Crude Oil Global Market Report 2024

The crude oil market size has grown strongly in recent years. It will grow from $2829.69 billion in 2023 to $2998.39 billion in 2024 at a compound annual growth rate (CAGR) of 6.0%. The expansion observed in the historical period can be ascribed to factors such as industrialization and economic growth, the transportation sector, the petrochemical industry, electricity generation, and the global demand for energy.

The crude oil market size is expected to see strong growth in the next few years. It will grow to $3655.81 billion in 2028 at a compound annual growth rate (CAGR) of 5.1%. The anticipated growth in the forecast period can be linked to the evolution of transportation, the expansion of the petrochemical industry, challenges in energy transition, global economic development, and geopolitical factors. Notable trends expected in the forecast period include resilience in oil markets amidst energy transitions, a shift in investment trends towards renewable energy, diversification in downstream operations, global initiatives for energy security and independence, and changes in consumer behavior impacting transportation demand.

The growth in the crude oil market can be attributed to the increasing global demand for fossil fuels, particularly in developing countries such as China and India, alongside the anticipated stabilization of oil and gas prices. Fossil fuels, derived from decomposed plants and animals, are found in the Earth's crust and consist of carbon and hydrogen that can be burned for energy. Crude oil or petroleum, a liquid fossil fuel primarily composed of hydrocarbons, can be found in underground reservoirs, sedimentary rock crevices, pores, or near the Earth's surface in tar sands. According to the International Energy Agency's February 2023 report, the global contribution of renewable energy in the power generation mix is projected to increase from 29% to 35% by 2025, emphasizing the ongoing growth in demand for fossil fuels to meet global energy needs.

The expected growth in the crude oil market is further propelled by an increase in geopolitical tensions. Geopolitical tensions, involving political conflicts, disputes, or rivalries among nations, can impact crude oil prices by raising concerns about potential disruptions in oil supply due to conflicts or instability in key oil-producing regions. In 2021, there were 37,185 reported events of political violence targeting civilians, representing a 12% increase from the previous year, as reported by The Armed Conflict Location & Event Data Project (ACLED). The rise in civilian fatalities by 8%, from 35,879 in 2020 to 38,658 in 2021, further highlights the impact of geopolitical tensions on the growth of the crude oil market.

Oil and gas extraction companies are increasingly adopting digital oilfield technology to enhance production efficiency. This technology includes advanced tools such as high-performance drill bits, electrical submersible pumps, and 3D seismic imaging for reservoir modeling. Digitization in oilfields optimizes human resource utilization, leading to a ten percentage point improvement in oil production profitability.

Major companies in the crude oil market are forming strategic partnerships to develop new products and strengthen their market positions. Collaborations and partnerships foster shared resources, expertise, and risk, promoting the development of innovative solutions and efficient operations. For example, in November 2023, Nigerian National Petroleum Corporation Limited collaborated with Aiteo Eastern E&P Company Limited to introduce a new crude grade named Nembe, aiming to boost Nigeria's oil production. This joint venture, managing and marketing the Nembe crude stream, addresses challenges such as crude theft and pipeline attacks while aligning with Nigeria's goal of increasing oil output for enhanced government revenue. Another instance involves Vencer Energy LLC's acquisition of Hunt Oil Company's Midland Basin assets in April 2021, marking a significant step toward creating a substantial platform in the Lower 48 States and achieving Vencer's objective of owning high-quality, mature, and producing assets with development potential. This acquisition represents Vencer's first since its establishment by Vitol the previous year. Hunt Oil Company is an independent oil and gas company based in the United States.

Major companies operating in the crude oil market report are Saudi Arabian Oil Company, China National Petroleum Corporation, China Petroleum & Chemical Corporation, PetroChina Company Limited, Exxon Mobil Corporation, Royal Dutch Shell PLC, TotalEnergies SE, Chevron Corporation, BP PLC, Equinor ASA, ENI S.p.A., Gazprom OAO, Petróleos Mexicanos, Petrobras, Iraq National Oil Company, Rosneft Oil Company, Petroliam Nasional Berhad, ConocoPhillips, OMV Aktiengesellschaft, Sonatrach SPA, Qatar Petroleum, Occidental Petroleum Corporation, Ecopetrol S.A., Abu Dhabi National Oil Company, KazMunayGas, National Oil Corporation, PT Pertamina, Nigerian National Petroleum Corporation, Lukoil PJSC, Kuwait Petroleum Corporation.

Asia-Pacific was the largest region in the crude oil market in 2023. The regions covered in the crude oil market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the crude oil 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 crude oil market consists of sales of sweet crude oils, sour crude oils, light crude oils, medium crude oils, heavy crude oils, sweet light crude oils, and more. 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.

Crude oil is categorized into main types, transport, industrial, and others. In this context, "industrial" refers to a company primarily engaged in the production of goods. The classification based on nature includes organic and conventional. Various end-users of crude oil encompass the food and beverage industry, personal care and cosmetics sector, biofuel and energy applications, pharmaceuticals, and other miscellaneous end users.

The crude oil market research report is one of a series of new reports that provides crude oil market statistics, including crude oil industry global market size, regional shares, competitors with a crude oil market share, detailed crude oil market segments, market trends and opportunities, and any further data you may need to thrive in the crude oil industry. This crude oil 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 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.