Natural gas is a fossil fuel that forms
when animal or plant remains are exposed for thousands of years to extremely
high pressure and heat. Natural gas liquids are hydrocarbons that have
condensed from the natural gas gaseous state into a liquid state. Natural gas
liquids include ethane, propane, butane, ISO-butane and pentane. Furthermore,
natural gas liquids (NGL’S) are used for a wide range of commercial and
industrial purposes such as petrochemical feedstock, heating, cooking and
vehicle fuel. NGL’S can also be produced in oil refineries alongside diesel and
Figure 1: Global Natural
Gas Liquids Market by Value 2015 - 2023
The global natural gas liquids market is
projected to grow with a CAGR between 6.5% and 7.0% during 2017-2023.
Increasing demand for ethane, butane and propane with their application in
petrochemical industry is the key factor driving the growth of global natural
gas liquid market. Furthermore, rising demand for natural gas liquid products
in refineries such as to convert ethane into ethylene by steam cracking,
propane used for cracking petroleum into gasoline and ISO-butane to increase
the octane number of motor gasoline to improve its quality will drive this
market globally. Moreover, increasing population with changing lifestyle and
high residential usage of propane and butane products for burning, heating and
cooking which in turn will drive the global natural gas liquid market over the
forecast period. However, decline in crude oil prices and tough competition
from other energy by products such as bio gas and methane gas are the key
restraining factors for the growth of this market over the forecast period.
Hence, development in the infrastructure for natural gas liquid and recent
discoveries as well as innovations will bring more opportunities to the global
natural gas liquid market for the next six years.
The report segments the natural gas liquids
market by product type and by region. Market segmentation based on product type
includes ethane, propane, butane, ISO-butane, pentane and pentane plus.
Moreover, ethane is accounted as the largest product segment in the natural gas
liquid market due to its rising applications in several end use industries
globally. Furthermore, propane is the second largest product segment
Coverage and Analysis:
The report provides regional analysis
covering geographies such as North America, Europe, Asia-Pacific, Latin America
and Rest of the World. In this section the key trends and market size for each
geography is provided over the period of 2017 – 2023.
Figure 2: Global Natural
Gas Liquids Market by Region
From row region, Middle East has the
largest production of natural gas liquid and holds the largest share due to
presence of huge oil refineries as well as increasing industrialization in
countries such as Saudi Arabia, Iran, UAE and Qatar. Furthermore, North America
region is the second largest producer of natural gas liquid market due to rapid
growth in shale gas and increasing investment by the U.S government for
installation of new oil refineries. The North America natural gas liquid market
is anticipated to grow at a highest CAGR rate over the forecast period due
rapid boom in shale gas and increasing residential usage as well as growing
petrochemical industries across U.S And Canada. Moreover, Asia Pacific is also
expected to witness a significant growth over the forecast period due to growth
in automotive sector which has led to increase in demand for natural gas
liquids primarily in developing economies such as China, India, Japan and South
Korea. In addition, growth in various industrial sectors such as food,
manufacturing and refineries as well as development in infrastructure will also
increase the demand for NGL product in the Asia Pacific region.
The companies covered in the report Include
Exxonmobil Corp., Chesapeake Energy Corp., Bp Plc, Range Resources Corp., Royal
Dutch Shell Plc, SM Energy, Conocophillips Company, Swift Energy Company,
Statoil ASA, Linn Energy Llc, Chevron Corp., Canadian Natural Resources
Limited, Anadarko Petroleum Corp., and Alkcon Corp.
The report provides deep insights on demand
forecasts, market trends and micro and macro indicators. In addition, this
report provides insights on the factors that are driving and restraining the
demand of natural gas liquids globally as well as regionally. Moreover, IGR-growth
matrix analysis given in the report brings an insight on the investment areas
that existing or new market players can consider. The report provides insights
into the market using analytical tools such as porter’s five forces analysis
and value chain analysis of natural gas liquids.
Moreover, the study highlights current
market trends and provides forecast from 2017 to 2023. We also have highlighted
future trends in the natural gas liquids market that will impact the demand
during the forecast period. Moreover, the competitive analysis given in each
regional market brings an insight on the market share of the leading players.
Additionally, the analysis highlights rise and fall in the market shares of the
key players in the market. This report will help manufacturers, suppliers and
distributors of the natural gas liquids market to understand the present and
future trends in this market and formulate their strategies accordingly.