Market Trends

Surge in Liquefied Natural Gas Market Forecast to Reach New Heights by 2027

NEW YORK, March 7, 2024 /PRNewswire/ -- Market research firm Technavio has recently published a forecast that projects a significant leap in the market size for liquefied natural gas (LNG). An estimated increase by USD 15.81 billion is expected from 2022 to 2027, expanding at a compound annual growth rate (CAGR) of 5.35%. The underpinning factors for this growth are attributed to the ramp-up in LNG production, a burgeoning liquification capacity, and the escalating demand for eco-friendlier fuel alternatives.

Reports incorporating charts and historical data tables for the market and its segments over a period spanning from 2017 to 2021 provide a comprehensive view of the sector and are included in Technavio's industry analysis (Download the Sample Report).

Key Players Shaping the LNG Market Landscape

Technavio's extensive analysis incorporates the investigation of major market influencers, including the activities and strategic developments of 15 eminent vendors in the industry. Companies such as Bechtel Corp., Cheniere Energy Inc., and China Petrochemical Corp., are amongst the lineup that have been reviewed closely to understand their part in the sector's evolution.

Vendor Offerings:

• Bechtel Corp.: This enterprise is recognized for its comprehensive liquefied natural gas solutions, which encompass integrated engineering, procurement, and construction (EPC) and hydrocarbon technology liquefaction.

• China Petrochemical Corp.: The company is a provider of liquefied natural gas solutions, including liquid natural gas products and services.

• Eni Spa: Eni Spa distinguishes itself with the capacity to transport liquefied natural gas via sea, utilizing its proprietary LNG tankers, LNG Portovenere and LNG Lerici.

Buyer's Advantage: Key Benefits of the Report

Market dynamics are intricate, making it imperative for stakeholders to comprehend both the critical significance of vendor contributions (like research & development, capital expenditure, and technology) and the extensive market competition. To this end, the Technavio report provides buyers with a holistic approach backed by expert insights to finesse their growth strategies.

Not only does the report delve into qualitative and quantitative analyses of the vendors, it also aids clients in grasping the broader business context alongside the strengths and deficiencies of major market players. These evaluations allow for vendor categorization based on business focus and performance, helping buyers make informed decisions (To delve into the insights offered by this report, consider acquiring a customizable version).

A Deep Dive into Market Segmentation

The report meticulously covers the market segmentation, taking into account factors such as end-user domains — power, industry, and others — along with a geographical analysis that spans North America, the Middle East and Africa, Europe, APAC, and South America. The lion's share of market growth is expected within the power segment over the forecast period. As countries like China gradually transition from coal to natural gas for electricity generation to improve air quality, the demand for natural gas, including LNG, has seen an uptick, corresponding with the development of new gas-fired power plants.

Drivers and Trends: Steering Market Growth

A key driver of market growth is the heightened production of LNG, spurred by the advent of unconventional oil and gas resources like coalbed methane, shale gas, and tight gas. This expansion has been particularly notable in the United States, where successful extraction of shale oil and gas since 2008 has enhanced global availability and facilitated increased LNG production.

Moreover, the commoditization of LNG emerges as a prevalent market trend, casting an influence on the market dynamics. However, the burgeoning adoption of renewable energy sources stands as a challenge to market growth, potentially constraining its upward trajectory.

Analyst's Take: A Strategic Viewpoint on the LNG Market

The report from Technavio offers an analyst's perspective on the crucial role the LNG market plays in global energy consumption. LNG, being predominantly sourced from natural gas and liquefied for easier transportation and storage, plays an instrumental part in the broader energy framework. The increased trade in LNG is propelled by industrial consumers, power plants, and distributors seeking cleaner energies.

The supply chain for LNG, comprising production, shipping, and distribution, operates through well-coordinated and secure processes. Ocean-going tankers specially designed for LNG transportation, cryogenic and insulating storage tanks at ports, and small-scale shipments cater to various market demands.

The United States' oversight falls under the Department of Energy (DOE) and the Federal Energy Regulatory Commission (FERC), ensuring regulatory compliance across the industry. Market transparency reports like the LNG Monthly and Semi-Annual Reports, available through the DOE's Online Docket Room, are pivotal for stakeholders navigating the financial landscape of large-scale LNG operations.

Overview: LNG's Role in International Energy Markets

The global energy landscape acknowledges the paramount significance of LNG, seeing its benefits extend to ease of transport and storage. Serving as a cleaner energy resource alternative, LNG's growing global demand signifies its standing as a fundamental player in the energy sector. Investments enhancing infrastructure and advancing technology further cement LNG's position as a competitive choice in the world market (To understand the implications of this upward trend, one could download the related report sample).

Complementary Industry Reports: Expanding the Context

In addition to the LNG market, Technavio's research expands to interconnected sectors such as refinery maintenance services. The oil and gas refinery maintenance services market, for instance, is predicted to see an increment of USD 775.24 million from 2021 to 2026, pacing at an accelerating CAGR of 4.06%. Market segmentation by type and geography gets an in-depth analysis, pinpointing factors like surging demand for refined fuels that drive market growth (Discover more via the full report).

Shale gas, another related market, is expected to progress at a CAGR of 5.15% from 2021 to 2026. This report comprehensively covers the shale gas market segmentation by application and geography, identifying key drivers such as the merits associated with shale gas that bolster market growth.

Comprehensive Table of Contents:

1. Executive Summary
2. Market Landscape
3. Sizing
4. Historic Market Size
5. Five Forces Analysis
6. Segmentation
7. Customer Landscape
8. Geographic Landscape
9. Market Drivers, Challenges, and Trends
10. Vendor Landscape
11. Vendor Analysis
12. Appendix

About Technavio

Technavio stands at the forefront as a global pioneer in technology research and advisory. Their analytical prowess spans market trends and equips businesses with insights that are actionable and relevant for pinpointing market opportunities and honing competitive stances. Technavio's team comprises over 500 specialized analysts, with a report catalog exceeding 17,000 studies across diverse technologies and reaching over 50 countries. Their client base spans enterprise levels, including Fortune 500 companies, all relying on Technavio for comprehensive coverage and insightful market perspectives.

Technavio Research Contact:

Jesse Maida Media & Marketing Executive US: +1 844 364 1100 UK: +44 203 893 3200 Email: [email protected] Visit Technavio's Website for more information.

SOURCE: Technavio

In conclusion, the LNG market, with robust infrastructure and regulatory framework, continues to evolve to cater to a worldwide audience. It drives economic growth while meeting energy needs in a sustainable and efficient manner.