Europe Natural Gas Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | > 5.00 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Europe Natural Gas Market Analysis
The Europe natural gas market is expected to register a CAGR of over 5% during the forecast period.
The market was negatively impacted by COVID-19 in 2020. Presently, the market has reached pre-pandemic levels.
- Over the medium term, the growing demand for LNG is expected to stimulate the market growth of Europe's natural gas market. Furthermore, increasing investments are expected to drive the market's growth.
- On the other hand, Europe's focus on alternative energy sources is expected to hamper the growth of the Europe natural gas market during the forecast period.
- Nevertheless, increasing demand for LNG in the region leads to the integration of intelligent technologies in the existing LNG infrastructure are likely to create lucrative growth opportunities for the Europe natural gas market in the forecast period.
- Norway dominates the market, and it would likely witness the highest CAGR during the forecast period. This growth is attributed to the increasing investments and supportive government policies in the country to increase natural gas production.
Europe Natural Gas Market Trends
This section covers the major market trends shaping the Europe Natural Gas Market according to our research experts:
Upstream Sector to Witness Significant Growth
- Europe is home to some of the oldest oil-producing countries across the globe. The region is also one of the world's largest offshore oil and gas markets. Norway, the United Kingdom, and Russia are some of the major countries in the region's oil and gas industry.
- In 2021, Europe's natural gas production volume amounted to over 191,546 million standard cubic meters. The production decreased compared to the previous year.
- The region's upstream sector is expected to witness significant growth during the forecast period, owing to increasing investments in discoveries and production across Europe.
- For instance, in March 2022, the offshore exploration and production company IOG discovered a new gas field under the North Sea off the coast of East Anglia in the United Kingdom. The discovery aims to help the United Kingdom avoid skyrocketing prices.
- In recent years, companies previously involved in the oil and gas activities in the North Sea are becoming more focused on reducing greenhouse gas emissions from the industry. Further, European nations are seriously targeting to achieve the short-term goals set by European Union for 2030, which are significant steps in achieving zero carbon emissions by 2050. Overall, this has led to the creation of more carbon-neutral models with companies using various upstream technologies to reduce greenhouse gas emissions.
- Hence, the upstream sector in Europe is expected to witness significant growth due to its increasing exploration activities and the demand shown by countries in Europe for reliable natural gas.
Norway to Dominate the Market
- Norway witnessed a slowdown in oil and gas-related activities in recent years, mainly due to maturing oil and gas fields. The country has a vast oil and gas infrastructure ranging from oil and gas drilling and production platforms to pipeline networks.
- As of 2021, Norway is the world's third-largest exporter of natural gas, behind Russia and Qatar. The country has supplied 20-25% of the European Union and the United Kingdom's gas demand. This makes natural gas the most important export commodity in the Norwegian economy.
- Norway's natural gas production amounted to some 116,700 million standard cubic meters in 2021, up by 0.4% compared to the previous year. Norway's natural gas share of energy sources is expected to increase.
- Also, the country is a major natural gas exporter, requiring a significantly developed pipeline infrastructure to transport the gas to consumption hubs. As of July 2022, the gas pipeline length in Norway was about 8,800 km. About 95% of the Norwegian gas is transported through a network of subsea pipelines to other European countries, while around 5% is exported as LNG. This is transported by ship from the Melkøya facility in Hammerfest.
- In May 2022, Norwegian state-owned operator Gassco awarded a contract to engineering firm Wood to support secure gas transportation from the Norwegian Continental Shelf (NCS) to the United Kingdom and European countries. Under the three-year contract, Wood will work with Gassco to modernize the gas-receiving facilities. The company provides engineering, procurement, and construction management services for gas receiving terminals in Easington, UK; Zeebrügge, Belgium; Dunkerque, France; Dornum, Germany; and Emden, Germany. Therefore, the midstream sector in the country is expected to witness moderate growth during the forecast period.
- Therefore, increasing production of natural gas in Norway is expected to dominate the Europe natural gas market during the forecast period.
Europe Natural Gas Industry Overview
The Europe natural gas market is moderately fragmented in nature. Some of the major players in the market (in no particular order) include Chevron Corporation, BP PLC, Shell PLC, TotalEnergies SE, and Eni SpA.
Europe Natural Gas Market Leaders
Chevron Corporation
BP PLC
Shell PLC
TotalEnergies SE
Eni S.p.A.
*Disclaimer: Major Players sorted in no particular order
Europe Natural Gas Market News
- In September 2022, the German government announced a USD 65 billion plan to help people and businesses cope with soaring prices. Several European nations introduce emergency measures to prepare for a long winter in the wake of disruption in Russian gas supplies to Europe following the Ukraine war.
- In March 2022, Equinor announced plans to increase gas supply to meet European demands. Increased production permits issued by the Ministry of Petroleum and Energy allow Equinor to maintain high production levels at its Troll, Oseberg, and Heidrun gas fields. Following these permits, the Oseberg and Troll fields will increase exports by around one billion cubic meters (bcm), while the Heidrun field aims to increase gas exports by 0.4bcm for the 2022 calendar year.
Europe Natural 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 Market Size and Demand Forecast in USD billion, till 2027
4.3 Recent Trends and Developments
4.4 Government Policies and Regulations
4.5 Market Dynamics
4.5.1 Drivers
4.5.2 Restraints
4.6 Supply Chain Analysis
4.7 Industry Attractiveness - Porter's Five Forces Analysis
4.7.1 Bargaining Power of Suppliers
4.7.2 Bargaining Power of Consumers
4.7.3 Threat of New Entrants
4.7.4 Threat of Substitute Products and Services
4.7.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
6. Sector
6.1 Upstream
6.2 Midstream
6.3 Downstream
7. Location of Deployment
7.1 Onshore
7.2 Offshore
8. Geography
8.1 United Kingdom
8.2 Norway
8.3 Netherlands
8.4 Germany
8.5 Rest of Europe
9. COMPETITIVE LANDSCAPE
9.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
9.2 Strategies Adopted by Leading Players
9.3 Company Profiles
9.3.1 Chevron Corporation
9.3.2 BP PLC
9.3.3 Shell PLC
9.3.4 TotalEnergies SE
9.3.5 Eni SpA
9.3.6 ConocoPhillips
9.3.7 Exxon Mobil Corporation
9.3.8 Norwegian Energy Company ASA
9.3.9 Engie SA
9.3.10 Electricite de France SA
- *List Not Exhaustive
10. MARKET OPPORTUNITIES AND FUTURE TRENDS
Europe Natural Gas Industry Segmentation
Natural gas is a fossil energy source that forms deep beneath the earth's surface. Natural gas contains many different compounds. The largest component of natural gas is methane, a compound with one carbon atom and four hydrogen atoms (CH4).
The Europe natural gas market is segmented by sector, location of deployment, and geography. By sector, the market is segmented into upstream, midstream, and downstream. By location of deployment, the market is segmented into onshore and offshore. The report also covers the market size and forecasts for the Europe natural gas market across major countries in the region. For each segment, the market sizing and forecasts have been done based on revenue (USD Billion).
Europe Natural Gas Market Research FAQs
What is the current Europe Natural Gas Market size?
The Europe Natural Gas Market is projected to register a CAGR of greater than 5% during the forecast period (2024-2029)
Who are the key players in Europe Natural Gas Market?
Chevron Corporation, BP PLC, Shell PLC, TotalEnergies SE and Eni S.p.A. are the major companies operating in the Europe Natural Gas Market.
What years does this Europe Natural Gas Market cover?
The report covers the Europe Natural Gas Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Europe Natural Gas Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Europe Natural Gas Industry Report
Statistics for the 2024 Europe Natural Gas market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Europe Natural Gas analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
