Fracking Fluid End Market By Material Type (Carbon Steel Fluid End, Stainless-Steel Fluid End) By End-User Type (OE, Aftermarket) By Horsepower Type (2000-2500 HP, Above 2500 HP)– By Design Type (Triplex, Quintuplex) - Growth, Future Prospects & Competitive Analysis, 2016 - 2028

The global fracking fluid end market report explores the critical analysis of the fracking fluid end industry using key parameters. The report consists of investment strategies, the need for investments in the fracking fluid end industry, and the multiple benefits for investors. Importantly, this report sets out major changes in the global technical regulations for the fracking fluid end industry and how economic and non-economic barriers are helping the market grow. Moreover, the report analyses the global, regional, and country-level historic and forecasted market size. The report also provides a comprehensive analysis of key investment propositions, demand and supply gap, competitors positioning, STAR analysis, SRC analysis, and Tornado analysis. Key technological developments and other analyses include Porter's five forces analysis, PESTEL analysis, value chain analysis, etc.

Key Highlights of the report

How are the major segments performing in the Fracking Fluid End Market?

• The stainless-steel fluid end segment led the market in terms of material type in 2021 and is expected to continue throughout the projection period due to its supremacy in fluid materials. Stainless steel fluid ends are corrosion resistant, which means they can withstand corrosion damage caused by oxidization or other chemical reactions. Increased pumping hours are another reason this material type is expected to dominate the global market.
• In 2021, the aftermarket end-user type segment accounted for the largest global market share. The lifespan of fracking fluid ends decreases as the fracking environment becomes harsher, more proppant is used, and pumping pressure rises, necessitating the replacement of fluid ends in conventional frac pumps. Fluid ends require replacement three to four times a year, whereas power ends last for two years.
• The above 2500 horsepower segment is expected to grow faster during the forecast period, owing to a gradual shift in demand toward higher horsepower pumps to reduce the number of assets on site while extending part life. For instance, 20 units of 2500 HP frac pumps can be replaced by 11 units of 5000 HP fracking pumps.
• The triplex design type segment dominated the global market in 2021. Fracking fluid ends compatible with triplex design types are gaining popularity, primarily to increase efficiency while reducing the number of pumps on-site and maintenance costs

Which region dominated the fracking fluid end market?

North America dominated the global fracking fluid end market in 2021 and is expected to maintain its dominance throughout the forecast period. In particular, in the North American region, hydraulic fracturing is an unconventional method of extracting oil and gas. The fluids required for fracturing are introduced into the well using several regional pump manufacturers (18–20 pumps make up a fleet). One of the two components of this pump is the fluid end. The end market for fracking fluid benefits from adopting cutting-edge drilling techniques, such as horizontal drilling, in regional nations to recover oil and gas. The most recent advances in discovering new environmentally friendly fracking chemicals are anticipated to expand the regional market.

How is US Market Performing in the fracking fluid end market?

In 2021, the United States dominated the North American fracking fluid end market, and this trend is anticipated to hold throughout the forecast period. The low breakeven price and technological advancement in hydraulic fracturing have boosted demand for fracking fluids in the United States, the largest market. The country has seen a shift from vertical to horizontal drilling, with longer lateral lengths, more frac stages per well, and higher fracking fluid consumption per foot. In 2018, the number of horizontal wells in the United States reached 126,653, an increase of approximately 8.2% over the previous year. Continuing this trend, the country's share of horizontally drilled wells reached 87% by the end of 2019. As a result, the increased emphasis on unconventional reserves to meet the rising demand for oil and gas is expected to fuel the fracking fluid end industry.

What is the competitive environment of the fracking fluid end market?

The global fracking fluid end market is highly competitive, with many players present. Companies that produce fracking fluids are forming alliances, joint ventures, and partnerships to expand their market share and meet shifting technological demands. For instance, Aker Solutions, a provider of oil services based in Norway, recently signed a contract to buy Reinertsen. Similarly, FMC Technologies Inc and Technip S.A. merged in 2017 to form TechnipFMC plc. The merger resulted in the formation of the world's leading offshore energy services provider.

Executive Summary

What are technical developments being developed in the global fracking fluid end market?

The market has seen an increase in demand in recent years due to technological innovations to make fracking more productive and the use of various types of fracking liquid. The surge in international fracking technology investments and fractured good production boosted the market for fracking chemicals. Oil can be extracted more cheaply and effectively using the slickwater method. The slickwater process is being adopted as technology advances, and global demand for shale gas rises. This method allows for high-speed pumping, which improves hydrocarbon recovery rates. The need for such techniques will increase as global oil consumption increases, benefiting the companies involved in the fracking fluid end market. For instance, Gardener Denver Inc introduced GDNX, the next-generation fluid end technology, in 2018. The stainless-steel fluid end was created to extend the operational service life of fluid ends used in various applications, including coil tubing and hydraulic fracturing. The fluid end is designed to last 3.5 times longer than similar fluid ends currently on the market.

Which are the key investments by the fracking fluid end market players?

Major players in the fracking fluid end market are investing in research and development efforts and working to create environmentally friendly fracking fluids. The development of new products, such as non-toxic drilling fracking fluids and foams as alternatives to toxic oil-based fluid (OBF), which is difficult to extract from drill holes, is expected to drive industry growth. Fracking fluid contains many chemicals that can be used for several things, including delivering proppant to the shale formation, improving gel strength, viscosity fractures, and enlarging fractures. Established players such as Halliburton Company and Cargill Inc have begun to produce bio-based drill muds to diversify their product portfolio. Major players like Weir Group PLC, Gardner Denver Inc, and Halliburton Company have invested in and integrated their operations. They are involved in every fracking fluid value chain step, from production to distribution to final use. For instance, ST9 Gas + Oil introduced the XGen fluid end for frac and well delivery pumps in 2018. The company invested and developed this product to address the washout and fatigue issues seen in the fracking fluid end of the competitors.

Some major players in the fracking fluid end market are VP Sales & Manufacturing, Forum Energy Technologies Inc, Dragon Products Ltd, Gardner Denver Inc, Kerr Pumps, Halliburton Company, ST9 Gas & Oil LLC, The Weir Group PLC, TechnipFMC PLC, Vulcan Industrial Holdings.

What are the Major Driving Factors for the Fracking Fluid End Market?

The fracking fluid end market is driven by the global expansion of oil and gas exploration. Rising energy demand leads to increased fracking fluid end demand, which supports the global market. The rapidly changing trend of horizontal drilling for wells is expected to accelerate market growth for fracking fluids worldwide. Horizontal fracking necessitates more fracking fluids and chemicals than vertical drilling, which expands the market. Besides, horizontal drilling has a significantly lower environmental impact than vertical drilling. In addition, companies can extract a large amount of oil from a single horizontal well rather than drilling a dozen vertical wells. This helps oil and gas companies save money and time. These factors will likely provide the fracking fluid end market with lucrative growth opportunities.

What are the Major Risks for the Fracking Fluid End Market?

There have been numerous public concerns about water usage in areas with limited supply, contamination, and other environmental hazards caused by fracking. These concerns can be addressed by using and capitalizing on foam-based fluids. The public's concern about the environmental effects of fracturing may be alleviated by using this alternative, which uses less water than conventional fracturing. Stringent laws against fracking fluids, the potential for backflow of water to contaminate surface and groundwater, and the growing demand for alternatives are hindering the growth of the global fracking fluid end market.

Which is the key material in the fracking fluid end market?

The stainless-steel fluid end segment is expected to maintain its dominance over the forecast period due to its corrosion resistance and higher pumping hours than the carbon steel fluid end. Fracking fluid ends are typically made of stainless steel. Stainless steel fluid ends have four times the life of carbon steel (150-450 hours) fluid end, based on the proppant and chemical used, as well as the hostile environment. Corrosion-resistant stainless-steel fluid ends can withstand corrosion damage brought on by oxidation or any other kind of chemical reaction. Another factor contributing to the expectation that this material type will dominate the global market is improved pumping hours.

How is the fracking fluid end market performing in regions?

North America is expected to retain the largest share of the fracking fluid end market throughout the forecast period, owing to the region's tremendous technically recoverable shale oil and gas deposits and key fluid end manufacturers. The increased oil extraction in the United States will increase market demand, requiring frictional reducers and foam-based fluid to smooth the extraction process. Due to the high proportion of fractured hydraulic wells in the United States, major companies are investing in oil and gas exploration in the region. Baker Huge data estimates showed that active oil rigs in the United States increased from 7 to 356. These projections increase market demand as well as the drilling capacity in the region.

Furthermore, the Asia Pacific region is expected to have the highest revenue share in the global fracking fluid end market during the forecast period. Rising energy consumption and demand are expected to be major market growth drivers. Most oil and gas exploration and processing currently occurs in Australia, South Korea, China, and India. Due to the rising population, China and India are the top producers in the fracking fluid end market. India's ongoing efforts to explore its shale gas reserves, which are dispersed across 56 sites, are helping to meet the country's rising demand for shale gas. The government's policy initiatives to permit fracking also set the market in the nation and region to display a strong position. The developed fracking market in China also contributes to favorable regional growth.

What is the regulatory landscape for the fracking fluid end market?

Every country has made concerted efforts to achieve energy independence and security. The fracking procedure necessitates the use of a large amount of water. However, the use of fracking methods is increasing significantly in areas with limited water supply. The use of foam-based liquids, which require less water and are less damaging to the environment than water-based liquids used in fracking fluid, has increased. Research and development efforts are also being made to find non-polluting liquids, which are expected to present lucrative opportunities for expanding the fracking fluid end market in the future. The adoption of natural gas by major countries is expected to create attractive opportunities for market participants. Germany, the Netherlands, and France are among the European nations that have called for legislation from the European Union (EU) to improve funding for low-carbon technologies. Several policies are being implemented to encourage the use of renewable energy.

What is the Market Size of the Fracking Fluid End regarding value?

The global fracking fluid end market is anticipated to grow at a substantial CAGR of 6% in the upcoming years. The global fracking fluid end industry is estimated to be worth USD 525.6 million in 2021 and is expected to be worth USD 745.57 million by 2028.

What are the major players planning for the future of the fracking fluid end market?

Manufacturers and purchasers are planning to enter into long-term contracts with distribution companies to ensure consistent product supply. Stringent government regulations regarding the negative environmental impact of chemical use and disposal are expected to be a barrier to new entrants in the industry. Technological advances in fluid rheology modification for efficient extraction in various formations open lucrative growth opportunities for industry players. The rapid adoption of mud-cap drilling techniques and significant oilfield advancement in unconventional and offshore reserves are expected to open up new business opportunities for fracturing fluid end companies in the coming years.

Segmentation of Global Fracking Fluid End Market -

Global Fracking Fluid End Market – By Material Type

• Carbon Steel Fluid End
• Stainless-Steel Fluid End

Global Fracking Fluid End Market – By End-User Type

• OE
• Aftermarket

Global Fracking Fluid End Market – By Horsepower Type

• 2000-2500 HP
• Above 2500 HP

Global Fracking Fluid End Market – By Design Type

• Triplex
• Quintuplex

Global Fracking Fluid End Market – By Region

• North America
  • US
  • Canada
• Europe
  • Germany
  • France
  • UK.
  • Italy
  • Spain
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • South-east Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC Countries
  • South Africa
  • Rest of Middle East and Africa