Dublin, Aug. 26, 2024 (GLOBE NEWSWIRE) -- The "North America Proppant Market, By Country, Competition, Forecast & Opportunities, 2019-2029F" report has been added to ResearchAndMarkets.com's offering.
The North America Proppant Market was valued at USD 4.76 billion in 2023 and is anticipated to project robust growth in the forecast period with a CAGR of 8.20% through 2029
Their outstanding attributes include resistance to heat and chemicals, exceptional conductivity, and remarkable strength, which collectively enhance the extraction of oil and gas from these wells. To achieve this, proppants are introduced into oil and gas-bearing rock formations under high pressure, approximately 12,000 psi, along with fracturing fluid. Here, they firmly secure and extend the fractures, ultimately resulting in the rapid flow of natural gas and crude oil to the surface of the well. The convergence of these factors collectively contributes to the growth of the North America Proppant Market within the forecast period.
The United States will witness the fastest growth during the forecast period, 2025-2029. The demand for proppants in the United States has experienced a remarkable surge in recent years, closely tied to the country's robust oil and gas production activities. The U.S. has become a global leader in energy production, primarily driven by the proliferation of hydraulic fracturing, or fracking, in shale formations. This surge in domestic oil and gas output has intensified the need for proppants, as they are an indispensable component of the fracking process. With the vast shale reserves in regions like the Permian Basin, Marcellus Shale, and Eagle Ford Shale, proppants have played a critical role in creating and maintaining fractures in the underground rock formations, enabling the efficient extraction of hydrocarbons.
The proppant market in the U.S. has, therefore, witnessed exponential growth, driven by factors such as increased drilling activities, advancements in fracking technology, and a strong emphasis on energy independence. As the U.S. continues to be a global energy powerhouse, the demand for proppants is expected to remain robust, further solidifying their pivotal role in ensuring the nation's energy security and economic growth while meeting the world's escalating energy needs.
Technological Advancements
Advancements in technology have had a profound impact on the North America proppant market. Innovations in fracking techniques, such as multi-stage fracturing and longer laterals, have increased the demand for proppants. Additionally, the use of data analytics and automation in drilling and completion operations has led to more precise proppant placement, optimizing well productivity. These technological advancements are expected to continue driving the proppant market's growth and efficiency.
Oil and natural gas were formerly obtained using conventional extraction methods. The rising implementation of unconventional oil and gas extraction methods that require advanced and lightweight proppants that facilitate resources to flow smoothly, is creating lucrative opportunities for the growth of proppant market. Modern ceramic proppants engineering plants make lightweight ceramic proppants using high-quality oxidized kaolin clay and modify them to be commercially feasible. In addition, producers are introducing new fracking methods like horizontal multistage fracturing. These strategies foster a positive perspective for the market because it is anticipated that it is going to gain traction in the coming years.
Traditionally, the North America proppant market primarily relied on ceramic proppants due to their high strength and conductivity. However, in recent years, there has been a notable shift towards sand proppants, mainly driven by cost-efficiency. Sand proppants are more abundant and cheaper to produce compared to ceramics, making them an attractive choice for hydraulic fracturing operations. This trend has been particularly significant in the Permian Basin and the Eagle Ford Shale, where operators are seeking cost-effective solutions to maximize production.
High-Performance Ceramic Proppants
While sand proppants have gained popularity, the demand for high-performance ceramic proppants has not waned. Manufacturers have been investing in research and development to enhance the strength and conductivity of ceramic proppants, making them more competitive with sand. These advanced ceramics can withstand higher pressures and temperatures, making them ideal for deep and challenging reservoirs. The North American proppant market is witnessing a bifurcation between cost-effective sand proppants and high-performance ceramics, catering to a diverse range of reservoir conditions.
Additionally, one of the most significant trends in the North America proppant market is the growing emphasis on environmental sustainability. Hydraulic fracturing has faced criticism due to its environmental impacts, such as water contamination and induced seismicity. As a result, there is a push for more sustainable practices within the industry. This has led to the development of eco-friendly proppants, such as recycled ceramics and biodegradable alternatives. Companies are increasingly adopting these sustainable proppants to reduce their environmental footprint and comply with regulatory requirements.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 120 |
| Forecast Period | 2023 - 2029 |
| Estimated Market Value (USD) in 2023 | $4.76 billion |
| Forecasted Market Value (USD) by 2029 | $7.66 billion |
| Compound Annual Growth Rate | 8.2% |
| Regions Covered | North America |
Report Scope:
Key Market Players
- US Silica Holdings Inc.
- Smart Sand Inc.
- Badger Mining Corporation
- Covia Corporation
- Hexion Inc.
- US Ceramics, LLC
North America Proppant Market, By Type:
- Frac Sand
- Resin Coated Frac Sand
- Resin Coated Ceramic Proppants
- High Strength Ceramic Proppants
North America Proppant Market, By Application:
- Shale Gas
- Coalbed Methane
- Tight Gas
- Tight Oil
- Deep Gas
- Others
North America Proppant Market, By Country:
- United States
- Mexico
- Canada
For more information about this report visit https://www.researchandmarkets.com/r/1snozh
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