The GCC natural gas market is poised for substantial growth over the next decade, with projections indicating a rise from USD 55,248.7 million in 2023 to USD 85,799.6 million by 2033, achieving a steady compound annual growth rate (CAGR) of 4.5%, according to a recent report by Future Market Insights.

This growth is largely fueled by shifting regulatory policies aimed at supporting the energy transition towards more sustainable sources. Nations within the GCC are actively redefining their energy strategies to include a higher share of clean energy, significantly influencing market dynamics. A prime example is the UAE’s Energy Strategy 2050, which targets a 70% reduction in carbon emissions from power generation and aims to increase the share of clean energy in the national energy mix from 25% to 50% by 2050.

The unconventional natural gas sector in the GCC is expected to witness a significant uptick, with forecasts predicting an increase of more than 9.8% by 2033. This surge is driven by regional efforts to monetize non-conventional reserves, thereby reducing dependency on imported energy resources. Oman, in particular, has been a frontrunner in joining the unconventional oil and gas production boom.

Furthermore, the GCC holds some of the world’s largest and most profitable natural gas reserves, such as the North Field in the Persian Gulf, which is shared by Iran and Qatar. Recognized by the International Energy Agency (IEA) as the world’s largest gas reserve with an estimated 1,800 trillion cubic feet (TCF) of in-situ gas, the field offers low-cost development opportunities that are likely to attract continued investment.

The market’s expansion is also supported by significant industrial development within the GCC, particularly in sectors like power generation, water desalination, petrochemicals, refining, and fertilizers. Government initiatives aimed at diversifying economies and promoting industrialization are expected to further enhance the market outlook.

By 2033, the Saudi Arabian natural gas market alone is expected to grow by more than 3.9%, bolstered by a strategic focus on increasing unconventional gas production and rising consumption levels. Saudi Aramco’s recent announcement of an additional USD 7 billion investment to explore shale gas resources underscores the nation’s commitment to tapping into its extensive shale gas potential.

The development of unconventional natural gas reserves, such as Saudi Arabia’s Jafurah field, is set to open new avenues for firms specializing in unconventional resource technologies, further boosting the need for enhanced storage and pipeline capacities.

Who are the Top Players in the Market?

  • Royal Dutch Shell
  • Exxon Mobil
  • GAZPROM
  • Chevron
  • Total
  • ConocoPhillips
  • Statoil
  • Occidental Petroleum Corporation
  • Lukoil
  • British Petroleum
  • Petroleum Development Oman
  • General Electric
  • Qatar Petroleum
  • Eni
  • ONGC Videsh
  • Rosneft
  • Bahrain Petroleum Company

Recent Key Developments Observed by FMI:

  • In November 2021, Italy’s Saipem declared that it had won a USD 750 million engineering, procurement, and construction contract from Saudi Aramco for work on several kilometers of pipeline required for the Jafurah gas project.
  • Streamline Innovations Inc. (Streamline) and Zamil Group Trade & Services (Zamil), a trading company and supplier to the energy sector, announced a partnership in January 2022 to market and deploy Streamline environmentally forward hydrogen sulfide (H2S) treatment solutions in Saudi Arabia. Zamil may act as Streamline’s agent in the country under the terms of the agreement.

GCC Natural Gas Market Segmentation:

By Product:

  • Unconventional
    • Gas
      • Shale Gas
      • Tight Gas
      • Others
    • Transfer Mode
      • LNG
      • LPG
      • CNG
      • Others
  • Conventional
    • Transfer Mode
      • LNG
      • LPG
      • CNG
      • Others

By Application:

  • Residential Natural Gas
  • Commercial Natural Gas
    • Hotels
    • Hospitals
    • Educational Institutes
    • Government Buildings
    • Others
  • Industrial Natural Gas
    • Cement
    • Food & Beverages
    • Metal
    • Power Plants
    • Others

By End Use:

  • Transportation
  • Steam Generation
  • Cooking
  • Space Heating
  • Others

By Country:

  • Saudi Arabia
  • UAE
  • Kuwait
  • Qatar
  • Oman
  • Bahrain

Access Report Details for More In-Depth Information!

Author:

Nikhil Kaitwade (Associate Vice President at Future Market Insights, Inc.) has over a decade of experience in market research and business consulting. He has successfully delivered 1500+ client assignments, predominantly in Automotive, Chemicals, Industrial Equipment, Oil & Gas, and Service industries.

His core competency circles around developing research methodology, creating a unique analysis framework, statistical data models for pricing analysis, competition mapping, and market feasibility analysis. His expertise also extends wide and beyond analysis, advising clients on identifying growth potential in established and niche market segments, investment/divestment decisions, and market entry decision-making.

Nikhil holds an MBA degree in Marketing and IT and a Graduate in Mechanical Engineering. Nikhil has authored several publications and quoted in journals like EMS Now, EPR Magazine, and EE Times.

About Future Market Insights (FMI)

Future Market Insights, Inc. (ESOMAR certified, recipient of the Stevie Award, and a member of the Greater New York Chamber of Commerce) offers profound insights into the driving factors that are boosting demand in the market. FMI stands as the leading global provider of market intelligence, advisory services, consulting, and events for the Packaging, Food and Beverage, Consumer Technology, Healthcare, Industrial, and Chemicals markets. With a vast team of over 400 analysts worldwide, FMI provides global, regional, and local expertise on diverse domains and industry trends across more than 110 countries.

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