Industrial Silica Sand Industry Analysis in Latin America

Industrial Silica Sand Sales Outlook for Latin America (2023 to 2033)

Expanding at a CAGR of 3.3%, industrial silica sand demand in Latin America is valued at US$ 574.2 million in 2023. By 2033-end, sales of industrial silica sand in the region are projected to reach US$ 794.7 million.

Industrial silica sand, also known as frac sand or silica sand, is high-purity quartz sand with very durable and round grains containing over 95% silicon dioxide (SiO2). It is a critical component in various industrial applications, primarily due to its physical and chemical properties. Silica sand is used as proppant material to keep fractures open in oil and gas wells, allowing for the extraction of hydrocarbons.

Latin America is experiencing significant infrastructure development, including road construction, housing projects, and commercial buildings. Industrial silica sand is used in the production of concrete and mortar, which are essential in construction activities.

Growing oil and gas sector in Latin America, particularly in hydraulic fracturing (fracking) activities, is predicted to boost the demand for industrial silica sand in the coming 10 years. The growth of manufacturing industries, particularly in the production of glass, ceramics, and other industrial materials, is also forecasted to increase the demand for silica sand in Latin America.

Report Attributes	Details
Industrial Silica Sand Sales in Latin America (2023E)	US$ 574.2 Million
Forecasted Sales (2033F)	US$ 794.7 Million
Demand Growth (2023 to 2033)	3.3% CAGR
Key Companies Profiled	Unimin Corporation Fairmount Minerals U.S. Silica Emerge Energy Services LP Badger Mining Corporation Hi-Crush Partners Preferred Sands Premier Silica Pattison Sand

Why is Demand for Industrial Silica Sand Increasing in Latin America?

“Silica Sand Powering Shale Revolution in the Region”

Growth of the oil and gas industry, with a particular focus on shale gas and oil production, is significantly increasing the demand for industrial silica sand in Latin America. This is primarily due to the critical role that silica sand plays as a proppant in the hydraulic fracturing, or fracking, process. Hydraulic fracturing is a revolutionary technology that has unlocked vast reserves of shale gas and oil worldwide, transforming energy markets and positioning Latin America as a region with significant potential in this sector.

Latin America is home to significant shale reserves, particularly in countries such as Argentina, Brazil, and Mexico. These reserves are attracting substantial investments and exploration efforts by oil and gas companies. As the shale industry in Latin America matures, the demand for frac sand as a proppant is predicted to increase.

“Rapid Infrastructural Projects Leading to High Application of Silica Sand”

Large-scale construction and infrastructure projects are instrumental in driving demand for silica sand in Latin America. As the region is experiencing rapid urbanization and economic development, the construction sector is emerging as a key driver for the consumption of silica sand.

Growing urban population necessitates the development of residential complexes, commercial spaces, transportation networks, and other essential infrastructure, leading to a surge in construction activities.

Governments and private investors across Latin America are heavily investing in infrastructure projects such as roads, bridges, tunnels, airports, ports, and public transportation systems. These endeavors are aimed at improving connectivity, boosting trade, and enhancing the overall quality of life in urban areas.

The need for housing is increasing the construction of residential buildings and housing complexes. Affordable housing projects are particularly prominent in several Latin American countries, and these developments require large quantities of concrete, a major application of silica sand.

Country-wise Analysis

What’s Driving Industrial Silica Sand Sales in Brazil?

“Industrial Silica Sand Use Increasing in Construction and Infrastructural Projects”

Attribute	Brazil
Estimated Sales (2023)	US$ 228.2 Million
Demand Growth (2023 to 2033)	2.4% CAGR
Projected Sales (2033)	US$ 292.1 Million

Brazil's robust construction and infrastructure sector is driving demand for industrial silica sand. The country's ambitious infrastructure projects, including those related to the FIFA World Cup and the 2016 Olympics, have a significant influence on silica sand use.

Silica sand is used in agriculture as a soil conditioner and to improve drainage. Brazil's large agricultural sector also utilizes silica sand in various applications, contributing to sales growth.

Why is Argentina Witnessing High Sales of Industrial Silica Sand?

“Argentina’s Shale Gas and Oil Boom Increasing Need for Industrial Silica Sand”

Argentina holds extensive shale reserves in the Vaca Muerta formation. The country's focus on developing these resources is leading to a surge in industrial silica sand sales, as it is a crucial proppant for hydraulic fracturing.

• As per a report by Offshore Technology, the Vaca Muerta shale formation is the world's 2nd largest shale gas reserves and the 4th largest shale oil reserves. These vast resources are pivotal in Argentina's ambitious aspirations to transform into an energy exporter, including intentions to export liquefied natural gas (LNG).

Will Mexico Be a Profitable Market for Industrial Silica Sand Producers?

“Silica Sand Crafting Automotive Parts in Mexico”

Attribute	Mexico
Estimated Sales (2023)	US$ 149.3 Million
Demand Growth (2023 to 2033)	4.1% CAGR
Projected Sales (2033)	US$ 223.7 Million

Mexico is a major player in the automotive industry, and the manufacturing of automotive components relies on silica sand for casting and molding processes.

• According to a 2022 report from the International Trade Administration, Mexico's automotive sector stands as one of the country's vital industries, contributing 3.5 percent to the country's GDP, making up 20 percent of the manufacturing GDP, and providing employment to over one million individuals across the country.

Category-wise Analysis

Why is Sodium Silicate Highly Sought After?

“Sodium Silicate Multifaceted Marvel in Industrial Applications”

Attribute	Sodium Silicate
Sales Volume (2023)	10.8 Million Metric Tons
Demand Growth (2023 to 2033)	2.1% CAGR
Projected Volume (2033)	13.4 Million Metric Tons

Sodium silicate has a wide range of industrial applications, including in the manufacturing of soaps and detergents, pulp and paper, textiles, construction materials, and adhesives. Latin America has a diverse industrial landscape, and sodium silicate serves the needs of many of these sectors.

In Latin America, where agriculture plays a crucial role in many economies, sodium silicate is used as a soil conditioner. It helps improve soil structure, control soil erosion, and can even serve as a partial substitute for traditional fertilizers. In countries such as Brazil and Argentina, where biodiesel production is significant, sodium silicate is used in the transesterification process to convert vegetable oils into biodiesel.

Some of the Latin American countries have their sodium silicate production facilities, reducing the need for imports and contributing to the popularity of this versatile chemical. Overall, the versatility, cost-effectiveness, and eco-friendly nature of sodium silicate make it a popular choice across multiple industries in Latin America, where a diverse industrial landscape and a focus on sustainable practices drive its widespread use.

Competitive Landscape

Industrial silica sand producers in Latin America are implementing various strategies to boost their earnings and remain competitive in the market. Producers are diversifying their product offerings to meet the specific needs of various industries. This includes offering different grades and sizes of silica sand to cater to applications in construction, oil and gas, glass manufacturing, and more.

Several key players are collaborating with local and international companies and forming strategic partnerships, which are offering them access to new markets, technologies, and resources.

• Unimin Corporation a key producer of silica sand, is involved in the supply of industrial minerals, including silica sand, in Latin America and many other regions. Unimin is known for its commitment to maintaining high product quality and consistency. It employs stringent quality control measures to ensure that the silica sand it supplies meets international standards. This dedication to quality has made them a trusted silica sand supplier.

Segmentation of Industrial Silica Sand Study in Latin America

• By Type :

  • Sodium Silicate
  • Potassium Silicate

• By Particle Size :

  • <40 Mesh
  • 40 to 100 Mesh
  • >100 Mesh

• By Application :

  • Metal Casting
  • Hydraulic Fracturing
  • Construction Additives
  • Filter Media
  • Glass Manufacturing

• By End Use :

  • Building and Construction
  • Foundry
  • Glass
  • Chemicals

• By Country :

  • Brazil
  • Mexico
  • Argentina
  • Chile
  • Peru
  • Rest of Latin America