The Freedonia Group, a market research company, presents a new study on worldwide well stimulation materials market. The global demand for this market is expected to rise approximately 14% per year and will reach $11.1 billion in 2015.
The demand rise will be mainly driven by high oil prices that increase drilling work. It is expected that Canada will show a faster growth as it has started to recover from a major decline in oil and gas activity in the past few years.
U.S. will continue to remain the leading well stimulation materials market. In 2010, the U.S. produced nearly 13% of total oil and gas in the world. The study also shows that oil drilling activity will continue to develop considerably and gas drilling will be continued by shale gas formation initiatives.
Shale gas provides possibilities to increase well stimulation materials demand outside the U.S. Hydraulic fracturing is a simulation process used to produce shale gas and oil from deep formations.
The study reveals that proppants are chief well stimulation materials and account for about half of the global demand. They are available in sand or ceramic form. The demand for this category materials has been high in 2010 and early 2011.