Frac sand is a kind of high-purity quartz sand that is highly sturdy and has round grains. It is a crush-resistant material that is produced by the petroleum industry for use in the hydraulic fracturing process, which is known as fracking, to deliver oil, flammable gas, and natural-gas fluids from rock units that need sufficient pore space. Globally, the demand for frac sand will be modified by the increasing stimulation of new oil and natural gas wells by the hydraulic fracturing process.
Frac sand is a proppant used as a part of the hydraulic fracturing process of oil drilling. The hydraulic fracturing technique is used as a part of separating oil-based products like oil and flammable gas trapped in rock formations with low porousness. With the development of innovative advances in oil extraction, the market for frac sand is foreseen to have a positive outlook in the coming years. Since the extraction of oil and natural gas from traditional sources has been encountering a decline, it has led to the production of oil from unconventional resources, for example, shale, silica sand, and tight sandstone.
As of recently, oil and gas production from these resources was not thought to be a monetarily reasonable alternative. Unlike the regular oil reserves, oil and gas in these tight petroleum reservoirs don't stream normally through the rocks, making them difficult to extricate. Be that as it may, the introduction of hydraulic fracturing has changed the oil and gas industry, particularly in the US, where shale gas is produced in huge volumes at relatively low expenses.
Commercialization Of Unconventional Resources In Emerging Economies To Drive Market Growth
One of the rising trends spurring the growth prospects for the overall market is the commercialization of unconventional resources in emerging economies. The unconventional oil and gas extraction methods have been popularized by the augmented demand for oil products from the emerging economies of China, India, and the Middle East and Africa. Besides, these countries are also witnessing an increasing demand for energy, driven by the rising income levels. It has been estimated that by 2020, around 3.5 million jobs will be created in the U.S. with the development of unconventional oil and natural gas resources in the region. Because of its impact on employment, the unconventional oil and gas industry isn’t just making a contribution to the economic recovery in the U.S., yet additionally boosting its competitive edge in the global economy, which is expected to translate into the increasing demand for frac sand over the coming years.
North America Accounted For The Largest Share Of The Market
On the basis of the geographical analysis, North America dominated the global frac sand market and held over 74% of the overall share of the market, in terms of volume. The growth of the market in this region can be attributed to the positioning of shale gas as an available source of natural gas. In North America, the U.S. is the most dominating nation both in terms of production and consumption. Besides, the vendors in this region are increasingly focusing on reducing the operational costs. They have also inclined more towards the transportation of mined frac sand, which has emerged as a new profitable business for the companies involved in the production of frac sand. Additionally, it has led to an increasing focus on the storage and last-mile delivery of frac sand. This will contribute to the growth of the market in the North American region.