Oil well drilling equipment manufacturing challenges still await

Overall, this year Is poised to be challenging for the oil drilling equipment manufacturers. Continuing uncertainty over oil prices, regulations and Infrastructure expansions will encourage companies to focus on Internal operations and rely on order backlogs to generate the bulk of their revenue. The largest companies In the Industry, Including Halliburton, National Ollwell Varco and Cameron International, will continue to pursue acquisitions and cost management strategies to navigate the low price environment. However, the cyclical nature of the oil Industry is well understood by Industry operators, and as a result, IBISWorld anticipates the Industry to perform strongly once oil prices recover and existing oil drilling equipment is decommissioned. Industry operators will continue to emphasize efficient drilling equipment and technology, as more efficient machinery typically coincides with higher cost effectiveness and safety standards.