Natural Gas Liquid Market to Record an Exponential CAGR by 2024
Appropriate
pricing has emerged as a key strategy for players looking to
establish a strong foothold in the global natural gas liquids (NGL)
market, says Transparency Market Research (TMR) in a recently
published report. Not a single company held a discernibly high share
in the highly fragmented vendor landscape of the global NGL market.
Nevertheless, the most prominent companies are aiming for
competitiveness by reducing their overall operating costs and
turnover time. The degree of competition is, therefore, forecasted by
TMR to remain high through the forecast period from 2016 to 2024.
Read
Report Overview @
In
North America however SM Energy has emerged as one of the leading NGL
exploration and production companies. Besides this Swift Energy
Company, Linn Energy, LLC, and Chesapeake Energy Corporation exhibits
a strong presence in the U.S. British Petroleum plc has also
registered a strong presence in the global market with its strong
presence across 30 countries worldwide.
Rising
Applications in Petrochemical Industry Create Attractive
Opportunities for NGL Sales
The
increasing use of natural gas liquids for application in the
petrochemical industry has been pivotal in fuelling NGL sales.
Natural gas liquids such as propane, butane, ethane, and isobutene
are primarily used as feedstock in the petrochemical industry.
Despite the reducing cost of natural gas, the cost of NGL is
forecasted to remain high during the forecast period.
On
the contrary, the declining costs of crude oil pose major challenge
in front of the market. This lower crude oil price is expected to
reduce the cost of naphtha, which is a petroleum by-product. Due to
its low cost, naphtha is seen to replace ethane in a few
petrochemical applications, thus creating major hindrance for the NGL
market. “However the price of crude oil is expected to normalize in
the next few years, thus creating opportunities for growth of the NGL
market,” said a lead analyst at TMR.
Furthermore,
the prices of natural gas are expected to fall in the next few years.
This trend is likely to continue through the forecast period. “Lower
price of natural due to oversupply and weakening demand, will
subsequently bolster prospects for NGL sale in the near future,”
said a TMR analyst.
North
America and the Middle East Exhibit Highest Opportunities for NGL
Market
Regionally,
North America and the Middle East exhibit the most lucrative
prospects for the enterprises engaged in NGL production and
exploration. While the Middle East accounted for the largest share in
the global market in 2015, North America is likely to exhibit the
highest CAGR during the forecast period.
The
Middle East presently accounts for approximately 40% of the proven
reserves of natural gas globally. The region is further gaining from
the rapid industrialization witnessed in Qatar, Iran, Saudi Arabia,
and the UAE. As per TMR, the Middle East NGL market will reach
5,468.9 kilo barrels/day by the end of 2024 from 2,909.2 kilo
barrels/day in 2014. Likewise in North America, Canada and the U.S.
are exhibiting the most attractive opportunities for the companies.
The increasing production and processing capacities in Asia Pacific
economies such as India, China, Australia, and Indonesia are also
expected to boost prospects for NGL sales.
Request
to view Sample Report:
NGL
Demand to Increase with Rising Applications across Diverse Economic
Sectors
Based
on type, normal butane, isobutene, pentanes plus, propane, and ethane
constitute the key segments in the global NGL market. Of these,
ethane dominated the market with a share of 45% in 2014. The market
is also expected to gain from the rising application of propane as a
green fuel in residential, industrial, commercial, transportation,
and chemicals and refinery sectors. By application, the
petrochemicals industry is likely to exhibit the highest demand for
natural gas liquids. The segment accounted for a dominant share of
55% in the market in 2014, followed by the space heating segment.
Transparency
Market Research projects the global natural gas liquids market to
reach 14,806.59 kilo barrels/day by the end of 2024 from 7,982.63
kilo barrels/day in 2015. If this holds true, the market will report
a strong 7.16% CAGR from 2016 to 2024.
About
Us
Transparency
Market Research (TMR) is a global market intelligence company
providing business information reports and services. The company’s
exclusive blend of quantitative forecasting and trend analysis
provides forward-looking insight for thousands of decision makers.
TMR’s experienced team of analysts, researchers, and consultants
use proprietary data sources and various tools and techniques to
gather and analyze information.
TMR’s
data repository is continuously updated and revised by a team of
research experts so that it always reflects the latest trends and
information. With extensive research and analysis capabilities,
Transparency Market Research employs rigorous primary and secondary
research techniques to develop distinctive data sets and research
material for business reports.
Contact
Transparency
Market Research
State Tower,
90 State Street,
Suite 700,
Albany NY - 12207
United States
State Tower,
90 State Street,
Suite 700,
Albany NY - 12207
United States
Tel:
+1-518-618-1030
USA - Canada Toll Free: 866-552-3453
Email: sales@transparencymarketresearch.com
Website: http://www.transparencymarketresearch.com
USA - Canada Toll Free: 866-552-3453
Email: sales@transparencymarketresearch.com
Website: http://www.transparencymarketresearch.com
Comments
Post a Comment