Shale Gas Market: Global Industry Analysis and Forecast (2023-2029)

Shale Gas Market size was valued at US$ 67.33 Bn. in 2022 and the total revenue is expected to grow at a CAGR of 8.5% from 2023 to 2029, reaching nearly US$ 119.19 Bn.
Shale Gas Market Overview:
The Shale Gas Market is expected to reach US$ 119.19 Bn. by 2029. Natural gas, primarily methane, is found below in shale rock and is known as "shale gas." Because it is found in shale, a less permeable rock formation than the sandstone, siltstone, or limestone where "conventional" gas is found, and because it is typically dispersed over a considerably broader region, it is categorised as unconventional gas. This report focuses on the different segments of the Shale Gas market (Technology, End-user, Components and Region). In-depth analysis of the leading industry participants and regions is provided in this report (North America, Asia Pacific, Europe, Middle East & Africa, and South America). It provides a comprehensive analysis of the various sectors' tremendous modern-era growth. The key data analysis from 2018 to 2022 is highlighted through figures, images, and presentations. The market drivers, restraints, opportunities, and challenges for Shale Gas are examined in this report. The MMR report's investment suggestions are based on a thorough examination of the current competitive environment in the Shale Gas market.To know about the Research Methodology:- Request Free Sample Report

COVID-19 Impact on the Shale Gas Market:

Due to the volatility of crude oil and natural gas prices, Break-Even (BE) prices for fracking operations, financial and technical limitations within the industry, development of the global hydrocarbon demand, political and regulatory factors in the US, and environmental and societal sustainability, US shale oil and gas demand decreased, prices fell, and bankruptcies were announced at unusually high rates. Since 2010, the US shale market has had over 190 bankruptcies, more than $450 billion in capital impairments, and net negative free cash flows of $300 billion. These factors have a negative effect on the global shale gas market.

A conflict over the administration of the core oil market has emerged at the same time as COVID-19. This issue primarily concerns the market shares held by Saudi Arabia, the largest sovereign producer among OPEC members, and Russia, which has collaborated with OPEC as "OPEC+" along with Mexico and occasionally Norway. The global oil sector is in shambles as a result of the combined effects of OPEC+ chaos and extremely low global demand brought on by the pandemic. Oil market management disputes eventually lead to lower pricing.

As countries throughout the globe started to stabilize their economy, demand fell, resulting in historically low oil and gas prices. As a result, investing in LNG production and export infrastructure lost its appeal. U.S. producers started to doubt their investment timetables for fresh LNG export projects as demand fell precipitously. Seven U.S. LNG projects with a combined potential capacity of around 14 billion cubic feet per day have delayed making final investment decisions.

The abnormally mild winter in the northern hemisphere at the beginning of 2022 had a negative effect on natural gas use. An economic downturn in almost all countries and territories around the world shortly followed this, along with the implementation of partial to full lockdown measures in reaction to COVID-19. All major gas markets as of early June had either decreased demand or, at best, sluggish growth, as is the situation with the People's Republic of China (hence referred to as "China"). With a 7 percent year-over-year loss so far in 2022, Europe is the market that has been impacted the hardest. Major spot indices for natural gas are at record lows due to the global oversupply.

Nearly all industries were affected by COVID-19 because it interfered with various industrial processes and the supply chain. Due to fewer employees, the majority of businesses stopped operating. However, COVID-19's effects are causing a slow fall in the global shale gas market. Additionally, import and export activities were considerably damaged, which had a negative influence on the industries that use shale gas and the global shale gas market.
Shale Gas Market Dynamics:
The use of unconventional natural gas reserves including shale gas, tight gas, and coal bed methane has increased due to the increase in global energy demand and the depletion of traditional gas reservoirs. The market is also expected to grow as a result of rising technological developments in shale drilling. Commercial amounts of shale gas that are trapped deep inside the shale source rock are obtained using hydraulic fracturing, combined with additional techniques of directional drilling and horizontal drilling.

The process of extracting shale gas produces hazardous pollutants and uses a lot of water. Environmental concerns have increased as a result, and activists have become more vocal in their opposition, which is expected to hamper market growth. The market demand is expected to be driven by technological developments for non-conventional gas drilling in deep water and ultra-deepwater.

Production and processing, gas transmission and storage, and distribution to big-volume clients, businesses, and households are all parts of the market supply chain. The COVID-19 outbreak, however, has negatively affected the upstream, midstream, and downstream portions of the shale gas supply chain, leaving a sizable imbalance in the supply and demand equilibrium.
Shale Gas Market Segment Analysis:
The Shale Gas Market is segmented by Technology, and End-user.

Based on the Technology, the market is segmented into Horizontal fracking, Vertical fracking, and Rotary fracking. Vertical fracking Technology segment is expected to hold the largest market share of xx% by 2029. This is due to its advantages over other fuels, which include low cost and little carbon breakdown as compared to other fuels.

Horizontal fracking Technology segment is expected to grow rapidly at a CAGR of xx% during the forecast period 2022-2029. In comparison to vertical drilling, directional or horizontal drilling gives producers more freedom and precision when reaching and extracting oil/gas. By drilling in many directions from one well pad, horizontal drilling also lessens the ecological impact of a drilling operation above ground.

Based on the End-user, the market is segmented into Residential, Commercial, Industrial, Power generation, and Transportation. Power generation End-user segment is expected to grow rapidly at a CAGR of xx% during the forecast period 2022-2029. It is expected that the rising trend of power plants converting from coal to gas will significantly impact market growth. Governments aim for a rising share of shale gas in the nation's energy mix. Due to its cleaner burning than other fossil fuels, power generation drives the majority of demand in international markets.Industrial End-user segment is expected to grow rapidly at a CAGR of xx% during the forecast period 2022-2029. During the forecast period, the industrial segment is expected to be driven by the conversion of shale gas into value-added outputs. Opportunities to utilise this plentiful resource to increase industrial output would result in higher value-added goods that could subsequently be exported abroad more easily than the main energy source for practically any country rich in shale gas. For instance, natural gas is needed as a feedstock in the manufacturing of chemicals, fertilisers, and a number of other goods.

Residential End-user segment is expected to grow rapidly at a CAGR of xx% during the forecast period 2022-2029. The majority of the natural gas used in the residential sector is used for space and water heating. During the forecast period, it is expected that a rising network of natural gas pipelines with direct supply to households will significantly increase the shale gas market.
Regional Insights:
The North American region is expected to dominate the Shale Gas Market during the forecast period 2022-2029. The North American region is expected to hold the largest market share of xx% by 2029. Due to the use of horizontal drilling and hydraulic fracturing to extract ultra-hard shale from deep underground reserves spread across the nation, the U.S. is the main contributor to regional growth.

The International Trade Center states that due to increased exploration and production, the United States held the top spot in the global rankings of gas producers in 2022. Prior to the emergence of shale gas, the United States was a net importer of natural gas; now, it is an exporter. Major U.S. players are spending extensively in unconventional development since it is a dependable way to reduce carbon footprint.

Due to the advancement of drilling and well completion methods, including long-reach horizontal wellbores and multistage hydraulic fracturing, Canada offers long-term prospects for the delivery of natural gas across North America. In Canada, shale gas deposits can be discovered in a number of provinces and territories as well as British Columbia, Saskatchewan, Alberta, Ontario, New Brunswick, Manitoba, Quebec, and Nova Scotia.

Asia Pacific region is expected to grow rapidly at a CAGR of xx% during the forecast period 2022-2029. China is estimated to have the most technically recoverable resources in the entire globe. China's government has established large output goals. Large market participants have attractive opportunities to explore and produce unconventional gas in the nation due to these established targets, which also draw significant investments from around the globe.

The objective of the report is to present a comprehensive analysis of the Global Shale 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 has 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 reports also help in understanding the Global Shale Gas Market dynamic and structure by analyzing the market segments and projecting the Global Shale Gas Market size. Clear representation of competitive analysis of key players by Distribution Channel, price, financial position, product portfolio, growth strategies, and regional presence in the Shale Gas Market make the report investor’s guide.
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Global Shale Gas Market


Report Coverage
Details


Base Year:
2022
Forecast Period:
2023-2029


Historical Data:
2018 to 2022
Market Size in 2022:
US $ 67.33  Bn.


Forecast Period 2023 to 2029 CAGR:
8.5%
Market Size in 2029:
US $ 119.19 Bn.


 Segments Covered:
by Technology
Horizontal fracking
Vertical fracking
Rotary fracking


by End-user
Residential
Commercial
Industrial
Power generation
Transportation


by Component
Compressors & Pumps
Electrical Machinery,
Heat Exchangers
Internal Combustion Engines
Measuring & Controlling Devices



Shale Gas Market, by Region
Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan and Rest of APAC)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria and Rest of Europe)
North America (United States, Canada and Mexico)
Middle East and Africa (South Africa, GCC, Egypt, Nigeria and Rest of ME&A)
South America (Brazil, Argentina Rest of South America)
Key Players
1. Royal Dutch Shell PLC
2. ConocoPhillips
3. PetroChina Company Limited
4. Exxon Mobil Corporation
5. Chevron Corporation
6. Chesapeake Energy Corporation
7. Reliance Industries Limited
8. SM Energy
9. Talisman Energy Inc.
10. BHP Billiton Limited
11. Anadarko Petroleum Corporation
12. Antero Resources
13. Cabot Oil & Gas
14. Devon Energy
15. Encana Corporation
16. Baker Hughes Incorporation

Frequently Asked Questions:

1] Which region is expected to hold the highest share in the Shale Gas Market?
Ans. The North American region is expected to hold the highest share in the Shale Gas Market.

2] Who are the top key players in the Shale Gas Market?
Ans. Royal Dutch Shell PLC, ConocoPhillips, PetroChina Company Limited, Exxon Mobil Corporation, and Chevron Corporation are the top key players in the Shale Gas Market.

3] Which segment is expected to hold the largest market share in the Shale Gas Market by 2029?
Ans. Vertical fracking Technology segment is expected to hold the largest market share in the Shale Gas Market by 2029.

4] What is the market size of the Shale Gas Market by 2029?
Ans. The market size of the Shale Gas Market is expected to reach US $ 119.19 Bn. by 2029.

5] What was the market size of the Shale Gas Market in 2022?
Ans. The market size of the Shale Gas Market was worth US $ 67.33 Bn. in 2022.