards.
Furthermore, the continuous offshore rig count has been increasing gradually. In January 2018, the total offshore working rig count was 376. Gulf of Mexico and North Sea have been the hub of new discoveries for the oil and gas resources and major operators are competing to gain assets in these areas. This has raised investments in the offshore region. Since the deepwater and ultra-deepwater well drilling require MPD to maintain the optimum flow of production and to enhance the rate of penetration, the increasing discoveries have proven advantageous to MPD service providers. In March 2018, Shell and Chevron announced new discovery in Gulf of Mexico. More exploration activities are going on in Ballymore, North Platte, and Anchor region in the Gulf of Mexico. The current recovery of oil prices and the OPEC’s extended production cut leading to limited production bandwidth have increased the drilling operations in oil and gas wells, driving the MPD market.
Shale oil and gas drilling is growing aggressively, as in 2017, the shale gas production contributed to 47% of total natural gas production. For many countries that are targeting the emissions cut, use of shale fuel is an opportunity to strengthen the energy security, simultaneously reducing the dependency on the conventional fuels. Many nations are considering shale gas production as an excellent alternative to the natural gas production, for supporting the export requirement and bridging the demand and supply gap of natural gas. For an instance, according to EIA, monthly dry shale gas production from the US has been estimated to be 55 bcf, per day.
Extraction of shale poses various risks to the environment and involves the use of raw materials and technological assistance. For instance, hydraulic fracturing process for shale production requires a large amount of water. MPD technology, is a solution to the various operational difficulties in the shale production. Thus, the expanding shale production from emerging economies such as Argentina, China, India, South Africa, and Mexico leaves opportunities for shale production operators to implement MPD technology.
MPD technology requires high technical skills to mitigate risks related to pore pressure, mud weight and losses, and low rate of penetration during the drilling operation. Moreover, it is suitable for deepwater wells and high-pressure high temperature wells. Underbalanced drilling is a major drilling technology that dominates the well drilling market. MPD technology requires higher investment in R&D and the adoption of the right technique since each technique has specific drilling purpose in a particular oil well. Moreover, the operating cost of MPD implementation in any oilfield are high enough to restrict the extensive use of technology. MPD technology that is supposed to avoid the unwanted well pressure that leads to losses, also involves high operational and technical complexity. While manual chokes have been the major form of controlling MPD operations since the introduction of MPD technology, it has been observed that the manual methods are better in cases when the operators’ skills and level of experience are enough for maintaining the artificial pressure conditions.
The use of MPD is prevalent in deepwater and ultradeep water drilling operations. However, the solution involves operational challenges associated with the automation of the process and data collection. This is expected to act as a restraint in the global MPD market during the forecast period.
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Profiles of 108 companies operating in the Managed Pressure Drilling Market market, including revenue, employee count, and market positioning where available.
Showing 108 of 108 companies
Ensign Energy Services
Company Headquarters: Calgary, Canada Founded: 1987 Workforce: 8,500 (2016) Company Working: Ensign Energy Services is an oilfield service provider to the oil and gas industry and operates, globally. The company operates in Canada in the provinces of Alberta, British Columbia, Yukon, Manitoba, Saskatchewan, and Northwest Territories. In the US, it operates in the states of California, North Dakota, South Dakota, Pennsylvania, and New Mexico. Internationally, Ensign operates in countries such as Venezuela, Oman, Kurdistan, Argentina, and Australia. It offers a wide range of oilfield services including oil sands coring, drill and well servicing, underbalanced drilling, MPD, directional drilling, wireline services, production testing services, equipment rentals, and transportation. The company operates in many regions through its subsidiaries, some of them being Ensign Drilling Inc, Ensign Argentina S.A., Ensign de Venezuela C.A., Ensign Australia Pty Limited, Ensign International Energy Services LLC, Tristate (Barbados) Holdings Inc., Ensign United States Drilling Inc, and OFS Canada Inc.
Nabors Industries Ltd.
Company Headquarters: Hamilton, Bermuda, UK Founded: 1952 Workforce: ~15,000 Company Working: Nabors Industries Ltd is one of the leading global drilling rig (offshore and onshore) fleet providers. It offers directional drilling services, innovative technologies, and performance tools for itself and third parties. The company is well positioned in the competitive market with its seamlessly integrated downhole hardware, equipment, and software solutions, which are required for designing rigs. It offers a variety of software solutions to its clients for drilling data analytics, RigCLOUD platform, equipment condition monitoring software, fuel management, and directional drilling. Additionally, in the equipment segment, the company offers automated surface equipment, downhole tools, and automated floor systems. Its rig instrumentation software systems help enhance drilling performance and wellbore placement. Nabors Industries Ltd has smart drilling techniques, which provide benefits such as real-time monitoring, user-friendly interface design, intelligent alarms, synchronized top drive operating data, and integration with other downhole technologies for streamlined management. Its overall smart well systems include wiring, sensing, and decoding devices that are integrated with the value chain. As a global player, the company is currently working with approximately 407 marketed rigs for land-based operations in the US and Canada and 23 other countries across the world. Nabors Industries Ltd. specializes in wellbore placement solutions and offers directional drilling and Measurement While Drilling (MWD) systems and services for clients all over the world.
Weatherford
Company Headquarters: Texas, US Founded: 1941 Workforce: ~29,500 Company Working: Weatherford International is one of the largest multinational in oil field and service companies, which offers innovative solutions, technology and pioneer services to the oil and gas industry. The company operates through the following product and services segments: formation evaluation, drilling, completions, productions, abandonment, tubular running services, rigs, rig equipment and software. It offers a variety of drilling services including surface logging systems, closed-loop drilling, rental tools and services, drilling waste management, pressure control, liner system, cementing and drilling optimization. Weatherford’s product and services provides includes Artificial Lift Systems, Testing and Production Services, Completion Systems, Cementing Products, Surface Logging Systems, Intervention Services, and Reservoir Solutions. Weatherford offers MPD of two types, namely semi-automated and automated. The company has a wide operational portfolio, which is segmented regionally as western and eastern hemisphere, across the globe. It is embracing automation, and digitalization, including technologies such as big data, Internet of Things, and machine learning to enhance the exploration and production process. It operates in over 90 countries and has facilities in over 860 locations, which include research and development, service, manufacturing, and training. The companies MPD product portfolio includes subsea and surface rotating control devices.
HALLIBURTON
Company Headquarters: United States Founded: 1919 Workforce: 45,000+ Company Working: Halliburton Inc. is a global leader in the energy and gas industry, with operations in more than 70 countries and a headquarters in Houston, Texas. Since its foundation in 1919, Halliburton has become a significant oil and gas industry player. Halliburton offers various products and services to facilitate oil and gas exploration, drilling, and production. Its services include drilling, well completion, reservoir characterization, artificial lift systems, and well intervention. Additionally, the firm provides consulting services to oil and gas companies to optimize their operations. With a dedicated research and development team and partnerships with prominent universities and research institutions, Halliburton strongly emphasizes innovation. The company has developed several cutting-edge technologies to improve oil and gas industry efficiency, cut costs, and increase safety. In addition to its commitment to sustainability, the company has set ambitious goals to reduce its environmental impact. Halliburton aims to reduce emissions, enhance energy efficiency, and promote sustainable business practices. Halliburton has a strong emphasis on customer satisfaction and a global presence. The company collaborates closely with its customers to identify their requirements and develop individualized solutions to assist them in achieving their objectives. Its global reach enables it to provide regionally-specific support and services to its consumers.
SCHLUMBERGER LIMITED
Company Headquarters: Sugar Land, Texas, US Founded: 1926 Workforce: ~100,000 Company Working: Schlumberger Limited is one of the largest oilfield service providers. Schlumberger operates in four segments, namely reservoir characterization group, drilling group, production group, and Cameron. The drilling segment of the company deals with technologies involved in the drilling and positioning of oil and gas wells. Mi SWACO, a subsidiary of Schlumberger, provides engineered MPD solutions to the company. Schlumberger offers a wide range of drilling services including directional drilling, drilling optimization, rhino integrated borewell enlargement system, MPD, coiled tubing directional drilling, casing-drilling, liner-drilling and seismic-guided drilling. The bits and drilling tools segment of the company designs, manufactures and markets, fixed cutter and roller cone drill bits for the company. The drilling tools manufactured by the company include equipment for bottom hole assembly, impact tools, and borehole enlargement technologies. Drilling and Measurements provides logging services for drilling and geological surveillance, logging-while-driving and directional drilling, for wells of all types. Land rigs provide rigs for onshore drilling and related support services. Integrated Drilling Services (IDS) supplies all the services necessary to make changes to the well. All aspects of drilling rig management, procurement, logistics, engineering, well drilling, well planning and contracting of third parties are covered by IDS. Cameron International, Smith International (North Sea), Schlumberger oilfield Holdings Limited, and Schlumberger B.V., Netherlands are some of its subsidiaries. It operates in over 140 nations, such as the US, France, India, and the UK. Some of its major competitors are Halliburton (US), General Electric (US), Newpark Resources Inc. (US), and National Oilwell Varco Inc. (US).
Enhanced Drilling Services
Company Headquarters: Straume, Norway Founded: 2013 Company Working: Enhanced Drilling Services (EDS) provides drilling services and technology to the international oil and gas industry. EDS operates through three operational segments, which are enhanced drilling, cannseal and group/others. Cannseal technology is mainly used in mature oilfields to seal off the inflow of water and gas. The company offers a wide range of oilfield capabilities including MPD, dual gradient drilling, cementing, clean-up operations, safety enhancement technology, and mud removal technology. EDS has worked on more than 600 wells in its lifetime with its RMR and CTS technology. The company has offices and workshops in various countries including the UK, the US, Australia and Azerbaijan. Also, the company has workshop in Canada and an office in Malaysia.
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Managed Pressure Drilling Market