Press Release

Middle East & Africa Small-Scale LNG Market is Expected to Register a 5.91% CAGR Through 2030

Growing Demand for Clean Energy and Infrastructure Development & Technological Advancements are likely to propel the market during the forecast period.


According to TechSci Research report, “Middle East & Africa Small-Scale LNG Market – By Country, Competition, Forecast and Opportunities, 2020-2030F”, Middle East & Africa Small-Scale LNG Market was valued at USD 2.04 Billion in 2024 and is expected to reach USD 2.90 Billion by 2030 with a CAGR of 5.91% during the forecast period.

Government policies and international investments play a crucial role in driving the growth of the Small-Scale LNG market in the Middle East and Africa. Several countries in the MEA region are implementing policies that encourage the adoption of cleaner fuels and the development of LNG infrastructure. These policies are supported by international stakeholders, including multilateral organizations, development banks, and private investors, all of whom see the potential for small-scale LNG to improve energy access and promote economic growth.

In the Middle East, governments are increasingly looking to diversify their energy sources and reduce their dependence on oil, which has historically been the dominant energy source in the region. Several Gulf countries, including the UAE, Qatar, and Saudi Arabia, have introduced ambitious plans to invest in LNG infrastructure and cleaner energy technologies, such as small-scale LNG systems, to ensure a more sustainable future. These nations are also keen to position themselves as key players in the global LNG market, with small-scale LNG offering an opportunity to supply energy to underserved markets in Africa and other regions.

In Africa, governments are beginning to recognize the potential of small-scale LNG as a solution to the continent's energy challenges. Policies that encourage private sector investment in LNG projects are gaining traction, as are initiatives to improve regional cooperation in energy development. The African Development Bank, for instance, has supported several LNG-related initiatives to enhance energy access and promote economic growth. As a result, there has been a growing interest from international investors who are eager to support projects that can help bridge the energy gap in Africa.

With continued government backing and international investments, the small-scale LNG market in the MEA region is expected to thrive, providing a reliable, cleaner, and cost-effective energy solution for the future.


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Based on Application, Power generation dominates the Middle East & Africa Small-Scale LNG (SS LNG) market due to several key factors: energy access, the need for cleaner alternatives, and regional energy diversification strategies.

Many countries in the MEA region, particularly in Africa, face significant energy access challenges, with large populations lacking reliable electricity. Traditional power generation methods, such as coal and diesel, are often too expensive or unavailable in remote areas. Small-Scale LNG provides a flexible and efficient solution for meeting these energy needs. With LNG’s ability to be liquefied and transported to areas without pipeline infrastructure, it ensures that even off-grid or isolated regions can receive a steady and reliable power supply. This is particularly valuable for countries with growing populations and expanding energy demands, where traditional power generation infrastructure might be cost-prohibitive.

As the global focus shifts toward reducing carbon emissions and combating climate change, there is a growing push for cleaner energy sources. LNG is a far cleaner alternative to coal and oil, producing significantly lower emissions of carbon dioxide, sulfur dioxide, and particulate matter. In regions like the MEA, where heavy reliance on coal and diesel for power generation has contributed to environmental and health issues, LNG serves as a viable low-emission alternative. The demand for cleaner energy solutions has, therefore, driven the adoption of small-scale LNG in power generation projects.

Many countries in the MEA region, such as Egypt, South Africa, and parts of sub-Saharan Africa, are diversifying their energy mixes and seeking energy security. Small-Scale LNG plays a vital role in reducing reliance on imported fuels and ensuring stable energy supply. With LNG’s ability to complement renewable energy sources, such as solar and wind, small-scale LNG enables the creation of hybrid power systems that ensure grid stability and reliability.

Based on Country, Qatar is the fastest-growing country in the Middle East & Africa Small-Scale LNG (SS LNG) market due to a combination of strategic investments, abundant natural gas resources, and a forward-looking energy policy. As one of the world’s largest producers of natural gas, Qatar is leveraging its strong upstream capabilities to expand into smaller, more flexible LNG markets that address both domestic needs and regional demand.

One of the primary drivers of Qatar’s rapid growth in the SS LNG segment is its national strategy to diversify its LNG portfolio beyond large-scale exports. While Qatar has long dominated global LNG through mega-projects like the North Field expansion, it is increasingly investing in small-scale LNG infrastructure to target niche markets, particularly in remote or underserved areas in Africa and the Middle East. This aligns with the global trend toward decentralization of energy supply and the growing need for more adaptable, cleaner energy solutions.

Qatar’s advanced infrastructure, robust financial position, and state-backed entities such as QatarEnergy provide a solid foundation for the rapid deployment of SS LNG projects. The country is also investing in LNG bunkering and small LNG carriers, which are essential for servicing smaller ports and isolated regions that cannot accommodate large LNG vessels. Furthermore, Qatar's geographic position offers a strategic advantage for regional distribution. Located between Africa and Asia, it serves as a logistical hub for supplying LNG to nearby markets, including East Africa and parts of the Middle East that lack gas infrastructure.


Major companies operating in the Middle East & Africa Small-Scale LNG Market are:

  • Royal Dutch Shell plc
  • Chevron Corporation
  • TotalEnergies SE
  • BP p.l.c.
  • Eni S.p.A.
  • Gazprom PJSC
  • Novatek OAO
  • Engie SA


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The Middle East & Africa Small-Scale LNG market presents significant growth opportunities driven by increasing demand for cleaner energy, limited access to grid infrastructure, and the need for energy diversification. As governments focus on reducing carbon emissions and improving energy access in remote or off-grid areas, small-scale LNG offers a flexible and cost-effective solution. The market is poised for expansion through investments in LNG infrastructure, technological advancements, and the adoption of LNG in power generation, transportation, and industrial applications. Additionally, regional energy security concerns and a shift toward renewable energy integration further enhance the potential for SS LNG growth in the region.” said Mr. Karan Chechi, Research Director of TechSci Research, a research-based global management consulting firm.

Middle East & Africa Small-Scale LNG Market, By Type (Liquefaction Terminal, Regasification Terminal), By Mode of Supply (Trucks, Shipment & Bunkering, Rail Tanks, Pipeline, Others), By Storage Tank Capacity (Atmospheric, Pressurized, Floating Storage), By Application (Transportation, Industrial Feedstock, Power Generation, Others) By Country, Competition, Forecast & Opportunities, 2020-2030F”, has evaluated the future growth potential of Middle East & Africa Small-Scale LNG Market and provides statistics & information on Market size, structure and future Market growth. The report intends to provide cutting-edge Market intelligence and help decision-makers make sound investment decisions., The report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in the Middle East & Africa Small-Scale LNG Market.

 

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