Fracking Fluids Market Expected Up to $20.4 Billion in 2018

[209 Pages report] Fracking Chemicals & Fluid Market report categories the global market by Fluid & Well Type, and Chemicals (Acid, Surfactant, Biocide, Gelling Agent, Cross Linker)


Dallas, TX -- (SBWIRE) -- 03/07/2014 -- The report "Fracking Chemicals and Fluid Market by Fluid & Well Type, and Chemicals (Acid, Surfactant, Biocide, Gelling Agent, Cross Linker, Breaker, Scale & Corrosion Inhibitor, Clay & Iron Control, Friction Reducer) — Global Trends & Forecasts to 2018" defines and segments the fracking fluid and chemicals market with an analysis and forecast of the volumes and revenue. The fracking fluids market revenue will grow to $20.4 billion by 2018, with a CAGR of 9.6% from 2013 to 2018. The global fracking chemicals market was estimated to be 1,700 KT in 2012.

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The market for fracking is highly consolidated with the top three players capturing more than half the market. The fracking fluids and chemicals are either manufactured by the hydraulic fracturing service provider themselves (vertical integration) or sourced from a chemical manufacturer. Hence, the market for fracking fluids and chemicals is fragmented with a number of players in the market. The chemicals used in the fracking process are for specific purposes and are categorized under purpose or functional group. The chemicals under each functional group can be substituted with other chemicals with similar properties. These chemicals and fluids are easily available and can be sourced locally, but the chemical companies have created specific divisions for oil and gas to provide these chemicals with enhanced properties resulting in better formation conditions and increased recovery of oil and gas.

Potential increase in the recoverable resources and production is the most important driver for the fracking market. This technique is used in recovery of both oil and natural gas but is predominantly used in the recovery of unconventional gas. Now-a-days natural gas is called transitional fuel for being the chain between conventional resources and renewable energy. This proves to be an advantage to the international natural gas market and hence to the hydraulic fracturing market.

The trends in drilling have also been changing from vertical to horizontal as the unconventional reserves are being developed. The unconventional oil and gas resources such as shale gas require horizontal drilling to cover a larger surface area, increasing the rate of production of gas. The horizontal wells require more amount of fracking fluids and chemicals when compared to vertical wells. These increasing trends in horizontal drilling in unconventional reserves will in turn drive the demand of fracking fluids and chemicals.

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