BOSTON, MA, Aug. 12, 2015 -- According to new research conducted by Lux Research, the market for hydraulic fracturing (frac or fracking) water management is still estimated to be worth $1.9 billion, not including water transportation and disposal, despite a precipitous decline in frac activity following a dramatic decline in global oil prices.
While fracs have fallen from about 2,300 in October 2014 to 1,350 in February 2015, the water treatment market remains strong for companies that know how to play the opportunity. As oil and gas companies cut spending, operators are tapping new technologies to tighten up water management strategies and lower costs. In addition, new regulatory momentum in the U.S. could usher in stricter oversight of water transportation and disposal and facilitate more extensive water recycling.
"No single technology or water management approach will win in the frac water treatment space. Rather, companies will employ a mixture of water disposal, centralized treatment and on-site treatment using physical, thermal and electrochemical methods," said Brent Giles, Lux Research director and one of the authors of the report titled, "Surviving the Shakeout in Frac Water Treatment Technologies."
