Environmental and Safety Mandates Driving the Global Oil & Gas Analytical Instrumentation Market, 2020–2026

Environmental and Safety Mandates Driving the Global Oil & Gas Analytical Instrumentation Market, 2020–2026

Environmental mandates on achieving a low carbon footprint are driving the analytical instrumentation market in the oil & gas industry. Applications in the refining segment, including monitoring of air/water quality and measuring greenhouse gas (GHG) emissions, to present increased growth opportunities.

The market for analytical instrumentation in the oil & gas industry crashed due to the Coronavirus 2019 (COVID-19) induced slowdown that caused a decline in oil prices due to oversupply and less demand. The global demand for gas is expected to peak in 2026 and surpass that for oil, making it the world's primary energy source. This will result in a high demand for analytical instrumentation in upstream and midstream activities.

RESEARCH SCOPE

Analytical instrumentation in the oil & gas industry consists of 3 main operational components – upstream, midstream, and downstream sectors.

The upstream sector involves the exploration for and extraction of petroleum crude oil and natural gas. It includes the searching for potential underground or underwater oil and gas fields, drilling of exploratory wells, and subsequently operating the wells that recover and bring the petroleum crude oil and/or raw natural gas to the surface.

The midstream involves storing, marketing and transporting petroleum crude oil, natural gas, and natural gas liquids (mainly ethane, propane and butane).

The downstream sector involves the refining of petroleum crude oil and the processing of raw natural gas. It includes the selling and distribution of processed natural gas.

Gas analyzers, liquid analyzers, infrared and UV-Vis spectrometer, gas chromatographs, and mass spectrometers are the main analytical technological segments included in this research.

Sub-product segments included in the research are:

Flame Ionization Detector
Thermal Conductivity Detector
Chemiluminescence Detector
Conductivity Analyzer
Total Organic Carbon (TOC)
pH/oxidation-Reduction potential (ORP)
Turbidity Meter
Colorimeter
Dissolved Oxygen
Chlorine Analyzer
Gas Chromatographs
Infrared Spectrometer
Ultraviolet-Visible Spectrometer
Mass Spectrometers
Tunable Diode Laser Spectroscopy Analyzer
Zirconia Analyzer
Non-dispersive infrared (NDIR) Analyzer
Paramagnetic Analyzer
Electrochemical Analyzer
KEY FINDINGS

Oil demand will peak around the mid-2020s, which will result in extreme upstream activities.
The global demand for gas is expected to peak in 2026 and surpass the demand for oil, making it the world's primary energy source. This would result in high demand for analytical instrumentation for upstream and midstream activities.

New sources of gases including biogas, hydrogen, and synthetic methane are being introduced to domestic and commercial energy systems to decarbonize gas consumption. This will further increase the demand for analyzers to measure these gases and their relative carbon emissions.

A lower carbon shift is realized in the midstream and downstream sectors, which will result in a high demand for emission analyzers.
Oil and natural gas met 54% of the world’s energy demand in 2017. This ratio, however, will reduce to 46% in 2050, leading to a lower demand for analyzers. China has registered the fastest growth in shale gas production, with the highest CAGR of 38.2% from 2015 to 2022. This will result in a high demand for gas chromatographs.

The price of oil and gas determines the growth of the market. Thanks to the financial crisis caused by COVID-19, the price of a barrel is now close to $20, but usually ranges between $50 and $70. This will result in a much lower market for analytical equipment.

The market for oil in particular has plunged as a result of the decrease in road transport and air travel. With the demand for green energy, the projection for oil demand in 2030 is already weak. With the pandemic, the demand could be much slower due to a combination of factors such as weak economic growth, changes in consumer behavior, and government policies. Oil and gas accounted for 54% of the world's energy demand in 2017. The demand for oil will peak around the mid-2020s, with a shift in the fuel source to gas thereafter.

Emissions monitoring and other applications ensuring safety will strongly drive the demand for analytical instruments. The shift from laboratory to process analyzers will result in the deployment of analyzers in the process set-up to meet ASTM regulations. Stringent regulations that restrict the fracking and drilling process associated with oil and gas production will refrain the growth of the analytical instrumentation market.


  • Executive Summary
    • Key Findings
    • Market Engineering Measurements
    • CEO's Perspective
  • Market Overview
    • Market Definitions
    • Key Questions this Study will Answer
    • Market Segmentation
  • Drivers and Restraints-Total Analytical Instrumentation Market in the Oil & Gas Industry
    • Market Drivers
    • Drivers Explained
    • Market Restraints
    • Restraints Explained
  • Forecasts and Trends-Total Analytical Instrumentation Market in the Oil & Gas Industry
    • Market Engineering Measurements
      • Table Total Analytical Instrumentation Market in the Oil & Gas Industry: Market Engineering Measurements, Global, 2019
    • Forecast Assumptions
    • Revenue Forecast
      • Table Total Analytical Instrumentation Market in the Oil & Gas Industry: Revenue Forecast, Global, 2019-2026
    • Revenue Forecast Discussion
    • Pricing Trends Discussion
    • Percent Revenue Forecast by Region
      • Table Total Analytical Instrumentation Market in the Oil & Gas Industry: Percent Revenue Forecast by Region, Global, 2016-2026
    • Revenue Forecast by Region
      • Table Total Analytical Instrumentation Market in the Oil & Gas Industry: Revenue Forecast by Region, Global, 2016-2026
    • Revenue Forecast Discussion by Region
    • Revenue Forecast by Vertical Market
      • Table Total Analytical Instrumentation Market in the Oil & Gas Industry: Revenue Forecast by Vertical Market, Global, 2019-2026
    • Revenue Forecast Discussion by Vertical Market
  • Market Share and Competitive Analysis- Total Analytical Instrumentation Market in the Oil & Gas Industry
    • Market Share
    • Market Share Analysis
      • Table Total Analytical Instrumentation Market in the Oil & Gas Industry: Market Share Analysis of Top 5 Participants, Global, 2019
    • Competitive Environment
    • Top Competitors
    • Product Analysis
    • Competitive Factors and Assessment
  • Growth Opportunities and Companies to Action
    • Growth Opportunity 1-Consumption of Gas to be Faster than that of Oil
    • Growth Opportunity 2-Emission Monitoring Application
    • Strategic Imperatives for Success and Growth
  • Gas Analyzer Segment Analysis
    • Gas Analyzer Segment-Key Findings
    • Market Engineering Measurements
      • Table Gas Analyzer Segment: Market Engineering Measurements, Global, 2019
    • Segment Revenue Forecast
      • Table Gas Analyzer Segment: Revenue Forecast, Global, 2016-2026
    • Gas Analyzer Segment-Revenue Forecast by Analyzer Type
      • Table Gas Analyzer Segment: Revenue Forecast by Analyzer Type, Global, 2019-2026
    • Gas Analyzer Segment-Percent Revenue Forecast by Region
      • Table Gas Analyzer Segment: Percent Revenue Forecast by Region, Global, 2019-2026
    • Revenue Forecast by Region
      • Table Gas Analyzer Segment: Revenue Forecast by Region, Global, 2016-2026
    • Revenue Forecast Discussion
  • Liquid Analyzer Segment Analysis
    • Liquid Analyzer Segment-Key Findings
    • Market Engineering Measurements
      • Table Liquid Analyzer Segment: Market Engineering Measurements, Global, 2019
    • Segment Revenue Forecast
      • Table Liquid Analyzer Segment: Revenue Forecast, Global, 2016-2026
    • Liquid Analyzer Segment-Revenue Forecast by Analyzer Type
      • Table Liquid Analyzer Segment: Revenue Forecast by Analyzer Type, Global, 2019-2026
    • Liquid Analyzer Segment-Percent Revenue Forecast by Region
      • Table Liquid Analyzer Segment: Percent Revenue Forecast by Region, Global, 2019-2026
    • Revenue Forecast by Region
      • Table Liquid Analyzer Segment: Revenue Forecast by Region, Global, 2016-2026
    • Revenue Forecast Discussion
  • Spectrometer Segment Analysis
    • Spectrometer Segment-Key Findings
    • Market Engineering Measurements
      • Table Spectrometer Segment: Market Engineering Measurements, Global, 2019
    • Segment Revenue Forecast
      • Table Spectrometer Segment: Revenue Forecast, Global, 2016-2026
    • Spectrometers Segment-Revenue Forecast by Analyzer Type
      • Table Spectrometer Segment: Revenue Forecast by Analyzer Type, Global, 2019-2026
    • Spectrometer Segment-Percent Revenue Forecast by Region
      • Table Spectrometer Segment: Percent Revenue Forecast by Region, Global, 2019-2026
    • Revenue Forecast by Region
      • Table Spectrometer Segment: Revenue Forecast by Region, Global, 2016-2026
    • Revenue Forecast Discussion
  • Gas Chromatograph Segment Analysis
    • Gas Chromatograph Segment-Key Findings
    • Market Engineering Measurements
      • Table Gas Chromatograph Segment: Market Engineering Measurements, Global, 2019
    • Segment Revenue Forecast
      • Table Gas Chromatograph Segment: Revenue Forecast, Global, 2016-2026
    • Gas Chromatograph Segment-Percent Revenue Forecast by Region
      • Table Gas Chromatograph Segment: Percent Revenue Forecast by Region, Global, 2019-2026
    • Revenue Forecast by Region
      • Table Gas Chromatograph Segment: Revenue Forecast by Region, Global, 2016-2026
    • Revenue Forecast Discussion
  • Application Analysis-Upstream Segment
    • Upstream Segment-Key Findings
    • Market Engineering Measurements
      • Table Upstream Segment: Market Engineering Measurements, Global, 2019
    • Segment Revenue Forecast
      • Table Upstream Segment: Revenue Forecast, Global, 2016-2026
    • Upstream Segment-Percent Revenue Forecast by Analyzer
      • Table Upstream Segment: Percent Revenue Forecast by Analyzer, Global, 2019-2026
    • Revenue Forecast by Analyzer
      • Table Upstream Segment: Revenue Forecast by Analyzer, Global, 2016-2026
    • Revenue Forecast Discussion
  • Midstream Segment Analysis
    • Midstream Segment-Key Findings
    • Market Engineering Measurements
      • Table Midstream Segment: Market Engineering Measurements, Global, 2019
    • Segment Revenue Forecast
      • Table Midstream Segment: Revenue Forecast, Global, 2016-2026
    • Midstream Segment-Percent Revenue Forecast by Analyzer
      • Table Midstream Segment: Percent Revenue Forecast by Product, Global, 2019-2026
    • Revenue Forecast by Analyzer
      • Table Midstream Segment: Revenue Forecast by Analyzer, Global, 2016-2026
    • Revenue Forecast Discussion
  • Downstream Segment Analysis
    • Downstream Segment-Key Findings
    • Market Engineering Measurements
      • Table Downstream Segment: Market Engineering Measurements, Global, 2019
    • Segment Revenue Forecast
      • Table Downstream Segment: Revenue Forecast, Global, 2016-2026
    • Downstream Segment-Percent Revenue Forecast by Analyzer
      • Table Downstream Segment: Percent Revenue Forecast by Product, Global, 2019-2026
    • Revenue Forecast by Analyzer
      • Table Downstream Segment: Revenue Forecast by Analyzer, Global, 2016-2026
    • Revenue Forecast Discussion
  • The Last Word
    • The Last Word-3 Big Predictions
  • Appendix
    • Market Engineering Methodology
    • Additional Sources of Information on Study Topic
    • List of Companies in "Others"
    • Partial List of Companies Interviewed

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