Global Frac Sand Market Analysis, Share, Trends, Forecast: By Type: White Sand, Brown Sand, Others; By Application: Oil Exploration, Natural Gas Exploration, Others; Regional Analysis; Market Dynamics: SWOT Analysis, Porter’s Five Forces Analysis, Key Indicators for Demand, Key Indicators for Price; Competitive Landscape; 2024-2032

Global Frac Sand Market Outlook

The global frac sand market size reached a value of almost USD 8.94 billion in the year 2023. The market is assessed to grow at a CAGR of 7.50% between 2024 and 2032 to reach a value of almost USD 17.13 billion by 2032.

Key Takeaways

• In 2023, sand mining for construction materials  has surged, tripling in demand over the past two decades to an annual rate of 50 billion tonnes.

• In the U.S., intensive mining  of frac sand occurs in large areas of Wisconsin, Illinois, Minnesota, and Michigan, extracting it from sandstone deposits.

• According to reports, sand is Earth's most mined material , with 50 billion tons extracted annually from various aquatic and coastal environments.

Frac sand is referred to as a naturally occurring type of crystalline silica that is extracted from pure sandstone. The product is used as a proppant in the process of hydraulic fracturing, variously known as fracking, used widely by oil and gas companies to extricate petroleum, natural gas, and related materials through drilling rock or land, known as shale, with a pressurised mixture. It is uniform, round, and has a small grain size, which allows natural fluids to pass through them. It holds an edge over other variants of sand due to its different minerals and rock types, which are less durable than quartz.

The global frac sand market expansion is being driven by the rapid growth within the oil and gas market. In addition to this, unconventional methods such as shale fracturing are largely being adopted to extract oil and gas more effectively, thereby, driving the market growth. Furthermore, manufacturers are constantly involved in research and development (R&D) activities to introduce efficient and high-quality frac sand. For example, manufacturers have developed fine-mesh frac sand, which helps increase the flow of the fluid while it is being released from the shale. It is cost-effective as opposed to resin-coated and ceramic proppants, which is providing impetus to the growth of the market.

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Key Trends and Developments

Increasing hydraulic fracturing activities, technological advancements, a shift towards high-grade frac sand, and the expansion of mining operations are positively impacting the frac sand market growth

Oct 2nd 2023

ProFrac Holding Corp. announced that it was exploring strategic options for its Proppant Production segment, operated by Alpine Silica, including a public offering, sale, merger, or recapitalisation to maximise its value.

Nov 21st 2023

A bankrupt frac sand mining business in south Bexar is set to resume operations following a judge's approval of its reorganisation plan.

Jan 16th 2024

Battle & Sands Energy Corp. acquired property in Northern Bee County for frac sand mining and processing, investing over $10 million and creating 200 jobs.

Feb 28th 2024

Atlas Energy Solutions announced its decision to acquire Hi-Crush's Permian Basin proppant assets and logistics operations for $450 million and become the largest frac sand producer in the U.S.

Increasing Hydraulic Fracturing Activities

The growing demand for oil and natural gas, particularly from unconventional sources like shale formations, has led to an increase in hydraulic fracturing activities, which require large quantities of frac sand.

Technological Advancements in Drilling and Extraction

Advances in drilling and extraction technologies have made hydraulic fracturing more efficient and cost-effective, thereby boosting the demand for frac sand.

Shift Towards High-Grade Frac Sand

There is a growing preference for high-grade frac sand with superior properties, such as high crush resistance and purity, to enhance the efficiency of the fracking process.

Expansion of Frac Sand Mining Operations

To meet the rising demand, frac sand mining companies are expanding their operations and exploring new reserves, particularly in regions like the Permian Basin and the Midwest of the United States.

Global Frac Sand Market Trends

The global energy landscape is witnessing a robust demand for oil and natural gas, driven by industrialisation, urbanisation, and the overall growth of economies, particularly in emerging markets. As conventional oil and gas reserves become depleted or harder to access, the focus has shifted towards unconventional sources such as shale formations. Extracting hydrocarbons from these formations requires hydraulic fracturing (fracking), a process that relies heavily on frac sand to prop open the fractures in the rock, allowing oil and gas to flow to the surface. This increased reliance on hydraulic fracturing to meet energy demands has directly translated into a surge in the need for frac sand, making it a critical component in the energy extraction process.

The evolution of drilling and extraction technologies has been a game-changer for the frac sand market. Innovations such as horizontal drilling and improvements in fracking techniques have made it possible to access previously unreachable or uneconomical reserves. These advancements have not only increased the efficiency of hydraulic fracturing but also reduced its overall costs, making it a more attractive option for oil and gas producers.

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Market Segmentation

“Global Frac Sand Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Market Breakup by Type

• White Sand

• Brown Sand

• Others

Market Breakup by Application

• Oil Exploration

• Natural Gas Exploration

• Others

Market Breakup by Region

• North America

• Europe

• Asia Pacific

• Latin America

• Middle East and Africa

Due to multiple beneficial properties, white sand is expected to be in high demand in the forecast period

The white sand, also known as Northern White or Ottawa White sand, is the most commonly used type of sand in the frac sand market. White sand is favoured for its high purity and spherical shape, which makes it more effective in propping open fractures in the rock formation. It has a higher crush resistance and is less prone to degradation under high pressure, making it ideal for use in deeper wells and more intense fracking operations. However, in recent years, there has been a shift towards using more locally sourced brown sand, also known as regional or in-basin sand, in certain regions due to its lower transportation costs and sufficient performance in shallower wells.

Increasing oil exploration activities is expected to propel the demand for frac sand

Oil exploration dominates the frac sand market share. This is because hydraulic fracturing is more commonly associated with oil production, especially in shale formations where tight oil reserves are abundant. In these formations, frac sand is used extensively to prop open the fractures created during the fracking process, allowing oil to flow more freely to the surface.

Competitive Landscape

Major players in the frac sand market are increasingly expanding their presence through the development of existing and new mining facilities:

CARBO Ceramics Inc.

CARBO Ceramics Inc., established in 1902, has built a reputation for its innovative ceramic proppant products, which are used in hydraulic fracturing to enhance the productivity of oil and gas wells. The company's products are designed to provide superior strength and conductivity, ensuring efficient extraction processes.

Covia Holdings Corporation

Covia Holdings Corporation, formed from the 2018 merger of Unimin Corporation and Fairmount Santrol, is a leading provider of mineral-based solutions, including high-quality proppants for hydraulic fracturing. The company's extensive portfolio includes a variety of sand and resin-coated proppants that cater to the diverse needs of the oil and gas market.

Badger Mining Corporation

Badger Mining Corporation, a family-owned business since the early 1900s, specialises in the mining and processing of industrial silica sand. The company's proppants are known for their quality and consistency, making them a preferred choice for hydraulic fracturing operations across North America.

Smart Sand, Inc.

Smart Sand, Inc., established in 2011, focuses on the production and supply of premium Northern White frac sand, a key proppant used in hydraulic fracturing. The company's state-of-the-art facilities and strategic location near major oil and gas basins allow it to efficiently meet the demands of its clients.

Other key players in the global frac sand market are U.S. Silica, and Hi-Crush Inc., among others.

Companies in the global frac sand market are experiencing growth through various strategic initiatives. One of the primary approaches is expanding production capacity, with many companies opening new mines or enlarging existing facilities to meet the rising demand for frac sand, particularly in regions with significant fracking activity. Additionally, investments in advanced technologies for mining, processing, and quality control of frac sand are becoming increasingly common.

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Global Frac Sand Market Analysis by Region

North America has established itself as a leading player in the global market, capturing the largest frac sand market share. The region is home to significant shale reserves, including the Bakken Formation in North Dakota, the Permian Basin in Texas, and the Marcellus Formation in the Appalachian region. The strategic location of these shale formations near key oil and gas production centres in North America has led to increased demand for the product.

Notably, the United States witnessed a transformative shift in the early 2000s with the onset of the shale revolution. This change was driven by the introduction of hydraulic fracturing (fracking) technology, which allowed for the extraction of oil and natural gas from shale formations that were previously inaccessible. As a result, there was a marked increase in demand for the product, which is essential as a proppant in fracking operations.

Key Highlights of the Report

*At Expert Market Research, we strive to always give you current and accurate information. The numbers depicted in the description are indicative and may differ from the actual numbers in the final EMR report.