Packers & Plugs

Primarily used during completion or well intervention, a plug is required to isolate a part of the wellbore from another part; for instance, when a job is carried out on the upper section of the well, the lower part of the wellbore must be isolated and plugged, i.e. zonal isolation in a well.

Swellable Packers
Inflatable Packers
Intelligent Completion
Dual String Packers
Mechanical Packers
Bridge Plug
Cement Plug
Frac Plug
Zonal Isolation
Gravel Packs
Sand Control
Sand Screens
Open-hole packer

Category Description Image

Category Description

Primarily used during completion or well intervention, a plug is required to isolate a part of the wellbore from another part; for instance, when a job is carried out on the upper section of the well, the lower part of the wellbore must be isolated and plugged, i.e. zonal isolation in a well. Plugs can be temporary or permanent; the former can be retrieved, whereas the latter has to be drilled out. There is a number of types of plugs, namely bridge plugs, cement plugs, frac plugs, and disappearing plugs. Plugs can be set using a wire-line, coiled tubing or drill pipe.

Used during completion, a packer serves the purpose of sealing off the area between production tubing and casing and the wall of the wellbore. A primary reason to run a packer is to prevent formation fluids going up the wellbore, which could otherwise damage the casing or other formations in the well, be it below or above the production zone. The packer can also serve as an anchor point for production tubing.

Packers can be retrievable or permanent (production). Retrievable packers are used in a less challenging and less hostile environment and where frequent well re-completion is required, or when there is another activity carried out in a well, such as well stimulation or cement squeezing, or to isolate leaking zones. Permanent packers are required at all times when a well is producing, and are generally technically superior and offer far better performance capabilities than retrievable packers.

Production packers are set just above the perforation area and very close to the bottom of the production tubing. In a multi-zone well completion, production packers are set between multi zones. In injection wells, packers isolate the areas into those in which injection fluids are pumped, hence service packers may be used as well.

There is a number of various technologies used in packers for various applications, namely Swellable Packers, Inflatable Packers, Hydraulically Set Packers, Intelligent Completion Packers, Sand Control Packers, Dual String Packers, Sealbore packers and Mechanical Packers.

Production tubing string or a wire-line is used as the deployment tool to run any packer.

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Risks & Opportunities

The suppliers and manufacturers of packers are in the best position to design and advise on the type of packer and material selection to best meet specific well's conditions and requirements. The choice is driven by a large variation in materials, tensile requirements, and designs available.

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Supply & Demand Dynamics


The demand for packers and plugs is affected by two factors: 1) new well completion and 2) work-over (well intervention). With drilling activities worldwide (especially in the USA) declining, but balanced by continuous efforts on maintaining and maximizing production within existing oilfields, the demand for packers and plugs is expected to drop in the short term, but remain robust in the long term. 

Coupled with superior performance and improvements in technology, production (permanent) packers are becoming more reliable and are now more in demand compared to retrievable packers. As a result, production (permanent) packers are the most widely used worldwide and should dominate the demand in this category.

The GCC region represents one of the smallest markets for completion equipment as a whole. Yet, even here, packers are the highest spend category. While non-conventional drilling activities are less relevant to the GCC, well intervention and the re-development of fields to maintain production are the key drivers. Retrievable packers and plugs dominate the market in the GCC, since milling out permanent packers is very costly, compared to retrievable ones.


There is a number of companies that manufacture packers and plugs. Due to the relatively low complexity technological process, manufacturers tend to position their plants near major oil and gas sites, i.e. close to the actual oilfields.
While there are a few property-protected technologies, in general, the market for packers and plugs is highly competitive with a significant number of suppliers.

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Cost & Price Analysis

Price Analysis
Over the past few years, the prices for packers and plugs have shown a downward trend due to relatively small demand, high competition and a decline in commodity prices, such as steel and rubber.

The prices for packers are driven by their application and/or a unique design that is applicable to a particular field. Temporary/retrievable packers cost more than permanent packers due to the complexity of the design. Prices for packers range from US$5,000 to US$300,000 each, depending on their application, i.e. HP/HT, H2S content, chemical resistance. Plugs range in prices from US$2,000 to US$50,000. Packers made of special alloys (Inconel, Monel, etc.) can cost up to US$300,000 and require a lead time of up to one year to be delivered.

Cost Analysis
Packers are made of steel and elastomers/fluoroelastomers (high-quality synthetic rubber), with the rubber representing around 50% of the cost of the packer. The steel and rubber grades used during manufacturing are dependent on the application requirements and are driven by the hostility of the environment, i.e. HP/HT and H2S content. The metals used are low-alloy steels, high nickel alloys, chromium grade alloys, PH stainless steels, and cast iron. Up to 10 components may be included when manufacturing elastomers, with the major component being polymer as an alternative to natural rubber. 

Most plugs are made of composite materials, cast iron, brass, aluminium, and rubber. Hence, these products are highly driven by commodities prices.

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Total Cost of Ownership

The procurement of packers and plugs historically has been fairly direct, with a clear market structure and no hidden risks and costs. There is a significant number of manufacturers of packers and plugs worldwide.

Some important considerations for TCO evaluation are:

  • Mill-out efficiency of plugs/packers. This is important as it will affect the cost to mill-out when required at a later stage, since the longer it takes to remove the plug/packer, the more it will cost in terms of the equipment and deployment tools to remove the plug/packer
  • Time required to retrieve packers/plugs. Although lower priced permanent packers may be cheaper than retrievable packers, it is important to consider the time required to retrieve packers/plugs later on, if required
  • Manufacturing quality and raw materials. This is of utmost importance as a low-cost packer/plug can cause very long delays if they fail to meet the sealing requirements
  • Potential damage. Damage is a significant issue, particularly in a hot climate, as the rubber components may dry and lose their qualities very fast
  • Meeting the right specification and not overspecifying. When selecting the elastomer/fluoroelastomer and steel grades it is critical that they meet all the down-hole conditions, but do not need to exceed what is needed. Overspecifying can have a significant impact on prices and lead times.



  • Use standardized products and optimize the inventory and utilization
  • Locate manufacturers close to oilfields, in order to minimize transport costs
  • Some packers are critical and know-how and expertise are important
  • The learning curve followed with manufacturers in designing and manufacturing the most effective packers is vital, hence changing contractors frequently may not be beneficial
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