Natural Gas Global Market Report 2024

The natural gas market size has grown strongly in recent years. It will grow from $1029.88 billion in 2023 to $1127.09 billion in 2024 at a compound annual growth rate (CAGR) of 9.4%. The expansion observed in the historical period can be attributed to factors such as electricity generation, industrial applications, residential and commercial heating, the use of natural gas as a transportation fuel, and the increasing demand from emerging markets.

The natural gas market size is expected to see strong growth in the next few years. It will grow to $1518.88 billion in 2028 at a compound annual growth rate (CAGR) of 7.7%. The anticipated growth in the forecast period can be attributed to the increasing transition to cleaner energy sources, growth in the industrial sector, expansion of power generation capabilities, infrastructure development, and trends in the global economy. Noteworthy trends expected in the forecast period include global infrastructure development for gas transport, a rising utilization of natural gas in industrial processes, the application of natural gas in the transportation sector, market dynamics influenced by shale gas production, and the integration of renewable natural gas (RNG).

The expansion of the natural gas market is attributed to the increased global economic activity and a rise in the consumption of electricity and refined petroleum in developing nations, projecting positive growth for the market in the future. The electric power sector is expected to play a significant role in propelling the natural gas market's growth. This sector encompasses electricity plants engaged in electricity generation, transmission, and distribution. Natural gas is utilized in steam turbines and gas turbines for electricity generation, offering a cost-effective solution. For instance, in 2021, the United States consumed approximately 30.28 trillion cubic feet (Tcf) of natural gas, constituting about 37% of the total natural gas used for electricity generation, covering 32% of the total electricity consumed in the US. The increased utilization in the electric power sector is a key driver for the growth of the natural gas market.

The anticipated growth of the natural gas market is further fueled by the escalating global energy demand. Natural gas, known for its clean-burning properties, minimal carbon emissions, and efficiency, is a versatile energy source widely used across various applications. For instance, in September 2023, the International Energy Agency reported a 1.3% increase in total net power generation compared to September 2022, reaching 879.0 TWh. This surge in global energy demand is a significant factor driving the natural gas market.

Companies engaged in crude oil and natural gas extraction are making substantial investments in renewable energy sources. The integration of renewable technologies, such as solar, wind, biomass, and geothermal, helps reduce costs and emissions associated with crude oil and natural gas production, representing major trends in the global natural gas market.

Strategic collaboration is a focal point for major companies in the natural gas market, aiming to provide reliable services to customers. This collaborative approach involves mutually beneficial partnerships between independent entities to achieve shared goals. For example, in November 2022, SHV Energy NV partnered with GTI Energy to develop a revolutionary technique for producing renewable butane and propane (bioLPG) from bioethanol. The collaboration aims to enhance the commercial procedure of converting bioethanol into renewable propane and butane, utilizing a diverse range of globally available carbon feedstock.

In October 2022, BP PLC acquired Archaea Energy for $3.3 billion. This strategic move is part of BP's bioenergy transition growth engine, expanding its presence in the US biogas market. Archaea Energy, a major renewable natural gas (RNG) producer in the US, aligns with BP's commitment to supporting decarbonization objectives and lowering the carbon intensity of its energy products.

Major companies operating in the natural gas market report are Sinopec Group, China National Petroleum Company, Exxon Mobil Corporation, PetroChina Co. Ltd., Royal Dutch Shell PLC, TotalEnergies SE, Chevron Corporation, Equinor ASA, Gazprom, Eni S.p.A., LUKOIL Lubricants company, Petroleo Brasileiro S.A., Rosneft Oil Company, ConocoPhillips, VNG AG, Occidental Petroleum Corporation, Pioneer Natural Resources Company, Novatek OAO, Devon Energy Corp, Woodside Energy Ltd., Southwestern Energy Company, BP p.l.c., Origin Energy Ltd., NGL Energy Partners LP, Santos Ltd., EQT Corporation, Antero Resources Corporation, Chesapeake Energy Corporation, Range Resources Corporation, Husky Energy Inc., Ascent Resources Upstream LLC, Tellurian Inc., Viper Energy Partners LP, W&T Offshore Holdings LLC.

Asia-Pacific was the largest region in the natural gas market in 2023. The regions covered in the natural gas market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the natural gas market report are Australia, China, India, Indonesia, Japan, South Korea, Bangladesh, Thailand, Vietnam, Malaysia, Singapore, Philippines, Hong Kong, New Zealand, USA, Canada, Mexico, Brazil, Chile, Argentina, Colombia, Peru, France, Germany, UK, Austria, Belgium, Denmark, Finland, Ireland, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, Russia, Czech Republic, Poland, Romania, Ukraine, Saudi Arabia, Israel, Iran, Turkey, UAE, Egypt, Nigeria, South Africa.

The main types of natural gas are categorized as transportation, industrial, electric power, and other gases. Natural gas transportation involves the various methods by which natural gas is transported from one location to another. The primary sources of natural gas include associated, non-associated, and unconventional sources. End-users of natural gas span various applications, including light-duty vehicles, medium- or heavy-duty buses, and medium- or heavy-duty trucks.

The natural gas market research report is one of a series of new reports that provides natural gas market statistics, including natural gas industry global market size, regional shares, competitors with a natural gas market share, detailed natural gas market segments, market trends and opportunities, and any further data you may need to thrive in the natural gas industry. This natural gas market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The natural gas market consists of sales of methane, ethane, butane, and propane. 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.