TABLE OF CONTENTS
SECTION PAGE
INTRODUCTION ix
I. EXECUTIVE SUMMARY 1
II. MARKET ENVIRONMENT 4
General 4
Macroeconomic Environment 5
Petroleum & Natural Gas Outlook 9
Natural Gas 11
Exploration & Reserves 14
Production 16
Drilling 20
Pricing 22
Petroleum 25
Exploration & Reserves 28
Production 31
Drilling 35
Pricing 38
Oilfield Services Outlook 40
Enhanced Oil Recovery 42
Historical Market Trends 45
Raw Material Pricing Trends 49
Formulated Product Pricing Trends 51
Environmental & Regulatory Considerations 52
Foreign Trade 58
International Environment 59
World Oil & Gas Reserves 60
Petroleum 60
Natural Gas 62
World Oil & Gas Production 65
World Oilfield Chemicals Outlook 69
III. TECHNOLOGY 72
General 72
Well Drilling 74
Directional Drilling 75
Horizontal Drilling 75
Expandable Technologies 77
Coiled Tubing Drilling 78
Dual-Gradient Drilling 79
Other Drilling Technologies 80
Drilling Fluids 81
Well Completion & Workover 83
Coalbed Methane 85
Shale Formations 86
Well Stimulation 88
Hydraulic Fracturing 89
Nitrogen Fracturing 92
Acidizing 93
Types 93
Uses 94
Retardation of Acid Reactions 96
Fracture Acidizing 98
Other Well Stimulation Techniques & Technology 98
Well Stimulation Fluids 100
Fracturing Fluids 101
Foamed Fracturing Fluids 104
Acidizing Fluids 104
Foamed Acidizing Fluids 105
Enhanced Oil Recovery 105
Thermal Recovery 106
Gas Recovery 107
Chemical Recovery 107
Other EOR Methods 108
Other Oilfield Technologies 109
IV. OILFIELD CHEMICAL PRODUCTS 112
General 112
Stimulation Chemicals 115
Base Fluid Materials 118
Additives 119
Drilling Fluids 121
Product Characteristics 123
Demand by Type 125
Water-Based 128
Synthetic-Based 129
Oil-Based 130
Demand by Location 132
Market Share 134
Production Chemicals 137
Corrosion & Scale Inhibitors 140
Demulsifiers & Related Products 142
Lubricants 144
Asphaltene & Paraffin Inhibitors 146
Biocides 148
Defoamers 150
Other 152
Market Share 154
Cementing Chemicals 156
Enhanced Oil Recovery (EOR) Products 158
Completion & Workover Fluids 161
Product Characteristics 162
Market Share 163
V. OILFIELD CHEMICAL RAW MATERIALS 166
General 166
Specialty Chemicals 168
Surfactants 170
Other Specialty Chemicals 173
Commodity Chemicals 176
Cement 179
Barite 183
Acids 186
Bromine Compounds 188
Clays 190
Calcium Chloride 192
Other Commodity Chemicals 194
Polymers 196
Natural Gums 199
Xanthan Gum 201
Guar Gum 201
Other Gums 202
Cellulose Polymers 202
Polyacrylamides 205
Other Polymers 207
Gases 209
Nitrogen 212
Carbon Dioxide 214
Other Raw Materials 217
VI. INDUSTRY STRUCTURE 220
General 220
Market Share 223
Formulated Product Market Share 225
Raw Material Market Share 228
Industry Restructuring 229
Cooperative Agreements 233
Marketing & Distribution 234
Research & Development 236
Competitive Strategies 238
Company Profiles 241
Adomite, see Nalco Holding
Air Products and Chemicals Incorporated 242
Akzo Nobel NV 243
Albemarle Corporation 245
AMCOL International Corporation 247
American Colloid, see AMCOL International
Ashland Incorporated 249
Baker Hughes Incorporated 252
BASF SE 257
Berkshire Hathaway Incorporated 259
Capitol Aggregates Limited 260
CEMEX SAB de CV 261
Champion Technologies Incorporated 262
Chemtura Corporation 264
Chevron Phillips Chemical Company LLC 265
Clariant International Limited 267
Croda International plc 269
Dow Chemical Company 271
Drilling Specialties, see Chevron Phillips Chemical
DuPont (EI) de Nemours 273
Elementis plc 274
Emery Oleochemicals Group 276
Enerchem International Incorporated 277
Excalibar Minerals, see Newpark Resources
GEO Drilling Fluids Incorporated 278
Halliburton Company 279
International Specialty Products, see Ashland
Israel Chemicals Limited 283
Kemira Oyj 285
Kinder Morgan Energy Partners LP 287
Koch Industries Incorporated 288
Lafarge SA 290
M-I SWACO, see Schlumberger
Messina Incorporated 291
Nalco Holding Company 293
National Oilwell Varco Incorporated 295
Newpark Resources Incorporated 296
Nexeo Solutions LLC 299
Patterson-UTI Energy Incorporated 300
Praxair Incorporated 301
Roemex Limited 302
Schlumberger Limited 303
Smith International, see Schlumberger
Solvay SA 307
TETRA Technologies Incorporated 309
Texas Industries Incorporated 311
Weatherford International Limited 312
Other Companies Mentioned in Study 315
LIST OF TABLES
TABLE NUMBER PAGE
SECTION I -- EXECUTIVE SUMMARY
Summary Table 3
SECTION II -- MARKET ENVIRONMENT
1 Macroeconomic Indicators 9
2 US Oil & Natural Gas Field Production 11
3 US Natural Gas Supply & Demand 13
4 Natural Gas Drilling Indicators 21
5 US Petroleum Supply & Demand 27
6 Petroleum Drilling Indicators 37
7 Oilfield Services Indicators 42
8 US Enhanced Oil Recovery (EOR) Outlook 45
9 Oilfield Chemical Market, 2000-2010 47
10 Selected Oilfield Chemical Raw Material Prices 51
11 Selected Oilfield Chemical Product Prices 52
12 Petroleum Reserves by Country, 2010 62
13 Natural Gas Reserves by Country, 2010 64
14 World Oil & Gas Production 69
SECTION IV -- OILFIELD CHEMICAL PRODUCTS
1 Formulated Oilfield Chemical Demand by Type 114
2 Oilfield Stimulation Chemical Demand 118
3 Drilling Fluid Demand 123
4 Selected Drilling Fluid Additives & Their Functions 125
5 Drilling Fluid Demand by Type 126
6 Water-Based Drilling Fluid Demand 129
7 Synthetic-Based Drilling Fluid Demand 130
8 Oil-Based Drilling Fluid Demand 131
9 Drilling Fluid Demand by Location 134
10 Oilfield Production Chemical Demand by Type 139
11 Corrosion & Scale Inhibitor Demand in Oilfield Applications 142
12 Demulsifier & Related Product Demand
in Oilfield Applications 144
13 Lubricant Demand in Oilfield Applications 146
14 Asphaltene & Paraffin Inhibitor Demand
in Oilfield Applications 148
15 Biocide Demand in Oilfield Applications 150
16 Defoamer Demand in Oilfield Applications 152
17 Other Oilfield Production Chemicals Demand 154
18 Oilfield Cementing Chemical Demand 158
19 Enhanced Oil Recovery (EOR) Products Demand 161
20 Completion & Workover Fluid Demand 162
SECTION V -- OILFIELD CHEMICAL RAW MATERIALS
1 Oilfield Chemical Raw Material Demand by Type 167
2 Specialty Chemical Demand in Oilfield Applications 169
3 Surfactant Demand in Oilfield Applications 173
4 Other Specialty Chemical Demand in Oilfield Applications 176
5 Commodity Chemical Demand in Oilfield Applications 178
6 Cement Demand in Oilfield Applications 183
7 Barite Demand in Oilfield Applications 186
8 Acid Demand in Oilfield Applications 188
9 Bromine Compound Demand in Oilfield Applications 190
10 Clay Demand in Oilfield Applications 192
11 Calcium Chloride Demand in Oilfield Applications 194
12 Other Commodity Chemical Demand in Oilfield Applications 196
13 Polymer Demand in Oilfield Applications 198
14 Natural Gum Demand in Oilfield Applications 200
15 Cellulose Polymer Demand in Oilfield Applications 205
16 Polyacrylamide Demand in Oilfield Applications 207
17 Other Polymer Demand in Oilfield Applications 209
18 Gases Demand in Oilfield Applications 212
19 Nitrogen Demand in Oilfield Applications 214
20 Merchant Carbon Dioxide Demand in Oilfield Applications 217
21 Other Raw Material Demand in Oilfield Applications 219
SECTION VI -- INDUSTRY STRUCTURE
1 US Oilfield Chemical Sales by Company, 2010 222
2 Selected Acquisitions & Divestitures 231
3 Selected Cooperative Agreements 234
4 Research & Development Expenditures for Selected Oilfield
Chemical Firms 238
LIST OF CHARTS
CHART NUMBER PAGE
SECTION II -- MARKET ENVIRONMENT
1 US Natural Gas Production by Type, 2000-2020 14
2 US Natural Gas Reserves, 2000-2010 15
3 US Natural Gas Reserves by State, 2010 16
4 US Natural Gas Production, 2000-2010 18
5 Natural Gas Producing States, 2010 19
6 Natural Gas Drilling Indicators, 2000-2010 21
7 Natural Gas Wellhead Prices, 2000-2010 23
8 Natural Gas & Crude Oil Pricing, 2000-2010 25
9 US Crude Oil Imports by Source, 2010 28
10 US Petroleum Reserves, 2000-2010 30
11 US Crude Oil Reserves by State, 2010 31
12 US Petroleum Production, 2000-2010 33
13 Crude Oil Producing States, 2010 34
14 Petroleum Drilling Indicators, 2000-2010 37
15 Petroleum Prices, 2000-2010 40
16 Oilfield Chemical Market, 2000-2010: Formulated Product
Demand and Oil & Gas Production 48
17 Oilfield Chemical Market, 2000-2010: Formulated Product
Demand, Oil Prices & Active Rig Count 49
SECTION IV -- OILFIELD CHEMICAL PRODUCTS
1 Formulated Oilfield Chemical Demand by Type, 2010 115
2 Drilling Fluid Demand by Type, 2010: Value & Volume 127
3 Drilling Fluid Market Share, 2010 137
4 Oilfield Production Chemical Demand by Type, 2010 140
5 Oilfield Production Chemical Market Share, 2010 156
6 Completion & Workover Fluids Market Share, 2010 165
SECTION V -- OILFIELD CHEMICAL RAW MATERIALS
1 Oilfield Chemical Raw Material Demand by Type, 2010 168
2 Commodity Chemical Demand in Oilfield Applications, 2010 179
3 Polymer Demand in Oilfield Applications, 2010 199
SECTION VI -- INDUSTRY STRUCTURE
1 US Formulated Oilfield Chemical Market Share, 2010 226
