Drilling Fluids Market Report 2026

The drilling fluids market size has grown strongly in recent years. It will grow from $10.65 billion in 2025 to $11.24 billion in 2026 at a compound annual growth rate (CAGR) of 5.6%. The growth in the historic period can be attributed to growth in oil and gas drilling, demand for efficient cuttings removal, expansion of offshore exploration, availability of drilling additives, need for pressure control.

The drilling fluids market size is expected to see strong growth in the next few years. It will grow to $14.11 billion in 2030 at a compound annual growth rate (CAGR) of 5.9%. The growth in the forecast period can be attributed to development of deepwater projects, stricter environmental regulations, demand for high performance fluids, expansion of unconventional drilling, advancements in fluid formulation technology. Major trends in the forecast period include rising demand for water based drilling fluids, growing use of synthetic and biodegradable fluids, increased focus on wellbore stability, customization of fluids for complex wells, expansion of offshore drilling applications.

Rising demand from the oil and gas industry is expected to drive the growth of the drilling fluids market in the coming years. The oil and gas industry includes activities related to the exploration, extraction, refining, transportation, and distribution of crude oil and natural gas across both onshore and offshore environments. The increasing demand for oil and gas is fueled by growing global energy consumption, which requires expanded exploration, production, and transportation infrastructure. The dredging market supports the oil and gas industry by enabling the construction and maintenance of offshore platforms, pipelines, ports, and navigable waterways, while also supporting the safe and efficient movement of energy resources. For example, in October 2023, the U.S. Energy Information Administration reported that U.S. crude oil production rose to 12.4 million barrels per day in 2023 from a record 11.7 million barrels per day in 2022. Consequently, rising demand from the oil and gas industry is fueling the growth of the drilling fluids market.

Leading companies in the drilling fluids market are forming strategic partnerships to broaden their capabilities. Strategic partnerships involve companies leveraging each other’s strengths and resources for mutual benefit and success. For instance, in June 2023, Vår Energi, a Norwegian oil and gas company, partnered with Halliburton, a Texas-based provider of drilling fluids and solutions for the oil and gas sector, to enhance value creation and improve well performance and drilling efficiency. This collaboration includes drilling services for Vår Energi's production and development drilling across the entire Norwegian Continental Shelf (NCS).

In September 2024, SCF Partners Inc., a US-based private equity firm specializing in investments in energy services, equipment, and technology companies, acquired Newpark Fluids Systems for an undisclosed sum. Through this acquisition, SCF aimed to establish an independent, scaled platform in drilling and completion fluids and related services, supporting focused growth, operational improvement, and strategic investment across global oil and gas markets. Newpark Drilling Fluids LLC, based in the United States, provides drilling fluids, completion fluids, and related engineering and logistics services to onshore and offshore oil and gas operators worldwide.

Major companies operating in the drilling fluids market are Baker Hughes Holdings LLC, Halliburton Company, Weatherford International PLC, Schlumberger Limited, Newpark Resources Inc., Anchor Drilling Fluids USA Inc., TETRA Technologies Inc., Petrochem Performance Chemicals LLC, International Drilling Fluids and Engineering Services Ltd., National Oilwell Varco Inc., Scomi Group Bhd, Stellar Drilling Fluids LLC, Gumpro Drilling Fluids Pvt. Ltd., Global Drilling Fluids & Chemicals Limited, DIAMOCO Group, Q'Max Solutions Inc., Badische Anilin und Soda Fabrik SE, Chevron Phillips Chemical Company LLC, The Dow Chemical Company, Canadian Energy Services & Technology Corp., Secure Energy Services Inc., Sinopec, Horizon Mud Company Inc., Medserv PLC, IMDEX LIMITED, AES Drilling Fluids LLC, Francis Drilling Fluids Ltd., Avril Group, Unique Drilling Fluids Inc., Sunwest Fluids LLC, McAda Drilling Fluids, Geo Drilling Fluids Inc.

North America was the largest region in the drilling fluids market in 2025 and is expected to be the fastest-growing region in the drilling fluid market report during the forecast period. The regions covered in the drilling fluids market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the drilling fluids market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The drilling fluids market consists of sales of non-aqueous fluid, reservoir drilling fluid, and air drilling fluids, such as foams, mists, and stiff foams. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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