Market Size of South Korea Oil & Gas Industry
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | 1.50 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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South Korea Oil and Gas Market Analysis
The South Korea Oil and Gas market is expected to grow at CAGR greater than 1.5% during the forecast period of 2022-2027.
The Covid-19 pandemic severely affected the oil and gas market in South Korea, leading to a fall in consumption and significant delays in major upcoming projects. Over the long-term, burgeoning demand for petrochemicals is expected to drive the market during the forecast period.
- Due to the growing demand for refined products and the maturity of the sector, the downstream segment is expected to retain its market share as the dominant segment
- Due to a lack of domestic reserves, the upstream sector is expected to see limited growth, restraining the growth of the market during the forecast period.
- The exploration and development of South Korea's unexplored offshore acreage remains a significant growth opportunity for the market during the forecast period.
South Korea Oil and Gas Industry Segmentation
The oil and gas market includes revenues from all operations involving the commercial production of hydrocarbons. These operations include exploration, production, transport, handling, storage and refining of hydrocarbons. The market is segmented by sector. By sector the market is segmented as upstream, midstream and downstream.
South Korea Oil & Gas Market Size Summary
The South Korea oil and gas market is poised for growth, driven by the increasing demand for petrochemicals and refined products. The downstream segment, characterized by its advanced oil refineries, remains the dominant force in the market. This segment's growth is fueled by the rising need for gasoline, diesel, and petroleum derivatives like ethylene, which are essential for the production of chemicals and polymers. Significant investments by major companies such as Kumho Petrochemical, DL Chemical, and LG Chem Ltd. aim to expand production capacities and enhance sustainability-focused chemical products. Despite the lack of domestic reserves limiting the upstream sector's growth, the exploration of unexplored offshore areas presents a promising opportunity for market expansion.
South Korea's reliance on imported gas to meet its fossil fuel consumption underscores the importance of the midstream sector. The country's strategic plan to increase LNG-based power plant capacity while phasing out coal-fired plants is expected to drive demand for LNG imports. This shift is supported by large-scale LNG purchase agreements, such as those by Korea Gas Corp (KOGAS), which is a major player in the market. The transition to LNG as a green fuel aligns with South Korea's decarbonization strategy, impacting future energy policies and infrastructure development. The market's concentration is evident with key players like KNOC, KOGAS, S-Oil Corporation, SK Energy, and Hyundai Oilbank Co., Ltd. playing pivotal roles in shaping the industry's landscape.
South Korea Oil & Gas Market Size - Table of Contents
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1. MARKET OVERVIEW
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1.1 Introduction
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1.2 Crude Oil Consumption Forecast in thousands barrels per day, till 2027
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1.3 Natural Gas Consumption Forecast in billion cubic feet per day, till 2027
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1.4 Refinery Installed Capacity and Forecast in thousand barrels per day, till 2027
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1.5 LNG Terminals Installed Capacity and Forecast in MTPA, till 2027
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1.6 Recent Trends and Developments
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1.7 Government Policies and Regulations
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1.8 Market Dynamics
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1.8.1 Drivers
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1.8.2 Restraints
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1.9 Supply Chain Analysis
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1.10 PESTLE Analysis
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South Korea Oil & Gas Market Size FAQs
What is the current South Korea Oil & Gas Market size?
The South Korea Oil & Gas Market is projected to register a CAGR of greater than 1.5% during the forecast period (2024-2029)
Who are the key players in South Korea Oil & Gas Market?
Korea National Oil Corporation (KNOC), Korea Gas Corporation (KOGAS), S-Oil Corporation, SK Energy and Hyundai Oilbank Co., Ltd are the major companies operating in the South Korea Oil & Gas Market.
