APAC Oil & Gas CAPEX Industry Overview
|Study Period:||2019 - 2028|
|CAGR:||> 3 %|
*Disclaimer: Major Players sorted in no particular order
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APAC Oil & Gas CAPEX Market Analysis
The Asia Pacific oil and gas CAPEX market is expected to grow at a CAGR of more than 3% in the forecast period of 2022-2027. During the pandemic restriction, a sharp decline in transport and industrial activity severely impacted the oil & gas demand. This decreased demand for oil & gas in the worldwide market, coupled with geopolitical factors in oil-producing countries, resulted in a significant drop in oil and gas prices. Factors such as an increase in demand for oil & gas in power, transportation, and industrial application due to rapid industrialization and urbanization are anticipated to drive the investment in the oil & gas industry in the region. However, volatile crude oil and gas prices, slow economic growth, and unstable geopolitical conditions are expected to restrain the Asia Pacific oil and gas CAPEX during the forecast period.
- The upstream sector is expected to grow with a higher growth rate during the forecast period. An increased focus on oil & gas discoveries in the region is expected to drive the segment in the near future.
- The countries such as India, Indonesia, Singapore, and Malaysia are fast-growing economies in the Aisa Pacific region. Thus, the demand for oil & gas products for transportation and power generation is expected to rise. According to the IEA, the oil demand in the Asia Pacific was around 30.8 mb/d and is expected to rise to 38.5 mb/d by 2030, which presents a tremendous opportunity for the oil & gas CAPEX market.
- China is one of the leading countries to invest more in the oil & gas industry. This can be ascribed to increased investment by the national oil companies in the country.
APAC Oil & Gas CAPEX Industry Segments
The Scope of the Asia-Pacific Oil & Gas CAPEX Market includes:-
|Rest of Asia Pacific|
APAC Oil & Gas CAPEX Market Trends
This section covers the major market trends shaping the APAC Oil & Gas CAPEX Market according to our research experts:
Upstream is Expected to Dominate the Market
- The Asia Pacific's oil product demand by 2050 is expected to rise to 38.8 million b/d. The increased demand for oil products can be ascribed to the rapid development in the region, particularly the country such as India, China, Indonesia, and Japan.
- The natural gas consumption was around 575.2 billion cubic meters in 2010, which rose to 918.3 billion cubic meters in 2022—totaling a 22.7% share of global natural gas consumption. Similarly, oil consumption in the region was 27,963 thousand barrels daily. In 2021, it was around 35,806 thousand barrels daily, making the Asia Pacific region the biggest consumer of oil products globally.
- Thus, to cater to the increased demand, the oil & gas companies are investing heavily in the oil and gas industry. For instance, In 2022, a Chinese company, Sinopec, is expected to invest more than USD 31 billion in upstream exploitation, especially for the crude oil in Shunbei and Tahe fields and natural gas fields Sichuan province Inner Mongolia region.
- In July 2021, the Indian government approved an order allowing 100% foreign direct investments in oil and gas Public Sector Units. Furthermore, the government has allowed 100% Foreign Direct Investment in upstream and private sector refining projects.
- Factors are expected to boost the oil and gas industry investment in the region during the forecast period.
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China to Dominate the Market
- China is the leading producer of natural gas in the Asia Pacific region. In 2010 natural gas production was 96.5 billion cubic meters; it reached 209.2 billion cubic meters in 2021. In terms of global natural gas production, China contributed around 5.2% in 2021.
- In 2021, China had total proved natural gas reserves of 8.4 trillion cubic meters, 4.5% of global natural gas reserves, and oil reserves of around 26 thousand million barrels, 1.5 % of global proved oil reserves.
- Furthermore, according to the OPEC, in 2030, China's primary energy demand for oil and gas is expected to be around 15.1 mboe/d and 8.1 mboe/d, respectively. Further, demand for oil and gas is likely to grow by about 15.6 mboe/d and 10.1 mboe/d, respectively.
- To full fill this increased demand, China government is taking various initiatives to increase investment in the oil & gas industry, such as FDI policy reforms, financial benefits, subsidies, and other policy reforms.
- In March 2022, Aramco announced a joint venture with North Huajin Chemical Industries Group Corporation and Panjin Xincheng Industrial Group. In the project, Aramco will supply up to 210,000 barrels per day of crude oil as feedstock to the refinery complex. The complex is anticipated to be operational in 2024.
- All these factors are expected to drive the oil and gas CAPEX market in China during the forecast period.
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APAC Oil & Gas CAPEX Market Competitor Analysis
The Asia Pacific oil and gas CAPEX market is moderately fragmented. Some of the key players in the market include BP plc, Exxon Mobil Corporation., Shell plc, Pacific Oil & Gas Ltd, and Chevron Corporation.
APAC Oil & Gas CAPEX Market Top Players
Exxon Mobil Corporation.
Pacific Oil & Gas Ltd
*Disclaimer: Major Players sorted in no particular order
APAC Oil & Gas CAPEX Market Recent Developments
- In April 2022, GAIL announced that its joint venture company Bengal Gas Co and Hindustan Petroleum Corporation Ltd. aims to invest more than INR 17,000 in various CNG projects in West Bengal will be over the next five years.
- In September 2021, The Indonesian government acquired an investment of USD 20.3 million from the auction of two oil and gas blocks in South CPP Block and Liman Block. PT Energi Mega Persada Tbk and Husky Energy International won the auction.
APAC Oil & Gas CAPEX Market Report - Table of Contents
1.1 Scope of Study
1.2 Market Definition
1.3 Study Assumptions
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET OVERVIEW
4.2 Oil and Gas Industry CAPEX in USD billion, till 2027
4.3 Crude Oil Production and Consumption Forecast, till 2027
4.4 Natural Gas Production and Consumption Forecast, till 2027
4.5 Installed Pipeline Historic Capacity and Forecast in Kilometers, till 2027
4.6 Recent Trends and Developments
4.7 Government Policies and Regulations
4.8 Market Dynamics
4.9 Supply Chain Analysis
4.10 Porter's Five Forces Analysis
4.10.1 Bargaining Power of Suppliers
4.10.2 Bargaining Power of Consumers
4.10.3 Threat of New Entrants
4.10.4 Threat of Substitute Products and Services
4.10.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.3.5 Rest of Asia Pacific
6. COMPETITIVE LANDSCAPE
*List Not Exhaustive
6.1 Mergers & Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted by Leading Players
6.3 Company Profiles
6.3.1 BP plc
6.3.2 Exxon Mobil Corporation.
6.3.3 Shell plc
6.3.4 Pacific Oil & Gas Ltd
6.3.5 Chevron Corporation
6.3.6 TotalEnergies SE
6.3.7 Oil and Natural Gas Corporation (ONGC)
6.3.8 China National Petroleum Corporation (CNPC)
6.3.9 Cairn Oil & Gas, a vertical of Vedanta Limited
6.3.10 Equinor ASA
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
APAC Oil & Gas CAPEX Market Research FAQs
What is the study period of this market?
The Asia Pacific Oil and Gas CAPEX Market is studied from 2019 - 2028.
What is the growth rate of Asia Pacific Oil and Gas CAPEX Market?
The Asia Pacific Oil and Gas CAPEX Market is growing at a CAGR of >3% over the next 5 years.
Who are the key players in Asia Pacific Oil and Gas CAPEX Market?
Exxon Mobil Corporation., Shell plc, Pacific Oil & Gas Ltd, Chevron Corporation, BP plc are the major companies operating in Asia Pacific Oil and Gas CAPEX Market.
Asia Pacific Oil and Gas CAPEX Industry Reports
In-depth industry statistics and market share insights of the Asia Pacific Oil and Gas CAPEX sector for 2020, 2021, and 2022. The Asia Pacific Oil and Gas CAPEX research report provides a comprehensive outlook of the market size and an industry growth forecast for 2023 to 2028. Available to download is a free sample file of the Asia Pacific Oil and Gas CAPEX report PDF.