17.3% CAGR until 2021 expected for microbial enhanced oil recovery market
On account of increased exploration and production activities in the oil and gas sector along with the rise in number of microbial enhanced oil recovery (MEOR) projects as well as field trials in various nations across the globe, the microbial enhanced oil recovery market is anticipated to grow at a CAGR of 17.37% during 2016 to 2021, according to recently published a report “Microbial Enhanced Oil Recovery Market: Opportunities and Forecasts (2016-2021)”.
The report also talks about the offshore and onshore allocation of the market share where in rise in the offshore explorations in MEOR at Norway, Malaysia and the US would drive the market in the offshore oil and gas industry.
Some of the basic reasons behind the increased demands for the microbial enhanced oil recovery market include: aging oil and gas infrastructure, rise in offshore drilling activities, need for alternative technologies, economic and environmental factors, lower crude oil prices, CO2 reducing emission policies, and rise in fuel demand.
China has high exporting capacity for natural gas. It is also the world’s largest net importer of petroleum and other liquids, partly due to its rising oil consumption. This has made the Asia Pacific market for MEOR to grow during 2016-2021.
Similarly,the MEOR market for Middle East & Africa composed of Oman, Kuwait, Saudi Arabia, Angola, as their most demanding nations for oil and gas owing to their high consumption demand for energy due to high industrial and manufacturing sector. North America has been able to maintain its high market for MEOR owing to its numerous MEOR field trials & projects especially in the US and Canada.
Moreover, the percentage share of the onshore market is anticipated to decline but would still be higher than offshore market until the year 2021. But stringent government regulations regarding oil & gas leaks, lower credibility and obstacles in production via MEOR is one of the biggest restraints faced by this industry.
Aging oil and gas infrastructure, the need for alternative technologies, lower crude oil prices, and the rise in fuel demand have contributed to the surge in the need for more exploration &production (E&P) activities that is further driving the market for microbial enhanced oil recovery.
Decline in crude oil prices have also brought some major economic benefits for nations which has re-structured the oil and gas industry and the market for microbial enhanced oil recovery.
During 2016 to 2021, the North American market has been a dominating region because of the extensive implementation of MEOR project & field trials. They are followed by Europe while Asia Pacific will have the highest CAGR along with Middle East & Africa.