The North America fracking chemicals market is expected to grow at a CAGR of approximately 8.77% during the forecast period. Factors such as high active rig count, longer lateral lengths, increased number of frac stages per well, and the amount of fracking fluid used per frac stage are expected to drive the market. Moreover, the market is expected to be driven by the completion of a large number of uncompleted wells in the United States. However, volatile crude oil prices and the environmental risks associated with hydraulic fracturing are restraining the hydraulic fracturing services market and, in turn, the fracking chemicals market in North America.
– The water-based fracking fluid accounts for the largest share in the North America fracking chemicals market, owing to several advantages over other types and being the most preferred type in shale gas plays, in turn augmenting the market growth.
– Alternative fracking techniques, like waterless fracking, are expected to create ample opportunities in the market studied. The companies are witnessing an increase in R&D spending, to find a suitable alternative to freshwater usage. Similar trends are being witnessed in the usage of green chemicals, propane gel, and other technologies, thus creating substantial growth opportunities.
– United States was the largest crude oil producers in the world, in 2019. During the past decade, the shale drilling regions of the United States have expanded the use of horizontal and directional wells, further driving the fracking chemicals market in the country.
Get the inside scoop with Sample report– https://www.sdki.us/sample-request-86846
Key Market Trends
Water-Based Fluid Segment to Dominate the Market
– Among different fluid types, water-based fracking fluid accounts for the largest market. This type of fluids has a lower viscosity than normal water and achieves complex fracture structures often connecting to primary fractures, which enhance the permeability around the wellbore, substantially.
– Moreover, for fracturing in shale gas plays, the water-based fluid is predominantly used fracturing fluid. For the gas fields, the slickwater type water-based fluid is commonly used. For shale oil, water-based fluids contain the polymers and crosslinkers to increase the viscosity of fracking fluids, required for relatively high-pressure shale oil fields.
– As of 2018, the United States continued to lead the global shale gas production. Pennsylvania and Texas account for more than 50% of the shale production in the country.
– During 2008 to 2018, the share of shale gas in total natural gas production of the United States has increased from 16% to 70%. During the forecast period, the shale gas is expected to continue driving the growth of the natural gas production in the country, owing to increasing technological developments in drilling and completion, particularly in the areas of horizontal drilling and hydraulic fracturing.
– Hence, the expected growth in investments for the development of the shale gas fields, particularly in the United States, are expected to drive the demand for water-based fracturing fluids and in turn fracking chemicals during the forecast period.
United States to Dominate the Market
– The United States accounted for the majority of the fracking chemicals demand, on account of a large number of wells being fracked every year. This has been favored by the low breakeven price and technological advancement in hydraulic fracturing.
– The oil and gas industry, especially in the United States, is witnessing a shift from vertical wells to horizontal and directional wells, to increase the productivity from unconventional reserves. Also, the lateral length in the horizontal wells has increased significantly in recent times, resulting in an increase in demand for fracking fluid and in turn fracking chemicals.
– In the United States, during the past decade, the shale drilling regions of the United States have expanded the use of horizontal and directional drilling activities, adding thousands of feet in the lateral run to what previously had been vertical-only drill strings.
– In December 2018, the US shale and tight plays produced 65 bcf/d of natural gas (70% of total US dry gas production) and about 7 mb/d of crude oil (60% of total US oil production). While in December 2008, shale gas and tight oil accounted for 16% of the total US gas production and about 12% of the total US crude oil production.
– Further, the drilling and completion spending in the country has picked up its pace, with the spending reaching USD 138 billion in 2018, representing an increase of around 89% compared to the spending in 2016.
North America Fracking Chemicals Market Size Global Outlook, Business Opportunity, Upcoming Trends, Recent Development, Growth Drivers, Strategy, Key Players, Size, and Forecast 2022-2031
Packaged Substation Market Size Is Estimated To Expand At a Healthy CAGR in the Upcoming Years 2022-2031
Asia-Pacific Package Substation Market Size Inclinations And Development Status Highlighted During Forecast Period 2022-2031
North America LNG Bunkering Market Size: Key Facts and Forecast Predictions Presented 2022-2031
Industrial Control Transformer Market Size Global Industry Trends, Share, Size and Forecast Report 2022-2031
Asia-Pacific Power Market Size Valuable Growth Prospects, Size, Share, Demand and Current Trends Analysis 2022-2031