Australia Oil And Gas Market Size
| Study Period: | 2018- 2028 |
| CAGR: | 3 % |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Australia Oil And Gas Market Analysis
The Australian oil and gas market is expected to record a CAGR of around 3% during the forecast period.
Due to regional lockdowns and delays in ongoing projects, the COVID-19 outbreak had a negative impact on the market. Currently, the market has rebounded to pre-pandemic levels.
- Increasing demand for natural gas and related infrastructural developments are expected to drive the Australian oil and gas market during the forecast period.
- However, the country’s shift toward renewable energy, dropping refining capacity, and closure of crude oil refineries in Australia are expected to restrain the market during the forecast period.
- Digitalization in the oil and gas industry (including artificial intelligence (AI), machine learning, data analytics, big data, robotics, virtual reality (VR), and automation) is expected to create immense opportunities for Australia in the coming years.
Australia Oil And Gas Industry Segmentation
Oil and natural gas markets are major industries in the energy market and play an influential role in the global economy as the world's primary fuel source. The processes and systems involved in producing and distributing oil and gas are highly complex, capital-intensive, and require state-of-the-art technology. The Australian oil and gas market is segmented by sector into upstream, midstream, and downstream. The market sizing and forecasts have been done based on volume (thousand barrels per day).
Australia Oil And Gas Market Trends
Midstream Segment Expected to Witness Significant Demand
- The midstream oil and gas sector covers the transportation and storage of crude oil, natural gas, and refined products. In its unrefined state, crude oil is transported by two primary modes: tankers, which travel interregional water routes, and pipelines, through which most of the oil moves for at least part of the route. After the extraction of oil and separation of natural gas, pipelines transport the products to another carrier or directly to a refinery. Petroleum products then travel from the refinery to market by tanker, truck, railroad car, or more pipelines.
- Crude oil, natural gas liquids, and their products are transported from the production facilities to an offsite temporary storage plant and then transported to a large storage hub for refining. Once refined, the end products of crude oil, such as LPG, jet fuel, gasoline, and diesel, are transported to the residential sector, industrial users, gas stations, storage terminals, etc.
- According to the Australian Pipelines and Gas Association, in 2021, Australia had more than 4000 km of natural gas transmission pipelines that efficiently transport gas under high pressure from where it is produced on the outskirts of cities. According to Australian Petroleum Statistics, natural gas production in Australia increased from 110.1 billion cubic meters in 2017 to 147.2 billion cubic meters in 2021. Australia's gas consumption increased by 15%, from 37.1 billion cubic meters in 2017 to 39.4 billion cubic meters in 2021. The increased production is anticipated to boost the growth of the pipeline infrastructure in Australia.
- For instance, in May 2022, construction started on a 580-kilometer, USD 460 million pipeline in Western Australia that will take natural gas from the Perth basin out to resource projects in the state's Goldfields.
- Australia is the top exporter of LNG globally. The country exported around 108.1 bcm of LNG in 2021, a slight increase from the 60.4 bcm exported in 2017 despite disruptions at the Gorgon, Wheatstone, and Prelude projects.
- Therefore, due to these factors, the midstream segment is expected to witness significant growth in the Australian oil and gas market during the forecast period.
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Increasing Demand for Natural Gas and Related Infrastructure Expected to Drive the Market
- For several years, natural gas has witnessed significant growth in Australia’s production and consumption due to the country’s shift from coal to natural gas as a primary energy source for cleaner energy. In 2021, Australia's total natural gas production was 147.2 billion cubic meters (bcm), which rose from 54.2 bcm in 2011. The country’s total gas consumption reached 39.4 bcm in 2021, compared to 32.8 bcm in 2011, recording a 1.9% growth rate between 2011 and 2021.
- The increasing exploration and production of natural gas reserves are mainly driven by rising industrial demand from the refining, petrochemical, special chemical, and fertilizer industries. Additionally, secure storage helps the industry manage seasonal variations in demand and enhances energy security.
- As part of Australia's gas-fired recovery, the government committed to boosting the entire supply chain's east coast gas market. The government aims to focus on three key areas: unlocking supply, delivering an efficient pipeline and transportation market, and empowering gas customers. Therefore, this factor is expected to increase the demand for gas-based infrastructure in the country.
- In August 2022, Santos Ltd. announced that the company had bought a company that owns an approved underground pipeline route that could transport natural gas from its planned Narrabri project.
Therefore, owing to such factors, the increasing demand for natural gas and related infrastructure is expected to drive the market during the forecast period.
Australia Oil And Gas Industry Overview
The Australian oil and gas market is moderately fragmented. Some of the major companies (in no particular order) include Shell PLC, TotalEnergies SE, Chevron Corporation, ExxonMobil Corporation, and BP PLC.
Australia Oil And Gas Market Leaders
TotalEnergies SE
Chevron Corporation
BP PLC
Shell PLC
ExxonMobil Corporation
*Disclaimer: Major Players sorted in no particular order
Australia Oil And Gas Market News
- April 2022: The Australian conservative coalition government pledged to spend up to USD 1.12 billion to build an LNG export terminal at Darwin in the Northern Territory (NT).
- September 2022: Santos Ltd. sanctioned a USD 300 million pipeline project that would create an additional connection to its Darwin liquefied natural gas facility in Northern Australia.
Australia Oil & Gas Market Report - Table of Contents
1. INTRODUCTION
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions
2. EXECUTIVE SUMMARY
3. RESEARCH METHODOLOGY
4. MARKET OVERVIEW
4.1 Introduction
4.2 Oil and Gas Reserves Status in Australia, 2022
4.3 Australia Crude Oil and Natural Gas Production Forecast, until 2028
4.4 Australia Refining Capacity and Forecast, until 2028
4.5 Oil and Gas Industry Investment Trend
4.6 Recent Trends and Developments
4.7 Government Policies and Regulations
4.8 Market Dynamics
4.8.1 Drivers
4.8.2 Restraints
4.9 PESTLE Analysis
5. MARKET SEGMENTATION BY SECTOR
5.1 Upstream
5.2 Midstream
5.3 Downstream
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted by Leading Players
6.3 Company Profiles
6.3.1 Shell PLC
6.3.2 TotalEnergies SE
6.3.3 Chevron Corporation
6.3.4 ExxonMobil Corporation
6.3.5 BP PLC
6.3.6 Woodside Petroleum Limited
6.3.7 BHP Group PLC
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Australia Oil & Gas Market Research FAQs
What is the study period of this market?
The Australia Oil And Gas Market is studied from 2018 - 2028.
What is the growth rate of Australia Oil And Gas Market?
The Australia Oil And Gas Market is growing at a CAGR of 3% over the next 5 years.
Who are the key players in Australia Oil And Gas Market?
TotalEnergies SE, Chevron Corporation, BP PLC, Shell PLC, ExxonMobil Corporation are the major companies operating in Australia Oil And Gas Market.
Australia Oil And Gas Industry Report
Statistics for the 2023 Australia Oil And Gas market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Australia Oil And Gas analysis includes a market forecast outlook to for 2023 to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.
