Natural Gas Liquid Processing in the US - Industry Market Research Report

Natural Gas Liquid Processing in the US - Industry Market Research Report

Natural Gas Liquid Processing in the US

Natural gas liquid (NGL) production proportionally grows with natural gas extraction. Natural gas production expands and contracts with downstream growth from industrial production and residential and commercial consumption. The outbreak of COVID-19 in 2020 led to lower industrial production and residential and commercial consumption of NGLs leading to an oversupply of NGLs and plummeting natural gas prices. As the economy reopened, surging natural gas prices led to spiking production, creating strong growth for NGL processors. Despite the unprecedented losses experienced in 2020, industry-wide revenue has been growing at a CAGR of 18.5% over the past five years and is expected to total $206.0 billion in 2023, when revenue will dip by an estimated 8.2%.

This industry separates out natural gas liquids (NGLs) from natural gas. Natural gas arrives at processing facilities in a gaseous state, and processors clean the natural gas and extract liquid hydrocarbons including ethane, propane, butane, isobutane and natural gasoline. These liquids have various uses including home heating fuel, inputs in plastic products and heating or blowing fuel in industrial production. The production of NGLs from oil refining is not included in this industry.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.