Shale Gas Processing Equipment Market

Shale Gas Processing Equipment Market Outlook - 2026

The global shale gas processing equipment market size was valued at $4.5 billion in 2018, and is projected to reach $13.5 billion by 2026, growing at a CAGR of 14.8% from 2019 to 2026.

Equipment used in the shale gas processing are known as shale gas processing equipment. Popularly known equipment used in the shale gas processing include compressors & pumps, electrical machinery, heat exchangers, internal combustion engines, measuring & controlling devices, and others. Apart from these, the others segment includes separators & filters, hydrator/glycol dehydrator, injection systems, and storage tanks. These equipment are used in the midstream phase of the oil & gas industry, wherein, gas/shale gas is processed, refined, and treated before it is transported for commercial usage. These are high power equipment adopted in various processes, such as distillation, pyrolysis, reheating, cracking, and chemical treatment.

Abundance shale gas reserves in some of the geographies across the globe and its commercial exploitation is the major factor and it has an immense impact on the global market growth. In response to the increasing natural gas prices, oil & gas industry seeks an alternative to natural gas resources at economic terms. Shale gas is nothing but a natural gas trapped within a shale formation whose reserves are spread almost all across the globe. In 2015, the U.S. Energy Information Administration (EIA) claimed that, global shale gas reserves is estimated at 7,576 trillion cubic feet along with 418.9-billion-barrel tight oil (shale oil). These estimates are largely greater than the natural gas reserves.  Development in the drilling technologies have made shale gas production viable at economically feasible price. These factor is significantly driving the growth of the global shale gas processing equipment market. 

Heat exchanger is important equipment used in the overall gas processing plants. Technological evolution of heat exchangers is further contributing in the global shale gas processing equipment market growth. On the other hand, environmental hazards associated with hydraulic fracturing is the major restraining factor hampering the growth of the global shale gas processing equipment market. Nevertheless, growing initiatives from government from various geographies is anticipated to offer new growth opportunities over the forecast period.   

The global shale gas processing equipment market is segmented on the basis of component and country. On the basis of component, the global market is studied across compressors & pumps, electrical machinery, heat exchangers, internal combustion engines, measuring & controlling devices, and others. Others segment includes separators & filters, hydrator/glycol dehydrator, injection systems, and storage tanks. Compressor and pumps is the largest segment among all and its growing demand is significantly expanding the global shale gas processing equipment market size. 

Based on country, the global shale gas processing equipment market is studied across the U.S., Canada, China, Algeria, Mexico, Argentina, and others. The U.S. is the largest country level market among others due to abundant shale gas reserves and technically sound nature of the country, and investment in the shale gas exploration. Increased penetration of small-scale and mid-scale processing equipment manufacturers over large scale equipment manufacturers in the U.S. is one of the recent shale gas processing equipment market trend observed in recent years. China, on the other hand, is anticipated to be the next big country to commercially exploit shale reserves and offer lucrative growth opportunities in this market. This is due to high shale gas reserves in China and consistent initiatives and investment by government to start commercial production of shale gas. Hence, China progress in terms of global shale gas processing equipment market share during the forecast period.   

The major key players operating in the global shale gas processing equipment industry include Schlumberger Ltd, Sivalls, Inc, Van Air Systems, Croft Production Systems, Inc., Koch Industries, Inc., Pall Corporation, PEMCO, Burckhardt Compression AG, Gas Processing Equipment, and ATB Riva Calzoni S.p.A. 

Other players operating in shale gas processing equipment market include Exterran, Gastech Engineering Corporation, Honeywell UOP (Universal Oil Products), Johnson Controls, Newpoint Gas, LP. These major key players are adopting different strategies such as collaboration, partnership, product launch, joint venture, agreement, and acquisition, to stay competitive in the global market.

The U.S. is the largest country level market among others. The U.S. is the first country that has undertaken successful commercial scale production of shale gas and is offering scope to gas processing equipment. Therefore, the U.S. has the dominant share in the global shale gas market and is expected to be the largest one during the forecast period.

Based on component, Compressors and pumps segment accounted for the largest market share in 2018 and is expected to be the largest segment by the end of the forecast period. Demand for compressors is mainly seen in the U.S. as it is the largest market for shale gas processing equipment. Gas processing capacity have expanded in most of plants located in the U.S. as a result of increasing shale gas production. Hence, demand for compressors is rising in the U.S.      

Key Benefits for Shale Gas Processing Equipment Market:

• The Shale Gas Processing Equipment market analysis covers in-depth information of the major industry participants.
• Porter’s five forces analysis helps analyze the potential of buyers & suppliers and the competitive scenario of the industry for strategy building.
• Major countries have been mapped according to their individual revenue contribution to the regional market.
• The report provides an in depth analysis of the shale gas processing equipment market forecast for the period 2019-2026.
• The report outlines the current market trends and future scenario of the market from 2018 to 2026 to understand the prevailing opportunities and potential investment pockets

 Shale Gas Processing Equipment Market Report Highlights