Natural Gas Pipeline Market Outlook - 2027
In a typical natural gas field, several small gathering lines lead from each well to gas processing facilities. At the gas processing facility, natural gas liquids (NGLs) such as ethane, propane and butane, are separated from the natural gas, and contaminants such as water, carbon dioxide and hydrogen sulfide are removed, before being transported via liquid pipelines to oil refineries for processing.
Once it is processed, natural gas pipeline operators ship the natural gas through large transmission pipelines to the people who need it. Compressor stations are located along the pipeline route every 65 to 160 km. Large compressors similar to jet engines move natural gas through the pipeline at around 40 km an hour.
- The global market for natural gas pipelines is severely impacted by the outbreak of the COVID-19 pandemic.
- The COVID-19 pandemic saw a decline in the economic growth in almost all the major countries, thus affecting consumer spending patterns.
- Owing to the lockdown implemented across various countries, national and international transport have been hampered, which has significantly impacted the supply chain of numerous industries across the globe, thereby increasing the supply–demand gap.
- Thus, insufficiency in raw material supply is expected to hamper the production rate of natural gas pipelines, which negatively impact the market growth.
Top impacting factors: Market Scenario Analysis, Trends, and Drivers
Steel is one of the major raw materials used in manufacturing natural gas pipelines and the cost of steel amounts to approximately 16% of the total cost for manufacturing one mile of gas pipeline. As a result, the current trend of decreasing steel prices will substantially drive the growth of the natural gas pipeline market in the next few years.
Among all factors, increasing number of onshore for natural gas pipeline will have a positive impact on the growth of the market. Plus, the increasing investment in R&D of the product will lead to better products.
However, the rise in energy prices increases the manufacturing costs, the reduction in prices of Iron ore and steel scrap, which are used as raw material to make steel, will fuel the growth of the natural gas pipeline market during the forecast period.
The global natural gas pipeline market is studied across major four regional markets including North America, Europe, Asia-Pacific, and LAMEA. North America is expected to be the largest market in the coming years in response to increase in several technological developments. In addition, rise in investments on service-based things in the oil & gas industry is further expected to complement the growth of this region.
Key benefits of the report:
- This study presents the analytical depiction of the global natural gas pipeline market along with the current trends and future estimations to determine the imminent investment pockets.
- The report presents information related to key drivers, restraints, and opportunities along with detailed analysis of the global natural gas pipeline market share.
- The current market is quantitatively analyzed to highlight the global natural gas pipeline market growth scenario.
- Porter’s five forces analysis illustrates the potency of buyers & suppliers in the market.
- The report provides a detailed global natural gas pipeline market analysis based on competitive intensity and how the competition will take shape in coming years.
Natural Gas Pipeline Market Report Highlights
Key Market Players
Omega Flex, Inter Pipeline, Gastite, Kinder Morgan (KMI), Northern Natural Gas., Continental Industries, Weber, Wheatland Tube, Caspian Pipeline Consortium, Natural Gas Pipeline