LNG Infrastructure Market Size (2024 - 2029)

The LNG infrastructure market is experiencing growth, driven by the increasing adoption of natural gas across various sectors to reduce carbon emissions and global investments in cleaner environmental initiatives. Despite potential challenges from alternative energy sources like nuclear and renewables, the market is poised for expansion, particularly in non-OECD Asian countries, where a significant supply-demand imbalance is anticipated. This situation presents opportunities for LNG infrastructure development. The Asia-Pacific region is expected to lead the market, supported by substantial liquefaction and regasification terminal capacities in countries such as Australia, Indonesia, Japan, and China.

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Market Size of LNG Infrastructure Industry

LNG Infrastructure Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
CAGR 6.00 %
Fastest Growing Market Asia Pacific
Largest Market Asia Pacific
Market Concentration Low

Major Players

LNG Infrastructure Market Major Players

*Disclaimer: Major Players sorted in no particular order

LNG Infrastructure Market Analysis

The LNG infrastructure market is projected to register a CAGR of 6% during the forecast period.

In 2020, COVID-19 had a detrimental effect on the market. Presently, the market has reached pre-pandemic levels.

  • Over the medium period, the market drivers for LNG infrastructure include the growing uses of natural gas in various sectors, such as power, to have lower carbon emissions and the investments that nations around the world are making in having a cleaner environment.
  • On the other hand, alternative sources of energy, such as nuclear energy production and renewable technology developments in various regions, may act as a restraint for the market's growth during the forecast period.
  • Nevertheless, as per the Energy Information Administration (EIA), non-OECD Asian countries like China, India, Bangladesh, Thailand, and Vietnam are expected to consume 120 billion cubic feet per day (bcf/d) of natural gas by 2050, outpacing regional natural gas production by 50 bcf/d. The supply imbalance in the region is likely to result in increasing dependency on other regions, which is expected to create an opportunity for the LNG infrastructure companies to penetrate markets.
  • Asia-Pacific is expected to dominate the LNG infrastructure market with the presence of both liquefaction and regasification terminals. Countries such as Australia, Indonesia, and Malaysia have the highest capacity liquefaction terminals, while Japan, South Korea, China, and India have the highest capacity infrastructure for the regasification of LNG.

LNG Infrastructure Industry Segmentation

LNG infrastructure refers to the facilities and systems that are used for the production, transportation, storage, and distribution of liquefied natural gas (LNG). The LNG infrastructure typically includes natural gas processing plants, liquefaction plants, storage tanks, marine terminals, and regasification plants.

The LNG infrastructure market is segmented by type and geography (North America, Asia-Pacific, Europe, South America, the Middle East, and Africa). By type, the market is segmented into regasification terminals and liquefaction terminals. The report also covers the market size and forecasts for the LNG infrastructure market across major regions. For each segment, market sizing and forecasts have been done based on CAPEX (USD billion).

Type
Regasification Terminal
Liquefication Terminal
Geography
North America
United States
Canada
Mexico
Europe
Germany
France
Spain
United Kingdom
Rest of Europe
Asia-Pacifc
China
India
Japan
South Korea
Rest of Asia-Pacifc
South America
Brazil
Argentina
Rest of South America
Middle East and Africa
United Arab Emirates
Saudi Arabia
Rest of Middle East and Africa
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LNG Infrastructure Market Size Summary

The LNG infrastructure market is experiencing a resurgence, having recovered to pre-pandemic levels after the setbacks caused by COVID-19. The market is driven by the increasing adoption of natural gas across various sectors, particularly in power generation, due to its lower carbon emissions compared to coal. This shift is supported by global investments aimed at fostering a cleaner environment. However, the market faces challenges from the development of alternative energy sources, such as nuclear and renewable technologies, which could potentially restrain its growth. Despite these challenges, significant opportunities are emerging, particularly in non-OECD Asian countries like China, India, and others, where the demand for natural gas is expected to outpace local production, necessitating increased reliance on LNG imports. This supply-demand imbalance is poised to create lucrative prospects for LNG infrastructure companies to expand their market presence.

Asia-Pacific is anticipated to dominate the LNG infrastructure market, bolstered by the presence of both liquefaction and regasification terminals. Countries such as Australia, Indonesia, and Malaysia lead in liquefaction capacity, while Japan, South Korea, China, and India excel in regasification infrastructure. The region's dominance is further reinforced by the ongoing development of floating LNG terminals and the expansion of regasification capacities in China and India. The market is characterized by a fragmented landscape with key players like TechnipFMC, Fluor Corporation, Saipem, JGC Holdings, and Bechtel Corporation actively participating. As global LNG trade continues to grow, the demand for regasification infrastructure is expected to rise, driven by increasing LNG imports and the construction of new terminals. This trend is particularly evident in countries like Germany, which is investing in substantial LNG infrastructure to ensure supply security, and India, where efforts are underway to enhance natural gas accessibility through small-scale LNG facilities.

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LNG Infrastructure Market Size - Table of Contents

  1. 1. MARKET OVERVIEW

    1. 1.1 Introduction

    2. 1.2 List of LNG Terminals by Capacity, and by Location

    3. 1.3 List of Upcoming Terminals by Capacity and Location

    4. 1.4 CAPEX Forecast for LNG Terminals Market, till 2028

    5. 1.5 Recent Trends and Developments

    6. 1.6 Government Policies and Regulations

    7. 1.7 Market Dynamics

      1. 1.7.1 Drivers

      2. 1.7.2 Restraints

    8. 1.8 Supply Chain Analysis

    9. 1.9 Porter's Five Forces Analysis

      1. 1.9.1 Bargaining Power of Suppliers

      2. 1.9.2 Bargaining Power of Consumers

      3. 1.9.3 Threat of New Entrants

      4. 1.9.4 Threat of Substitute Products and Services

      5. 1.9.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 Type

      1. 2.1.1 Regasification Terminal

      2. 2.1.2 Liquefication Terminal

    2. 2.2 Geography

      1. 2.2.1 North America

        1. 2.2.1.1 United States

        2. 2.2.1.2 Canada

        3. 2.2.1.3 Mexico

      2. 2.2.2 Europe

        1. 2.2.2.1 Germany

        2. 2.2.2.2 France

        3. 2.2.2.3 Spain

        4. 2.2.2.4 United Kingdom

        5. 2.2.2.5 Rest of Europe

      3. 2.2.3 Asia-Pacifc

        1. 2.2.3.1 China

        2. 2.2.3.2 India

        3. 2.2.3.3 Japan

        4. 2.2.3.4 South Korea

        5. 2.2.3.5 Rest of Asia-Pacifc

      4. 2.2.4 South America

        1. 2.2.4.1 Brazil

        2. 2.2.4.2 Argentina

        3. 2.2.4.3 Rest of South America

      5. 2.2.5 Middle East and Africa

        1. 2.2.5.1 United Arab Emirates

        2. 2.2.5.2 Saudi Arabia

        3. 2.2.5.3 Rest of Middle East and Africa

LNG Infrastructure Market Size FAQs

The LNG Infrastructure Market is projected to register a CAGR of greater than 6% during the forecast period (2024-2029)

JGC Holdings Corporation , Bechtel Corporation , Fluor Corporation , TechnipFMC plc and Saipem SpA are the major companies operating in the LNG Infrastructure Market.

LNG Infrastructure Market Report Snapshots

LNG Infrastructure Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)