Global Tight Gas Market: Industry Analysis and Forecast (2021-2027)

[akash Arjun pingale]

By 2027, the Global Tight Gas Market is expected to reach US $45.04 Bn., thanks to growth in the Application segment. The report analyzes market dynamics by region and end-user industries.

Global Tight Gas Market Overview:

The global tight gas market size was valued at US $32.44 Bn. in 2019, and it is expected to reach US $45.04 Bn. by 2027 with a CAGR of 4.81% during the forecast period.

Tight gas is natural gas produced from reservoir rocks with poor permeability, which requires extensive hydraulic fracturing to produce the well at economic rates. This natural gas is confined within rocks with very low permeability. It is a type of unconventional source of natural gas. This gas was formed in cretaceous rocks 0.248 billion years ago. Solidification and recrystallization changed a traditional gas reserve, reducing the rock's permeability and trapping natural gas within these rock formations.

One of the most common method for accessing tight gas is hydraulic fracturing, which involves injecting fracking fluids into wells to break apart the rocks in the formation. This enhances permeability and makes it easier for gas to flow out of the trap. The extraction is then completed by the de-liquefaction process.

Global Tight Gas Market

To know about the Research Methodology :- Request Free Sample Report

2019 is considered as a base year to forecast the market from 2021 to 2027. 2020’s market size is estimated based on the real numbers and the outputs of the key players across the globe. The past five years trends are considered while forecasting the market through 2027. 2020 is a year of exception and is analyzed especially with the impact of lockdown by region.

Global Tight Gas Market Dynamics:

Shifting focus toward unconventional gas & supporting government policies.

As environmental concerns about the high carbon emissions from coal and petroleum products have grown, natural gas has become a cleaner option as compared to other fossil fuels. Some of the world's major countries in the Asia Pacific, Europe, and North America expects to be able to replace coal and other petroleum-based fuels with natural gas as the primary source of fuel. Thus, the rapid depletion of conventional gas reserves and rising energy demand for clean fuel are expected to drive the demand for unconventional natural gas reserves.

Also, the tight gas market in the United States has been driven by government investments, supportive regulations, and subsidies. Furthermore, the development of technologically improved practices in the United States is expected to raise tight gas production during the forecast period.

Unstable market conditions & stringent environmental policies.

During periods of high oil prices, upstream investment in tight gas production is higher; otherwise, long periods of low oil prices result in actual production drops. This pattern is expected to continue over the forecast period, hampering the growth of the market along with unstable market conditions. Tight gas extraction requires a large amount of water and produces toxic gases during drilling operations.

This has caused growing environmental concerns and strong resistance from social movements, bringing a halt to tight gas development across various potential reservoirs. The stringent environmental policies, as well as long periods of government scrutiny and permission approval, is expected to hamper the growth of the market over the forecast period. For example, in June 2019, Ascent Resources plc., based in the United Kingdom did not get the permissions it needed to restart production in its preexisting producing wells, including the tight gas reservoirs in the Petiovci field.

Global Tight Gas Market Segment Analysis:

Based on Application, the global tight gas market is segmented into five types as follows, Industrial, Power Generation, Commercial, Transportation, and Residential.

In 2019, the industrial segment was dominant and held 34.2% of the overall market share in terms of volume. The tight gas consumption of numerous value-added outputs required in the industrial sector can be related to the development. For example, tight gas is used as a feedstock in the production of fertilizer, chemicals, and a variety of other items. This trend has created various opportunities for tight gas-rich economies to enhance their industrial output in the coming years by using this ample resource.

The power generation segment is expected to grow at a CAGR of xx% in terms of volume over the forecast period. This can be related to an increasing trend in power plants around the world to shift from coal to gas. Lower carbon emissions from tight gas combustion compared to other fossil fuel combustion quality are expected to improve tight gas's share of the energy in various countries.

In 2019, based on the extensive application base of tight gas across household requirements, the residential sector occupied a considerable market share. The bulk of tight gas is used in residences for space and water heating. Increased expansion of the piped natural gas network to distribute the gas directly to homes has come from the rising use of tight gas in the residential sector.

Tight gas is expected to acquire massive strength as a transportation fuel thanks to its capacity to lower harmful pollution emissions and deliver cleaner combustion than other traditional fuel sources. The demand for low-cost, clean transportation fuel is anticipated to increase in growing economies like China and India.

Global Tight Gas Market

Global Tight Gas Market Regional Insights:

In 2019, North America was the dominant region and held the highest share 90.6% of the global tight gas market in terms of revenue and it is expected to continue its dominance over the forecast period. A crucial driver driving the market in the region is the deployment of modern drilling methods, as well as the availability of multiple tight gas reserves across the Permian Basin, Anadarko, Niobrara, and Bakken fields.

Given the availability of technically recoverable tight gas reserves, Argentina is expected to grow at a CAGR of xx% over the forecast period. Even though the country's tight gas production from mature fields has largely fallen, the Vaca Muerta formation's ongoing development is expected to bring production growth back on track. For example, Vaca Muerta makes up for more than 20% of the country's total natural gas production, with only 4% expected to join the development phase before 2019.

In the Asia Pacific, China is expected to gain a significant market share over the forecast period, leading to the country's goal of increasing domestic natural gas production, as well as rising demand for improving regional energy security. The majority of China's tight gas resources are found in the country's hilly regions. Drilling costs rise significantly as a result of such geography, restricting market growth in the region to some extent.

In June 2019, under a subsidy scheme for natural gas production from low-permeability tight gas deposits, the Chinese government extended ongoing incentives and granted new subsidies. Also, active drilling operations in areas with limited gas resources, such as the Sichuan and Ordos basins, improved well productivity and reduced drilling costs per well. This tendency is expected to have a favorable impact on the industry ecosystem across the nation.

Global Tight Gas MarketRecent Advancements:

• In August 2019, the acquisition of Anadarko Petroleum Corporation by Occidental Petroleum Corporation has been completed. The acquisition is expected to result in a significant extension of Occidental Petroleum Corporation's existing skills and services, which is expected to have an immediate positive impact on the company's revenues. Occidental is expected to incorporate all acquired assets, technology, and infrastructure into its business operations.

• In June 2019, Total declared that they have reached an agreement with Toshiba to manage its LNG portfolio's commercial operations. This agreement covers the tolling of 0.0022 billion tonnes of LNG produced annually at Freeport LNG Train 3 in Texas, as well as the transportation of the generated gas to pipelines that feed the terminals.

The objective of the report is to present a comprehensive analysis of the global tight gas market to the stakeholders in the industry. The past and current status of the industry with the forecasted market size and trends are presented in the report with the analysis of complicated data in simple language. The report covers all the aspects of the industry with a dedicated study of key players that include market leaders, followers, and new entrants.

PORTER, PESTEL analysis with the potential impact of micro-economic factors of the market have been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give a clear futuristic view of the industry to the decision-makers.

The report also helps in understanding the global tight gas market dynamics, structure by analyzing the market segments and project the global Tight Gas market size. Clear representation of competitive analysis of key players by product, price, financial position, product portfolio, growth strategies, and regional presence in the global tight gas market make the report investor’s guide.

for more info;https://www.maximizemarketresearch.com/market-report/global-tight-g...

Global Tight Gas Market Scope: Inquire before buying

Global Tight Gas Market

Global Tight Gas Market, by Region

• North America

• Europe

• Asia Pacific

• The Middle East and Africa

• South America

Global Tight Gas Market Key Players

• Chevron Corporation

• Royal Dutch Shell PLC

• ConocoPhillips

• Exxon Mobil Corporation

• PetroChina Company Limited

• Equinor ASA.

• CNPC

• Sinopec

• Canadian Natural

• YPF

• Valeura Energy

• BP plc

• Total Corporation

• Marathon Oil Company

• Ensign Natural Resources

• Devon Energy Corporation

• EOG Resources Inc.

• China Petrochemical Corporation

• Others

Frequently Asked Questions:

1. What is the forecast period considered for the tight gas market report?

Ans. The considered forecast period for the tight gas market is 2021-2027.

2. Which key factors are hindering the growth of the tight gas market?

Ans. The unstable market conditions and stringent environmental policies about tight gas production are the key factors expected to hinder the growth of the tight gas market over the forecast period.

3. What is the compound annual growth rate (CAGR) of the tight gas market for the next 6 years?

Ans. The global tight gas market is expected to grow at a CAGR of 4.81% during the forecast period (2021-2027).

4. What are the key factors driving the growth of the tight gas market?

Ans. The ample availability of tight gas along with shifting consumer focus toward unconventional gas and supporting government policies are expected to drive the growth of the market during the forecast period.

5. Which are the worldwide major key players covered for the tight gas market report?

Ans. Chevron Corporation, Royal Dutch Shell PLC, ConocoPhillips, Exxon Mobil Corporation, PetroChina Company Limited, Equinor ASA., CNPC, Sinopec, Canadian Natural, YPF, Valeura Energy, BP plc, Total Corporation, Marathon Oil Company, Ensign Natural Resources, Devon Energy Corporation, EOG Resources Inc., China Petrochemical Corporation, and Others.

For More Information Visit @:

This Report Is Submitted By : Maximize Market Research Company

Customization of the report:

Maximize Market Research provides free personalized of reports as per your demand. This

report can be personalized to meet your requirements. Get in touch with us and our sales team

will guarantee provide you to get a report that suits your necessities.

About Maximize Market Research:

Maximize Market Research provides B2B and B2C research on 20,000 high growth emerging

opportunities & technologies as well as threats to the companies across the Healthcare,

Pharmaceuticals, Electronics & Communications, Internet of Things, Food and Beverages,

Aerospace and Defense and other manufacturing sectors.