Fracking is most common in the United States, which produces far more oil and natural gas through hydraulic fracturing than any other country. Within the U.S., activity concentrates in a handful of geological formations across Texas, New Mexico, Pennsylvania, West Virginia, Louisiana, and Ohio. Outside North America, only Argentina and Canada have developed significant fracking operations, while much of Europe has banned the practice outright.
The Permian Basin: Texas and New Mexico
The single biggest fracking hotspot in the world is the Permian Basin, stretching across western Texas and southeastern New Mexico. By December 2024, the Permian was producing 5.6 million barrels of oil per day, a 45% increase compared to 2020. That output accounted for 51% of all oil production in the lower 48 states and 65% of the growth in tight oil production nationwide. Natural gas production in the Permian has also climbed steadily, since much of the gas comes out of oil wells as a byproduct. When oil prices are strong, drilling in the Permian accelerates, pulling gas production along with it.
The Marcellus Shale: Pennsylvania and West Virginia
For natural gas specifically, the Marcellus Shale is the dominant formation. It covers roughly 104,000 square miles across nearly all of West Virginia, three-quarters of Pennsylvania, and portions of Ohio and New York (though New York banned fracking in 2014). The Marcellus produces more than 25 billion cubic feet of natural gas per day, accounting for about one-third of all U.S. shale gas output. Over its lifetime, the formation has yielded 50 trillion cubic feet of natural gas, the energy equivalent of 8.3 billion barrels of oil.
Despite that dominance, drilling activity in the Marcellus has slowed. By September 2024, an average of just 25 rigs were operating in the play, about 36% fewer than in January 2023. Production stayed roughly flat even as rig counts fell, a sign that operators are squeezing more gas from fewer, more efficient wells.
The Haynesville: Texas and Louisiana
The Haynesville formation, sitting beneath northeastern Texas and northwestern Louisiana, is the other major U.S. gas play. Unlike the Permian, where gas is a side effect of oil drilling, the Haynesville produces almost entirely dry natural gas. In 2023 it averaged 14.6 billion cubic feet per day, or about 14% of total U.S. dry gas production. Output has since dipped, falling to 13.0 billion cubic feet per day by September 2024, roughly 14% below its May 2023 peak. Rig counts dropped sharply too, with only 33 rigs running in September 2024 compared to more than double that in early 2023. Lower natural gas prices drove the pullback.
Canada: Alberta and British Columbia
Canada is the second-largest fracking nation in North America. Alberta alone has seen over 180,000 wells hydraulically fractured over the decades, though most of those were older vertical wells. Across the entire country, about 14,000 horizontal wells (the type used in modern shale drilling) have been fracked, concentrated in Alberta and British Columbia. Most Canadian fracking happens in relatively remote areas, which has reduced some of the land-use conflicts seen in more populated U.S. regions.
Four of Canada’s ten provinces have imposed province-wide bans on fracking: New Brunswick, Newfoundland and Labrador, Nova Scotia, and Quebec. Quebec’s ban followed a formal environmental review. So while western Canada remains active, the eastern half of the country has largely shut the door.
Argentina’s Vaca Muerta Formation
Outside North America, the most significant fracking operation is in Argentina’s Vaca Muerta formation, located in the Neuquén province of Patagonia. Vaca Muerta has turned Argentina into a growing energy exporter. By September 2024, oil from the formation accounted for 58% of the country’s total crude output, helping push national production to 738,000 barrels per day, the highest monthly figure since 2003. On the gas side, Vaca Muerta supplied 74% of Argentina’s natural gas, reaching 3.8 billion cubic feet per day.
Argentina is investing heavily in infrastructure to keep that growth going. A new gas pipeline with capacity of 0.7 billion cubic feet per day is already operating, with a planned expansion to 1.2 billion cubic feet per day by 2028. Multiple liquefied natural gas export facilities are in development, with at least three companies planning terminals that could come online by 2027. If those projects materialize, Argentina could become a meaningful LNG exporter, something that was unthinkable a decade ago.
Where Fracking Is Banned
A long list of countries and regions have prohibited fracking entirely. France banned it in 2011 after significant public pressure, becoming one of the first nations to do so. Germany passed a ban in 2016 with narrow exceptions for scientific research. Bulgaria reversed course after nationwide protests in 2012. Ireland bans fracking onshore and in its internal waters. Tunisia has also banned the practice.
In the United Kingdom, the picture is fragmented. England has a moratorium in place since November 2019. Scotland has its own moratorium. Wales made its ban permanent in 2018, and Northern Ireland maintains a “presumption against fracking.” In Australia, the state of Victoria permanently banned all forms of unconventional gas extraction in 2016. The Netherlands enacted a temporary moratorium in 2013 pending further study.
Within the United States, Vermont became the first state to outlaw fracking in 2012, followed by New York in 2014, Maryland in 2017, and Washington state in 2019. New York’s ban was particularly notable because, unlike Vermont, it sits atop significant natural gas reserves in the Marcellus Shale.
Why Activity Concentrates Where It Does
Fracking requires a specific type of geology: rock formations with hydrocarbons trapped in low-permeability shale or tight sandstone. Not every country with shale reserves has developed them. China, for example, holds some of the world’s largest estimated shale gas resources but has struggled with the depth and complexity of its formations, limited water availability, and difficult terrain. Several countries in Europe have significant reserves on paper but chose bans over development due to population density, water table concerns, and public opposition.
The U.S. dominates fracking for reasons beyond geology. Private mineral rights (landowners in the U.S. typically own the resources beneath their property, unlike in most countries), an extensive pipeline network, available water supplies, a large oilfield services industry, and decades of regulatory experience all make it easier and cheaper to drill. Argentina’s success in Vaca Muerta reflects a similar combination: favorable geology, government incentives, and growing infrastructure. In most other countries, one or more of those pieces is missing.