Calcium Bromide Market

Report ID: GMI12017
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Calcium Bromide Market Size

The global calcium bromide market was valued at USD 5.6 billion in 2023 and is estimated to grow at a CAGR of over 5.4% from 2024 to 2032.

Calcium Bromide Market

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The use of calcium bromide in drilling fluids is one of the key reasons for the growth of the market. These fluids are sometimes referred to as drilling muds and are used in the oil and gas industry for wellbore stability, cooling and lubricating the drill bit, and transporting cuttings to the surface. With such properties, calcium bromide is in greater demand because it is dense and controls pressure in deep wells while improving the overall performance of the drilling operations.

Calcium Bromide Market Trends

Calcium bromide (CaBr2) has extensive applications in drilling fluids, making it a major consumer in the oil & gas market. Its effectiveness in EOR (Enhanced Oil Recovery) makes it one of the most significant compounds in this market. Due to the increasing demand for energy globally, especially in North America and the Middle East, the market has been fueled tremendously. Other offshore and shale exploration activities has also advanced, contributing to the growth of oil production in the region, thus increasing its demand.

Other than the colossal oil and gas sector, CaBr2 finds its application in specialty chemicals, water purification treatment, industrial brines, and even in mining. Other industries, including construction and automobiles, have also increased in the usage of flame-retardant materials in response to the modified fire safety requirements. Furthermore, the compound has found its way into niche markets such as pharmaceuticals, and textiles because of its unique chemical characteristics.

The sector is under mounting pressure from environmental considerations. The use and disposal of chemicals and fluids during the drilling and extraction processes has put these industries under scrutiny due to the fears of possible soil and water pollution. With these concerns, compliance costs have increased due to more stringent guidelines regarding chemicals used in the process. Additionally, there is a growing inclination towards these industries using biodegradable fluids and green chemicals in favor of eco-friendly options, which will lead to more sustainable practices.

In terms of region, North America leads the market owing to its strong energy industry, followed by the Asia Pacific region which is seeing increasing industrialization and oil exploration. The Middle East has also remained a relevant market due to its large oil reserves. Generally, while there are some industries with an increasing need for calcium bromide, the growth of the market will entirely depend on its manufacturers and user’s abilities to cope with the current environmental needs and the adoption of new sustainable technologies.

Calcium Bromide Market Analysis

Environmental concerns remain a challenge for the calcium bromide industry. Regulators and environmental organizations express concerns for soil and water contamination from inappropriate treatment and disposal of calcium bromide containing drilling fluids. Increased operational costs results from companies investing in stricter environmental regulations and policies.

This increased focus on sustainability has caused damage to the calcium bromide market due to a paradigm change toward green alternatives. Industries have the challenge to manage efficiently as environmental issues become crucial. This trend may restrain the future growth of calcium bromide, warranting practices that are more sustainable in its usage.

Calcium Bromide Market Size, By Grade, 2021 - 2032 (USD Billion)
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The grade segment is classified into technical, reagent, and food grades. The Technical grade calcium bromide market generated around USD 3.9 billion in revenue in the year 2023. In addition, the use of technical grade calcium bromide is more commonplace in industrial applications where their requisites are to be less expensive while still being efficient compared to the other grade reagents or food technical grade calcium bromide. This multi-competence of technical grade calcium bromide for numerous chemical processes secures its position and bulk in the market, satisfying the needs for industries with high demand for drilling and extraction campaigns.

Calcium Bromide Market Revenue Share, By Application,  (2023)
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The application is divided into drilling fluids, enhanced oil recovery fluids and brines, oil well cementing, and others with the latter group having the least share. In the market, drilling fluids retain the highest market share of 40.2%. Drilling fluids dominate the calcium bromide market due to their essential role in oil and gas exploration throughout the world. The high density of calcium bromide greatly enhances its usefulness in avoiding the collapse of wellbores while preventing the loss of drilling fluids. This greatly improves efficiency when drilling and makes operating costs lower. Furthermore, the increasing consumption of oil and gas, along with the increase in offshore drilling brings about the need for dependable drilling fluids.

The market is divided into oil and gas, chemical, construction, automotive, food and beverage, and others by end user. Oil & gas have the largest percentage of around 57.4% of the market. The oil & gas industry accounts for the most significant share of the calcium bromide market because of its importance in drilling and enhanced oil recovery (EOR) operations. Excessive calcium bromide uses ease oil drilling by stabilizing well bores and controlling formation pressures necessary for efficient drilling in both onshore and offshore contexts. The pursuit for maximum oil extraction continues, and so does the desire to optimize drilling techniques which drives industry demand for certain chemicals like calcium bromide. With the global demand for energy oil increasing and the exploration of unconventional and gas reserves expanding, the oil and gas sector is poised to dominate the market. Clearly, the oil and gas industry are always the greatest end user of calcium bromide, and thus contributes the most to the market.

U.S. Calcium Bromide Market Size, 2021- 2032 (USD Billion)
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The U.S. calcium bromide market was valued at USD 1.4 billion in 2023.  More stringent regulation with regards to borehole stability and calcium bromide Grade C environmental lubricants ensures that there is market demand and acceptance for calcium bromide. The heightened use of calcium bromide is further explained by the progressive changes in the drilling technology.

With regards to the strong oil and gas sector in the U.S., North America is in the lead in the calcium bromide industry. The region has an advantage over others because of the established infrastructure, advanced technology, and supportive regulations for exploration and production activities. In addition, the use of calcium bromide in chemicals and water treatment processes further increases its demand. As exploration efforts go into more complex reservoirs, the effectiveness of drilling fluids will be crucial, their reliance, including the calcium bromide will further increase therefore solidifying the market dominance of North America.

Calcium Bromide Market Share

Akzonobel, Dow, Evonik Industries, ICL, and Sidley combine to have a substantial share of the calcium bromide industry due to their industry knowledge, innovation, and international scope. AkzoNobel is one of world's largest companies which refines paints and coating, as well as one of the calcium bromide producers.  

Evonik Industries deals with high performance materials and chemicals, including the production of calcium bromide. The company uses its specialty chemicals knowledge to improve water treatment and oil field chemicals, using calcium bromide for numerous industrial applications.

ICL manufactures calcium bromide for various uses and it’s a worldwide market leader in specialty minerals and fertilizers. The company’s concentration on specific oil and gas developments and sustainability further positions the calcium bromide as a crucial contributor in the drilling fluids component industry while mitigating harm to the environment.

As a large specialty chemicals manufacturer, LANXESS produces many products such as calcium bromide. Concentrated on performance materials, LANXESS engineers produces for the oil and gas industry in which calcium bromide serves as a superior brine fluid for efficient drilling operations with due regard to safety and environmental protection.

Calcium Bromide Market Companies

Major players operating in the calcium bromide industry are: 

  • Akzonobel
  • Dow
  • Evonik Industries
  • ICL
  • Lanxess
  • Nouryon
  • PPG Industries
  • Solvay
  • Tosoh Corporation
  • Veolia Environnement

Calcium Bromide Industry News

  • Lanxess AG, a leading manufacturer of specialty chemicals headquartered in Germany, has entered a partnership with TotalEnergies SE, a French company in the energy & petroleum sector, to strengthen bio-circular styrene supply. This agreement will enhance calcium bromide production in the coming years.
  • In November 2022, it was reported that Merck KGaA which is a subordinate company of The Merck Group, a German science and technology company, is planning to invest more into the R&D sector. This decision will serve the calcium bromide industry in Europe, Canada, and the U.S.

The calcium bromide market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue (USD Billion) & volume (Kilo Tons) from 2021 to 2032, for the following segments:

Market, By Grade

  • Technical grade
  • Reagent grade
  • Food grade

Market, By Application

  • Drilling fluids
  • Enhanced oil recovery
  • Fluids and brines
  • Oil well cementing
  • Others (water treatment and fire retardants)

Market, By End Use

  • Oil and gas
  • Chemical
  • Construction
  • Automotive
  • Food and beverage
  • Others (pharmaceuticals and textiles)

The above information is provided for the following regions and countries:

  • North America
    • U.S.
    • Canada
  • Europe
    • UK
    • Germany
    • France
    • Italy
    • Spain
    • Russia
  • Asia Pacific
    • China
    • India
    • Japan
    • South Korea
    • Australia 
  • Latin America
    • Brazil
    • Mexico
  • MEA
    • UAE
    • Saudi Arabia
    • South Africa

 

Author: Kiran Pulidindi, Manish Verma
Frequently Asked Question(FAQ) :

Major players in the industry include Akzonobel, Dow, Evonik Industries, ICL, Lanxess, Nouryon, PPG Industries, Solvay, Tosoh Corporation, and Veolia Environnement.

U.S. market was valued at USD 1.4 billion in 2023, driven by significant shale oil and gas reserves and stringent regulatory frameworks.

In 2023, drilling fluids accounted for a 40.2% share of the market, bolstered by their crucial function in oil and gas exploration.

The global market size for calcium bromide was valued at USD 5.6 billion in 2023 and is expected to reach USD 8.9 billion by 2032, driven by a CAGR of over 5.4% from 2024 to 2032.

Calcium Bromide Market Scope

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