According to the latest market research report by Technavio, the global frac sand market is expected to grow at a Compound Annual Growth Rate (CAGR) of more than 10 percent until 2020.
In this report, Technavio covers the present scenario and growth prospects of the global frac sand market for 2016-2020. This report provides a list of vendors across all geographical regions that are active in providing frac sand. Vendors are identified based on their revenue and market dominance in terms of experience, geographical presence, product portfolio, financials and R&D.
“Sourcing frac sand from Mexico is an emerging trend in the international market. The proximity of Mexico to oil plays in Texas, a leading location of oil drilling, favors the Mexican market. Frac sand prices and delivery times have increased substantially due to logistics limitations. The frac sand plants in Mexico will resolve these logistics limitation to a great extent over the course of the forecast period,” said Abhay Sinha, one of Technavio’s lead industry analysts.
The frac sand market in North America is in the growth stage. North America is the largest consumer of proppants and accounted for 73.5 percent of the global frac sand market in 2015. The market in the region will grow in the future, mainly because of the positioning of shale gas as an available source of natural gas.
The United States is the dominating country in North America in terms of production as well as consumption, and it is followed by Canada. The abundance of shale plays in the U.S. makes it a shale-rich country. So, the growth in the shale oil industry in the country will likely generate a strong demand for frac sand. Texas, Wisconsin, Minnesota and Illinois are the key shale sources, the report notes.
Global frac sand market by geography (revenue) 2015 (percent)
|North America||73.50 percent|
|Rest of World||4.75 percent|