The number of oil and gas wells is rapidly rising in North America, with the increase in the exploration and production (E&P) activities. Following in the footsteps of the U.S., which is home almost 80% of the new wells in the region, Canada too is opening its shale reserves for commercial production.

Major oil and gas companies, including Royal Dutch Shell plc, BP plc, Chevron Corporation, and ConocoPhillips, are quickly getting the license to produce oil and gas from new wells. With the increase in E&P activities, the global low strength proppants market is predicted to reach $5,294.8 million by 2030, from $3,713.3 million in 2019, at a 9.8% CAGR between 2020 and 2030. This is because proppants help increase the production of gas and oil, by keeping the hydraulic fractures in the rock bed open.

However, the impact of the coronavirus pandemic has been quite negative on the oil and gas sector. With a partial or complete lockdown on industrial activities and public transit imposed in numerous countries, in order to contain the virus, the demand for petroleum products has fallen sharply. Between December 31, 2019 and April 30, 2020, the trading price of crude oil fell from $61.0 to $18.8 per barrel, according to the West Texas Intermediate (WTI) Crude Futures.

Presently, the largest demand for such materials comes from the oil and gas industry of North America, and the situation is expected to remain the same till 2030. This is ascribed to the rising number of oil wells and increasing E&P activities for unconventional oil and gas in the region. In 2017, the U.S. housed 990,677 oil and gas wells, and the number is set to increase, with the rising E&P investments by BP plc, ConocoPhillips, Royal Dutch Shell plc, and Chevron Corporation. In addition, the focus of regional energy firms on tight gas and shale gas, primarily in the U.S., is surging.

The most prominent players in the global low strength proppants market are Fairmount Santrol Holdings Inc., Superior Silica Sands LLC, U.S. Silica Holdings Inc., CARBO Ceramics Inc., Badger Mining Corporation, Preferred Sands, Saint-Gobain Proppants Inc., JSC “Borovichi Refractories Plant”, Black Mountain Sand LLC, Hi-Crush Inc., Atlas Sand Company LLC, Wisconsin Proppants LLC, Gongyi Tianxiang Refractory Materials Co. Ltd., and TEXAS SILICA.

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