The fracking fluid and chemicals market is estimated to be valued at US$26.724 billion in 2020.
The global Fracking Fluids and Chemicals Market is expected to grow rapidly, owing to a shift in drilling wells from vertical to horizontal drilling, an increase in research and development initiatives for manufacturing environmentally friendly fluids and chemicals and expanding demand for power and fuels. Fracking fluid is a chemical combination used in drilling operations to increase the number of hydrocarbons that may be extracted. The fluid protects the well against deterioration. Among other things, it lubricates the extraction process and avoids blockages and bacterial growth.
After oil and gas resource drilling is done, hydraulic fracturing fluid and chemicals are used. The conventional or non-conventional composition of oil and gas well fracturing involves adding fluid and chemicals to stimulate the oil and gas well. Hydraulic fracturing has allowed older oil and gas fields with high production rates to produce oil and gas more effectively. Hydraulic fracturing can also be employed to recover oil and gas from geological compositions that were previously impossible to reach. Fracking fluid and chemicals also help maintain stability by reducing pressure loss caused by friction.
The rising consumption of natural gas is predicted to be a major driver of growth in the worldwide fracking fluid and chemicals industry. Chemicals for fracking are blended with various additives based on the needs of the fracturing operation. As the drilling operation progresses, additives such as enzymes and oxidizers are inserted to allow fluid backflow. By weakening the gelling effect, oxidizers and enzymes reduce the viscosity of the fracturing fluid. Natural gas is commonly used in residential and commercial locations, primarily for heating. However, natural gas is also used as a raw material in the industrial sector, for example, by fertilizer producers. The electrical industry is anticipated to be the primary user of natural gas. Natural gas is predicted to supply the world's growing electricity demand while emitting less CO2 than coal. Over the projected period, the market is likely to be driven by an increase in the usage of unconventional gas and oil resources such as shale and CBM.
The global market is expected to be hampered by strong opposition because of the detrimental effects of hydraulic fracturing on the environment. Climate change, air pollution, increased earthquake risk, increased water usage, and water contamination are expected to be just a few of the market's main challenges. The fracking fluid used has many harmful effects on the environment, due to which the usage of fracking fluid and chemicals is expected to impact the growth of the market. Hydraulic fracturing has been subject to stringent laws in several countries. This issue is also predicted to pose some challenges to market expansion.
Water-based, foam-based, gelled-oil-based, and other segments make up the market. The growth of water-based fracking fluid is high during the forecasted period. The variables linked to the expansion of water-based are due to a growing awareness of fracking fluid toxicity and biodegradation. The main growth factor of water-based fracking fluid is expected to be its quality to avoid transmission loss and avoid erosion of weak formation rock.
The global Coronavirus (COVID-19) epidemic has impacted every aspect of life. Several changes in market conditions have resulted as an outcome of this. The COVID-19 epidemic prompted the imposition of strict lockdown laws, the shutdown of many activities, and travel restrictions in many countries, causing a halt in the import and export of fracking chemicals and fluids.
The total market volume is predicted to be dominated by North America. Because the region's drilling sector is well-developed, the region's need for fracking chemicals is likely substantial. The United States, in particular, has well-established drilling and exploration business and is consequently expected to have a major portion of the global market.
Over the forecasted period, it is expected that the Asia Pacific region will develop in terms of revenue owing to growing energy consumption and use and is projected to continue to be a significant driver of market expansion. In the forecasted period, European oilfield production is expected to rise because of oil production opportunities rising in the North Sea. A number of oilfield development projects in unconventional and offshore reserves, as well as a high rate of mud-cap drilling in the region, are expected to benefit the fracking fluid and chemical market globally.
|Market size value in 2020||US$26.724 billion|
|Growth Rate||CAGR during the forecast period|
|Forecast Unit (Value)||USD Billion|
|Segments covered||Fluid Type, Well Type, Application, And Geography|
|Regions covered||North America, South America, Europe, Middle East and Africa, Asia Pacific|
|Companies covered||Baker Hughes Incorporated, Halliburton Company, Schlumberger Ltd., E.I. du Pont de Nemours and Company, Pioneer Engineering Services, BASF SE|
|Customization scope||Free report customization with purchase|
Key Market Segments
Frequently Asked Questions (FAQs)
Q1. What is the size of the global fracking fluid and chemicals market?
A1. The fracking fluid and chemicals market was valued at US$26.724 billion in 2020.
Q2. Who are the major players in the fracking fluid and chemicals market?
A2. Prominent key market players in the fracking fluid and chemicals market include Baker Hughes Incorporated, Halliburton Company, Schlumberger Ltd., E.I. du Pont de Nemours and Company, and Pioneer Engineering Services, among others.
Q3. How is the fracking fluid and chemicals market segmented?
A3. The global fracking fluid and chemicals market has been segmented by fluid type, well type, application, and geography.
Q4. What factors are anticipated to drive the fracking fluid and chemicals market growth?
A4. The rising consumption of natural gas is predicted to be a major driver of the global fracking fluid and chemicals market growth.
Q5. Which region holds the largest market share in the fracking fluid and chemicals market?
A5. North America is expected to dominate the fracking fluid and chemicals market because the drilling sector is well-developed, and the region's need for fracking chemicals is likely substantial.
Baker Hughes Incorporated
E.I. du Pont de Nemours and Company
Pioneer Engineering Services
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