Report Description

Saudi Arabia Liquefied petroleum gas (LPG) Market is anticipated to grow at a brisk rate during the forecast period, 2024-2028. The country's 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.

Throughout the past ten years, there have been significant increase in the LPG market in Saudi Arabia.

Liquefied petroleum gas, also known as propane, is a flammable hydrocarbon gas that is frequently used as a safe, sulfur-free fuel. It also has trace amounts of other hydrocarbons, including butane (C4H10) and propane (C3H8),. LPG is preferred over a number of other energy fuels because it protects the environment by emitting less carbon and sulphur during combustion. LPGis often used in process industries to fuel the boilers that create steam and boil water. It is frequently used as a cooking gas in homes due to its high flash point and low GHG emissions when compared to other fuels. LPG is produced by refining natural gas or crude oil obtained from the extraction of fossil fuels. Natural gas is separated from the wet natural gas stream produced as a byproduct of refining oil during processing. It is commonly delivered within LPG cylinders and stored as a liquid under moderate pressure.

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.


Download Free Sample Report

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.

 

Recent Development:

  • Saudi Aramco and China inked a contract on March 21, 2021, to safeguard China's energy supplies for the ensuing 50 years and to work together to create cutting-edge climate change technologies. They inked a contract with a group headed by EIG more recently.
  • Saudi Aramco made plans to achieve net-zero carbon emissions from its wholly owned enterprises by 2050 in October 2021.
  • Saudi Aramco announced in August 2022 that it will pay USD 2.65 billion to buy Valvoline's petroleum division.
  • Following a rise in crude prices to about USD 95 per barrel in February 2022, Saudi Arabia's Aramco increased oil rates for customers in Asia, the US, and Europe.
  • Aramco struck a contract in April 2019 to pay USD 1.24 billion for a 13% share in the South Korean oil refiner Hyundai Oilbank. In a same vein, Aramco inked a contract to provide country crude oil to Poland's largest oil refiner, PKN Orlen, in the same month. Moreover, Aramco intends to become a significant LPG producer globally in the future. It sold its first LPG shipment from Singapore to a customer in India. To accomplish its objective regarding the LPG market, the company is searching internationally for potential joint ventures and partnerships.

Market Segmentation
The Saudi Arabia LPG Market is divided into application, source, and cylinder capacity and Region. Based on application, the market is further divided into residential, industrial, commercial, agriculture, and transportation. Based on source, the market is further split into refinery, associated gas, non-associated gas. Based on cylinder capacity, the market is divided into 5kg, 11-12.6kg, 13-14.2kg, 15-16.5kg, 19-29.5kg, More Than 29.5 Kg. Based on region, the market is segmented into Northern & Central, Western, Eastern, Southern.

Market Players
Major market players in the Saudi Arabia LPG Market are 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, and Dalma Energy.

Attribute

Details

Base Year

2022

Historic Data

2018 – 2022

Estimated Year

2023

Forecast Period

2024 – 2028

Quantitative Units

Volume (Thousand Tonnes) and CAGR for 2018-2022 and 2023-2028

Report coverage

Revenue forecast, company share, growth factors, and trends

Segments covered

By Application

By Source

By Cylinder Capacity

By Region

Region scope

Northern & Central, Western, Eastern, Southern

Key companies profiled

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

Customization scope

10% free report customization with purchase. Addition or alteration to country, regional & segment scope.

Pricing and purchase options

Avail customized purchase options to meet your exact research needs. Explore purchase options

Delivery Format

PDF and Excel through Email (We can also provide the editable version of the report in PPT/Word format on special request)

Report Scope:

In this report, the Saudi Arabia LPG Market has been segmented into following categories, in addition to the industry trends which have also been detailed below:

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

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Saudi Arabia LPG Market.

Available Customizations:

With the given market data, Tech Sci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

  • Detailed analysis and profiling of additional market players (up to five).

Saudi Arabia LPG Market is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at [email protected]

Table of content

1.    Product Overview

2.    Research Methodology

2.1.  Objective of the Study

2.2.  Baseline Methodology

2.3.  Key Industry Partners

2.4.  Major Association and Secondary Sources

2.5.  Forecasting Methodology

2.6.  Data Triangulation & Validation

2.7.  Assumptions and Limitations

3.    Impact of COVID-19 on Saudi Arabia LPG Market

4.    Executive Summary

5.    Voice of Customers

6.    Saudi Arabia LPG Market Outlook

6.1.  Market Size & Forecast

6.1.1.    By Volume (Thousand Tonnes)

6.2.  Market Share & Forecast

6.2.1.    By Application (Residential, Industrial, Commercial, Agriculture, Transportation)

6.2.2.    By Source (Refinery, Associated Gas, Non-Associated Gas)

6.2.3.    By Cylinder Capacity (5kg, 11-12.6kg, 13-14.2kg, 15-16.5kg, 19-29.5kg, More Than 29.5Kg)

6.2.4.    By Region (Northern & Central, Western, Eastern, Southern)

6.2.5.    By Company (2022)

6.3.  Market Map

7.    Saudi Arabia Residential LPG Market Outlook

7.1.  Market Size & Forecast

7.1.1.    By Volume (Thousand Tonnes)

7.2.  Market Share & Forecast

7.2.1.    By Source

7.2.2.    By Cylinder Capacity

8.    Saudi Arabia Industrial LPG Market Outlook

8.1.  Market Size & Forecast

8.1.1.    By Volume (Thousand Tonnes)

8.2.  Market Share & Forecast

8.2.1.    By Source

8.2.2.    By Cylinder Capacity

9.    Saudi Arabia Commercial LPG Market Outlook

9.1.  Market Size & Forecast

9.1.1.    By Volume (Thousand Tonnes)

9.2.  Market Share & Forecast

9.2.1.    By Source

9.2.2.    By Cylinder Capacity

10. Saudi Arabia Agriculture LPG Market Outlook

10.1.             Market Size & Forecast

10.1.1. By Volume (Thousand Tonnes)

10.2.             Market Share & Forecast

10.2.1. By Source

10.2.2. By Cylinder Capacity

11. Saudi Arabia Transportation LPG Market Outlook

11.1.             Market Size & Forecast

11.1.1. By Volume (Thousand Tonnes)

11.2.             Market Share & Forecast

11.2.1. By Source

11.2.2. By Cylinder Capacity

12. Market Dynamics

12.1.             Drivers

12.2.             Challenges

13. Market Trends & Developments

14. Policy & Regulatory Landscape

15. Saudi Arabia Economic Profile

16. Company Profiles

16.1.             NGC Energy

16.1.1. Business Overview

16.1.2. Key Revenue and Financials (If Available)

16.1.3. Recent Developments

16.1.4. Key Personnel

16.1.5. Key Product/Services

16.2.             Saudi Arabian Oil Company (Saudi Aramco)

16.2.1. Business Overview

16.2.2. Key Revenue and Financials (If Available)

16.2.3. Recent Developments

16.2.4. Key Personnel

16.2.5. Key Product/Services

16.3.             Saudi National Gas & Industrialization Company (GASCO)

16.3.1. Business Overview

16.3.2. Key Revenue and Financials (If Available)

16.3.3. Recent Developments

16.3.4. Key Personnel

16.3.5. Key Product/Services

16.4.             Repsol YPF

16.4.1. Business Overview

16.4.2. Key Revenue and Financials (If Available)

16.4.3. Recent Developments

16.4.4. Key Personnel

16.4.5. Key Product/Services

16.5.             Saudi Gas Cylinder Factory (Enagas)

16.5.1. Business Overview

16.5.2. Key Revenue and Financials (If Available)

16.5.3. Recent Developments

16.5.4. Key Personnel

16.5.5. Key Product/Services

16.6.             Maritime Industrial Services (MIS)

16.6.1. Business Overview

16.6.2. Key Revenue and Financials (If Available)

16.6.3. Recent Developments

16.6.4. Key Personnel

16.6.5. Key Product/Services

16.7.             Rawabi Holding

16.7.1. Business Overview

16.7.2. Key Revenue and Financials (If Available)

16.7.3. Recent Developments

16.7.4. Key Personnel

16.7.5. Key Product/Services

16.8.             Dalma Energy

16.8.1. Business Overview

16.8.2. Key Revenue and Financials (If Available)

16.8.3. Recent Developments

16.8.4. Key Personnel

16.8.5. Key Product/Services

17. Strategic Recommendations

18. About Us & Disclaimer

Figures and Tables

Frequently asked questions

down-arrow

The key players profiled in the report include Emirates 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 and many more.

down-arrow

By 2024, a sizable retailer will progressively swap out LPG outlets for EV charging stations. Owners of vintage and contemporary vehicles that have been converted to run on autogas (LPG) will find it more challenging to fill up in the coming two years as the Motor Fuels Group plans to phase out all of its LPG pumps by 2024.

down-arrow

Almost 17% of the world's proven petroleum reserves are in Saudi Arabia. The country’s other natural resources, in addition to petroleum, include natural gas, iron ore, gold, and copper.

down-arrow

The primary obstacles to the growth of the LPG market in the Saudi Arabia are the growing use of piped natural gas (PNG) for households and compressed natural gas (CNG) for automobiles as substitutes.

profile

Parvati Sharma

Account Manager BD
Press Release

Saudi Arabia LPG Market Expected to register a high CAGR through 2028

Jun, 2023

The petrochemical industry''s expansion, increased consumer demand from the residential and commercial sectors are expected to drive the demand in Saudi Arabia LPG Market.