Global Natural Gas Storage Market by Type (Underground, Aboveground), by Underground Storage Type (Depleted Gas Reservoir, Salt Caverns) and Region (North America, Latin America, Europe, Asia Pacific and Middle East & Africa), Forecast To 2028

Summary of the Report

Global natural gas storage market was worth 482.8 BCM in 2019. It is expected to grow at a compound annual rate (CAGR), of 3.6% between 2020 and 2027. For the continuous supply of energy, storage facilities are essential. The forecast period will see rapid industrialization and increasing urbanization in the emerging economies of Asia Pacific. This is expected to boost the growth. High capital investment will likely to limit market growth. In 2019, the U.S. held 76.41% of the North American market. This trend is expected to continue in the future. The U.S. Energy Information Administration, (EIA) reports that nearly 120 entities manage over 400 underground storage sites in the United States (excluding Alaska and Hawaii).

Market growth is expected to be boosted by the rising demand for natural gas storage in America due to depleting reservoir storage. Market growth is expected to be stimulated by rising natural gas production and increasing seasonal demand from various end uses and industrial sectors within the region in the next few years.

The government's favorable regulations regarding low carbon fuels, compared to other fossil fuels, is expected to continue to be a factor in the rise in natural gas demand. The demand will be further fueled by technological advances and increased awareness about natural gas as a clean fuel.

Type Insights

The largest market share was 91% for underground storage in 2019. Natural gas, like most commodities, can be stored for long periods of time. Natural gas exploration and production take time. Natural gas is often not used at its destination immediately. Therefore, it is kept in storage facilities, most likely underground.

Underground natural gas storages are an important part of energy supply for seasonal demand, especially in North America and Europe. An uninterrupted and steady production is in contrast to volatile consumption and demand that follow a seasonal cycle. Due to the high demand for underground natural gases in the global market, the rate of consumption has been shown to rise continuously.

Aboveground storage tanks can also be used to store natural gas in liquid and gaseous form. Aboveground storage facilities can be built in areas that don't have underground caverns. These aboveground storage tanks are easy to access and cost-effective. Natural gas can also be stored in aboveground storage tanks. These tanks are used to store natural gas temporarily and are then loaded onto long-distance trains or barges. The market share for aboveground was second in 2019. It is expected to grow at a good rate during the forecast period.

Underground Storage Type Insights

The largest segment of underground storage was the depleted reservoir segment, which accounted for 77.4% of the total market. One of the most prominent and oldest forms of gas storage is depleted reservoirs. Formations that have been exhausted of all natural gas are called depleted reservoirs. Depleted reservoirs must have approximately 50% of the natural gas remaining in the formation as cushion gas to maintain pressure. Because they are well-equipped for storage, these reservoirs can be used primarily for gas storage. These reservoirs provide moderate gas delivery with a long gas cycle of 70 to 200 days.

The highest expected CAGR for salt cavern during the forecast period is 3%. Salt caverns are formed from salt deposits. Because they have walls that are structurally strong HTML3_, the caverns can be used for gas storage.

Aquifers are underground water reservoirs made from porous and permeable rocks. Because of the geological characterization required before storage, these are the most desirable and expensive natural gas storage facilities. Aquifers can be found at discovery pressure gradients close to hydrostatic pressure (8-12 kPa/m).

Regional Insights

North America held the largest market share, with over 40%, in 2019. Due to increased exploration and production in the region, as well as rising seasonal demand for natural gases, it is expected to maintain its dominant position. Asia Pacific will experience the fastest CAGR between 2020 and 2027 due to growing demand from end-use sectors.

China and India are the two largest markets in the region, owing to their rapidly growing end-use applications. Natural gas storages are used by many economies that have less natural gas production to meet their needs. These countries include Malaysia, Taipei and Indonesia. These factors will drive market growth in Asia Pacific.

Market Share Insights & Key Companies

These companies are active in mergers & acquisitions, technological innovations, research and development, as well as partnerships that will increase their market dominance. Many companies have also invested in expanding their production capabilities to increase their regional presence and portfolios. The following are some of the most prominent players in natural gas storage:

• McDermott International, Inc.

• NAFTA A.S.

• TransCanada Corp.

• Royal Vopak N.V.

• Chart Industries

• Uniper

• Enbridge, Inc.

• Gazprom

• Martin Midstream Partners L.P.

Up Market Research published a new report titled “Natural Gas Storage Market research report which is segmented by Type (Underground, Aboveground), by Underground Storage Type (Depleted Gas Reservoir, Salt Caverns), By Players/Companies Martin Midstream Partners LP, Enbridge Inc, Chart Industries, Gazprom, Uniper, McDermott International Inc, Royal Vopak NV, TransCanada Corp, NAFTA AS”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.

Report Scope

The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.

Global Natural Gas Storage Market Report Segments:

The market is segmented by Type (Underground, Aboveground), by Underground Storage Type (Depleted Gas Reservoir, Salt Caverns).

Natural Gas Storage Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.

Key Benefits for Industry Participants & Stakeholders:

• Industry drivers, restraints, and opportunities covered in the study
• Neutral perspective on the market performance
• Recent industry trends and developments
• Competitive landscape & strategies of key players
• Potential & niche segments and regions exhibiting promising growth covered
• Historical, current, and projected market size, in terms of value
• In-depth analysis of the Natural Gas Storage Market

Overview of the regional outlook of the Natural Gas Storage Market:

Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.

Highlights of The Natural Gas Storage Market Report:

1. The market structure and projections for the coming years.
2. Drivers, restraints, opportunities, and current trends of Natural Gas Storage Market.
3. Historical data and forecast.
4. Estimations for the forecast period 2028.
5. Developments and trends in the market.

                1. Underground

                2. Aboveground

                1. Depleted Gas Reservoir

                2. Salt Caverns

8. Market scenario by region, sub-region, and country.
9. Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
10. Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
11. Government Policies, Macro & Micro economic factors are also included in the report.

We have studied the Natural Gas Storage Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.

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Reasons to Purchase the Natural Gas Storage Market Report:

• The report includes a plethora of information such as market dynamics scenario and opportunities during the forecast period
• Segments and sub-segments include quantitative, qualitative, value (USD Million,) and volume (Units Million) data.
• Regional, sub-regional, and country level data includes the demand and supply forces along with their influence on the market.
• The competitive landscape comprises share of key players, new developments, and strategies in the last three years.
• Comprehensive companies offering products, relevant financial information, recent developments, SWOT analysis, and strategies by these players.