Geophysical Services Market – Snapshot
Geophysical survey plays an important role in the systematic collection of geophysical data for mineral extraction. Geophysical survey is essential in obtaining magnetic and gravitational fields of the Earth’s interior and topography. Increase in investments in mining and exploration activities is a key factor boosting the demand for geophysical services across the globe. Rise in demand for precious metals such as gold, platinum, titanium, and silver is expected to drive the demand for geophysical services in the near future. Minerals are being excavated at a faster rate across the globe in order to meet the needs of the rising population.
Increase in Investments in Mineral & Mining Industry
Year-on-year growth in mining activities has triggered the demand for geophysical services. Demand for geophysical services for mineral extraction is anticipated to increase owing to the environmental regulations imposed by governments of several countries. Mining of precious metals such as gold, copper, silver, and iron is propelling demand for geophysical services. Increase in mining activities in the U.S. is a key factor responsible for the rise in investments in geophysical services for mineral and mining. High demand for geophysical data acquisition services and increase in investments in the mining sector for geophysics are anticipated to propel the geophysical services market for mineral & mining industry during the forecast period. Primary minerals excavated in the U.S. are copper, feldspar, lithium, silver, gold, iron ore, lead, nickel, beryllium, and molybdenum.
Rise in Usage of Aerial-based Geophysical Surveys
Increase in investment in aerial-based geophysical survey, such as magnetics, gravity, and resistivity, by various end-user industries, especially mineral & mining industry, is expected to boost the market in the next few years. The aerial-based survey segment dominated the market in 2017 owing to the high costs and compatibility with various applications. The purpose of the aerial-based survey is to define the vertical structure and horizontal extent of mineralized zones indicated in the previous soil in order to detect trenches and abnormal anomalies during the field program. Furthermore, governments of several countries are funding and supporting the development and adoption of the latest technologies in the geophysical services market for mineral & mining industry.
Developments & Innovations in Products and Technologies
In February 2017, CGG was awarded a contract by Brunei Shell Petroleum for the period of six months. CGG would provide processing services for 2D, 3D and 4D seismic data acquired onshore and offshore Brunei. It would ultimately enhance CGG’s business in the Asia Pacific region. In June 2018, CGG has completed pre-stack time migration (PSTM) of a 2,500-square-kilometer survey in Block 44 of the Porcupine Basin, west of Ireland. It would ultimately create business opportunities for various companies in untapped regions. In June 2018, Dawson Geophysical Inc. was added to the Russell 2000 and Russell 3000 Indices. The Russell 2000 Index measures performance of the small-cap segment of the U.S. equity market. In February 2015, Dawson Geophysical Inc. completed a strategic business collaboration with TGC Industries, Inc., a seismic data acquisition company with operations in the U.S. and Canada. This step would expand the business of Dawson Geophysical, Inc. in the next few years.
Geophysical Market for Mineral & Mining Industry in North America and Asia Pacific to Expand at Rapid Pace
In terms of region, North America dominated the global geophysical services market for mineral & mining industry in 2017. The U.S. dominates the geophysical services market for mineral & mining in North America, led by the high number of geophysical survey activities in areas such as basins of Oakland, Houston, Seattle, Florida, New York, and Philadelphia. Canada is one of the largest exporters of minerals and metals in the world. It supplies approximately 60 mineral commodities to more than 100 countries across the globe. North America and Asia Pacific are expected to be lucrative regions for geophysical service in the near future. Rise in mineral exploration activities is driving the demand for geophysical services in North America. Asia Pacific is likely to be a highly attractive region for geophysical services owing to the increase in demand for mineral excavation to meet the needs of the rising population.
Highly Competitive Market with Dominance of Leading Players
The global geophysical services market for mineral & mining industry market is highly competitive. Leading players dominate the market. Key players operating in the market include EON Geosciences, Dawson Geophysical Inc., Geotech Surveys, TGS, Phoenix Geophysics, SEA GEO SURVEYS PVT LTD, and Geophysical Survey Systems, Inc.