Dublin, Jan. 03, 2024 (GLOBE NEWSWIRE) -- The "Saudi Arabia LPG Market Competition Forecast & Opportunities, 2028" report has been added to ResearchAndMarkets.com's offering.
Saudi Arabia Liquefied petroleum gas (LPG) Market is anticipated to grow at a brisk rate during the forecast period, 2024-2028
The LPG market is anticipated to grow in the next few years because of the rising demand for clean cooking fuels in both rural and urban households. Saudi Arabia proven natural gas reserves are 8,507 billion cu. m. in 2021 The largest proven natural gas reserves in the Persian Gulf are in Saudi Arabia.
Around 7 trillion cubic metres of proven natural gas reserves are available (250 trillion cubic feet). 10% of the world's LPG output, or 22% of production in the Middle East and Asia, comes from Saudi Arabia There are various commercial and industrial application that will continue to be the main driver of the LPG market growth in Saudi Arabia.
Increasing Government Initiatives to Aid Market Dynamics
Saudi Arabia demand for LPG has grown significantly in recent years. Saudi Arabia LPG consumption increased by 5% from the previous fiscal year (2019-20) to 27.6 million metric tonnes in 2020-21.
When Saudi Arabia Refining was created by the Saudi Government to handle oil production'. As a result, Saudi Aramco and Samarec, the nation's oil refining corporation, were merged by government decree. The next year, Saudi Aramco, the country's top crude oil refiner and distributor at the time gave its subsidiaries, , a 40% ownership stake. Since that time, all of the country's oil has been refined and distributed by Saudi Aramco.
Increasing Utilization of LPG in Transportation as an Alternative Fuel to Augment Growth
Auto gas or LPG is the most extensively utilized non-blended alternative to traditional oil-based transport fuels such as gasoline and diesel in terms of fleet size. Many countries have a developed market for vehicle fuels. The consumption of auto gas has increased steadily over the past 20 years, reaching a record high of 27.1 million tonnes in 2019 with an increase of 1% over the previous year. Despite this, demand has recently decreased, in part because of improved fuel efficiency and a loss in the fleet of Autogas cars in some key locations.
The results in different countries are highly different, with some seeing strong market growth in 2019 while others saw losses. The COVID-19, had caused a global pandemic in 2020, instantly caused a large drop in demand for Autogas and other transportation fuels. All of these elements are expected to increase demand for this gas in the residential sectors, during the estimated time period.
Increasing Emphasis on Utilization of BioLPG
BioLPG, renewable propane, or bio propane are all terms used to describe propane that is produced from renewable feedstocks such as plant and vegetable waste. Hence, bioLPG is an air-quality-unaffected fuel that burns cleanly. It has a long-term position in the energy mix and offers businesses a low-carbon alternative to moving away from coal and oil. In order to gradually transition to bioLPG, a chemically identical but unlimited variation of traditional LPG, a healthy market for liquefied petroleum gas can be created. As a direct renewable alternative to liquefied petroleum gas, the market for bioLPG is growing throughout Europe, and several of the top companies have set 100% sustainable goals.
Rising demand for LPG in Domestic Power Generation and the Automobile Sector
LPG is a clean, low-carbon form of transportation fuel. It is stored in inflated cylindrical cylinders. The LPG companies are also fueled by improvements in the technology for extracting and purifying natural gas. Production of LPG from natural gas is significantly higher than that of LPG from crude oil. Propane and butane are among the gases and liquids found in natural gas, which is collected from the earth's crust and used to make LPG.
The market for CNG and LPG vehicles is trending due to the growing use of clean energy around the world. With its many advantages over gasoline and diesel in terms of emissions, natural gas is the cleanest fossil fuel. The Environmental Protection Agency (EPA) is mandating strict emission standards primarily to reduce NOx and atmospheric particulate matter, which forces diesel emission technology to be as environment friendly as the low emission CNG and LPG technology.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 83 |
| Forecast Period | 2022 - 2028 |
| Estimated Market Value (Tonnes) in 2022 | Tonnes607.01 Thousand |
| Forecasted Market Value (Tonnes) by 2028 | Tonnes782.8 Thousand |
| Compound Annual Growth Rate | 4.3% |
| Regions Covered | Saudi Arabia |
Competitive Landscape
Company Profiles: Detailed analysis of the major companies present in the Saudi Arabia LPG Market.
- NGC Energy
- Saudi Arabian Oil Company (Saudi Aramco)
- Saudi National Gas & Industrialization Company (GASCO)
- Repsol YPF
- Saudi Gas Cylinder Factory (Enagas)
- Maritime Industrial Services (MIS)
- Rawabi Holding
- Dalma Energy
Report Scope:
Saudi Arabia LPG Market, By Application:
- Residential
- Industrial
- Commercial
- Agriculture
- Transportation
Saudi Arabia LPG Market, By Source:
- Refinery
- Associated Gas
- Non-Associated Gas
Saudi Arabia LPG Market, By Cylinder Capacity:
- 5kg
- 11-12.6kg
- 13-14.2kg
- 15-16.5kg
- 19-29.5kg
- More Than 29.5Kg
Saudi Arabia LPG Market, By Region:
- Northern & Central
- Western
- Eastern
- Southern
For more information about this report visit https://www.researchandmarkets.com/r/3uvlik
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