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Wireline / well-service tools
What it is
Equipment and services deployed into an existing oil or gas well - logging tools on wireline, perforating guns, packers, coiled tubing and workover equipment. It maintains and enhances production from wells already drilled
It is distinct from drilling, which creates the well
Impact on industries
- Demand follows the installed base of producing wells rather than new drilling, so it is far steadier than rig activity
- Ageing Indian fields need intervention and enhanced recovery, which raises well-service intensity per barrel produced
- Dominated globally by a few integrated oilfield service majors with proprietary tools and long operator relationships
- Customer base is essentially two national oil companies, so pricing power sits with the buyer