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Global Downhole Tools Market - Industry Analysis and Forecast (2019-2026) The oil and gas application segment is dominating the global downhole tools market. Downhole tools are used for the effective and efficient production of oil & gas. The worldwide oil and gas industry is a key segment of the energy market and covers the locating, drilling, refining, delivering, and marketing of oil and gas products. Oil meets much of the world’s demand for energy, around a third in Europe and Asia and over half in the Middle East.