Proppants Market By Type (Sand Proppants, Ceramic Proppants, Resin-coated Proppants); By Application (Shale Gas, Tight Gas, Coalbed Methane, Other Unconventional Resources); By End-Use Industry (Oil & Gas, Construction); By Geography, Segment revenue estimation, Forecast, 2024-2032.

The proppants market in 2023 was worth USD 9.76 billion and is expected to be worth USD 18.32 billion by 2030, expanding at a CAGR of 8.76% during the forecast period.

 

The main factor fuelling the proppants market is the growing adoption of fracking within the oil and gas industry. Proppants include sand, ceramic, and resin-coated materials, critical in holding fractures in the fracking process to enable the flow of oil and gas. As the use of shale gas increased rapidly, particularly in the United States, the product also experienced a tremendous increase in demand. For instance, the U. S shale oil output stood at more than 9. The global demand for proppants is expected to rise to 3 million barrels per day in 2023, further increasing the demand for proppants. A recent occurrence is the use of high-performance ceramic proppants in newer wells to increase recovery for enhanced well productiveness, which is practiced by companies such as Halliburton.

 

One of the factors that has limited the growth of the proppants market is the environmental issues and regulations that seek to curb the practice of hydraulic fracturing (fracking). Some of the concerns due to the use of the fracking process, which uses proppants, include water pollution and earthquakes. For instance, California and New York have banned fracking or implemented stringent rules that curb proppant use in the U.S.

 

One of the key developments in the proppants market is in demand for proppants in unconventional reservoirs, especially in the shales. It means global demand for production materials like shale gas will increase by more than 30% by the 2030s and require improved proppants such as resin-coated or ceramic types for high-pressure operation. For instance, while the U. S is ramping up its shale exploration activities, the operators are shifting to these high-performance proppants to enhance the extraction rate. One emerging trend is to employ environmentally friendly proppants, which has been prompted by efforts to minimize the effects of fracking on the environment. This creates a new market opportunity for investing in sustainable proppant solutions."

 

 

Market Segmentation

Type:

• Sand Proppants

• Ceramic Proppants

• Resin-coated Proppants

 

Application:

• Shale Gas

• Tight Gas

• Coalbed Methane

• Other Unconventional Resources

 

End-Use Industry:

• Oil & Gas

• Construction (in some specialized cases)

 

By Region

North America

• US

• Mexico

• Canada

• Rest of North America

 

Europe

• Switzerland

• Russia

• France

• Germany

• U.K

• Finland

• Turkey

• Netherlands

• Belgium

• Spain

• Italy

• Rest of Europe

 

Asia Pacific

• India

• China

• South Korea

• Japan

• Singapore

• Thailand

• Indonesia

• Malaysia

• Philippines

• Australia

• Rest of Asia-Pacific

 

LAMEA

• Brazil

• Argentina

• Uruguay

• Saudi Arabia

• Rest of LAMEA

 

Segment Analysis for the Proppants Market

By Type:

Leading Segment: Sand Proppants

Sand proppants dominate the market, holding over 50% share due to their cost-effectiveness & widespread availability. These proppants are primarily used in hydraulic fracturing of shale gas & tight gas formations. For instance, sand proppants are extensively used in the Permian Basin to enhance oil & gas recovery. The segment is expected to grow steadily at a CAGR of 7%, supported by continued drilling activities in regions like North America.

Fastest-Growing Segment: Ceramic Proppants

Ceramic proppants are growing at a CAGR of 10%, driven by their superior strength & conductivity in high-pressure formations. These proppants are ideal for deep wells & unconventional resources where sand proppants may fail. For example, in regions like the Haynesville Shale, ceramic proppants are preferred for their ability to sustain high closure pressures which enhances fracture conductivity & productivity.

 

By Application:

Leading Segment: Shale Gas

Shale gas applications account for the largest share, exceeding 45% of the proppants market. The surge in shale gas exploration in North America, particularly in the Marcellus & Bakken formations, drives demand for all types of proppants. Hydraulic fracturing techniques in these regions require high proppant volumes to maximize gas extraction, making shale gas the leading application.

Fastest-Growing Segment: Coalbed Methane

Coalbed methane applications are growing at a CAGR of 9%, supported by increased exploration activities in regions like Australia & China. For instance, the Surat Basin in Australia has seen significant investment in coalbed methane projects, boosting the demand for proppants to facilitate efficient gas extraction.

 

By End-Use Industry:

Leading Segment: Oil & Gas

The oil and gas industry holds over 80% market share due to its dependence on hydraulic fracturing for unconventional resource extraction. Proppants play a critical role in enhancing productivity & recovery rates. For example, companies like Halliburton & Schlumberger rely heavily on high-quality proppants to support their fracturing operations in major basins worldwide.

Fastest-Growing Segment: Construction (Specialized Cases)

Though a niche segment, the use of proppants in construction is growing at a CAGR of 6%, driven by specialized applications like lightweight aggregates in concrete. These applications are particularly prominent in regions like Europe, where eco-friendly & lightweight materials are gaining traction.

 

By Region:

Leading Region: North America

North America dominates the proppants market with over 50% share, primarily due to the booming shale gas & tight oil production in the United States. Regions like the Permian Basin & Eagle Ford are at the forefront of proppant consumption. Additionally, advancements in fracturing techniques & proppant logistics contribute to the region's leadership.

Fastest-Growing Region: Asia Pacific

Asia Pacific is the fastest-growing region, with a CAGR of 11%, driven by increasing investments in unconventional resource exploration in China, India, and Australia. For instance, China's efforts to boost shale gas production in the Sichuan Basin have significantly increased proppant demand. Similarly, Australia's coalbed methane projects further support regional growth.

 

Key Players

• U.S. Silica Holdings, Inc.

• Carbo Ceramics Inc.

• Hi-Crush Inc.

• Foresight Energy LP

• Covia Holdings Corporation

• Badger Mining Corporation

• Emerge Energy Services LP

• Preferred Sands

• Halliburton

• Fairmount Santrol Holdings Inc.

 

Proppants Market Report Coverage

Report Attribute	Details
Forecast Period	2023 – 2030
Market Size Value in 2023	USD 9.76 billion
Revenue Forecast in 2030	USD 18.32 billion
Overall Growth Rate	CAGR of 8.76%
Base Year for Estimation	2022
Historical Data	2017 – 2021
Unit	USD Billion, CAGR (2023 - 2030)
Segmentation	By Type, By Application, By End-Use Industry, By Region
By Type	Sand Proppants, Ceramic Proppants, Resin-coated Proppants
By Application	Shale Gas, Tight Gas, Coalbed Methane, Other Unconventional Resources
By End-Use Industry	Oil & Gas, Construction
By Region	North America, Europe, Asia-Pacific, LAMEA
Country Scope	US, Canada, Mexico, UK, Germany, France, China, Japan, India, South Korea, Australia, etc.
Pricing and Purchase Options	Avail customized purchase options to meet your exact research needs.