Underground Natural Gas Storage Market Research Report—Global Forecast till 2030

Underground Natural Gas Storage Market Research Report Information By Type (Depleted Gas Reservoir, Aquifer Reservoir, Salt Caverns) And By Region (North America, Europe, Asia-Pacific, And Rest Of The World) –Market Forecast Till 2032

ID: MRFR/E&P/9460-CR | 100 Pages | Author: Anshula Mandaokar | September 2022         

Global Underground Natural Gas Storage Market Overview:


Underground Natural Gas Storage Market Size was valued at USD 400.9 billion in 2022. The Underground Natural Gas Storage market industry is projected to grow from USD 415.29 Billion in 2023 to USD 550.68 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 3.59% during the forecast period (2023 - 2032). Increasing demand for natural gas storage systems and government assistance has greatly influenced the demand for natural gas, encouraging the natural gas storage industry to bethe key market driver enhancing the market growth.


Underground Natural Gas Storage Market Overview


Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review


Underground Natural Gas Storage Market Trends




  • Increasing demand for natural gas storage systems is driving market growth




The demand and production of natural gas are rising rapidly, mainly due to its growing applications in power generation and transport industries. Natural gas can be easily stored for an indefinite time. Natural gas is only sometimes needed immediately, so it is stored underground. Moreover, the US Department of Energy (DoE) and industry partners have checked the feasibility of storing chilled natural gas in mined, hard-rock facilities. The concept of chilling gas before storage, if applied to planned or existing bedded salt storage caverns, could significantly increase the storage capacity in the existing volume of natural gas. However, due to the lack of demand in the last few months due to the ongoing pandemic, many countries are facing gas storage problems. This factor drives the market CAGR in the forecast period.


The demand will also be increased by technical developments and growing public knowledge of natural gas's environmental benefits. During the forecast timeframe, factors such as rising natural gas consumption in the industrial, chemical, and transportation sectors, mostly from Asia-Pacific countries, are anticipated to propel the gas storage market. Additionally, as the world works toward a low-carbon economy, the benefits of using fossil fuel as a clean-burning, versatile, and economical fuel are anticipated to lead to an increase in natural gas prices in the future. However, it is anticipated that the demand's seasonality and volatility, along with the mismatch between demand and supply will impede the market's expansion for natural gas storage. The high natural gas production is anticipated to spur oil and gas production and boost the Underground Natural Gas Storage market revenue.


Underground Natural Gas Storage Market Segment Insights:




  • Underground Natural Gas Storage Type Insights




The Underground Natural Gas Storage market segmentation is based on the type of Depleted Gas Reservoir, Aquifer Reservoir, and Salt Caverns. The depleted gas reservoir segment is expected to have the highest CAGR and dominate the market share during the forecast period. Depleted fields are generally used for seasonal storage instead of peak shaving storage. Depleted reservoirs are among the oldest and most popular forms of natural gas storage. While the working natural gas storage capacity of depleted fields tends to be larger than that of other storage facilities, deliverability rates and injection are typically low relative to size. About 50% of the gas must be reserved as cushion gas to maintain pressure in depleted natural gas reservoirs. Gas storage is mainly used to meet the seasonal energy demand; it is stored during low demand and withdrawn from storage during peak/high demand periods.


September 2021: ENBRIDGE INC. announced that it has entered into a purchase agreement with EnCap Flatrock Midstream to acquire Moda Midstream Operating, LLC. The acquisition will significantly advance the company's US gulf coast export strategy and connectivity to low-cost and long-lived reserves.


September 2021: Uniper SE has announced they will work together as a strategic partnership.


Figure 1: Underground Natural Gas Storage Market, by Type, 2022 & 2032 (USD billion)


Figure1: Underground Natural Gas Storage Market, by Type, 2022 & 2032 (USD billion)


Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review


 Underground Natural Gas Storage Regional Insights


By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North American underground natural gas storage market will dominate this market due to the increasing exploration and production of natural gas and hydrogen in the Region.


Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.


Figure 2: Underground Natural Gas Storage Market Share By Region 2022 (%)


Figure2: GLOBALUNDERGROUND NATURAL GAS STORAGE MARKET SHARE BY REGION 2022 (%)


Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review


Due to government assistance, Europe's Underground Natural Gas Storage market accounts for the second-largest market share. It has greatly influenced the demand for natural gas, encouraging the natural gas storage industry. Further, the German Underground Natural Gas Storage market held the largest market share, and the UK Underground Natural Gas Storage market was the fastest-growing market in the European Region.


The Asia-Pacific Underground Natural Gas Storage Market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to developing economies in the Region.Moreover, China’s Underground Natural Gas Storage market held the largest market share, and the Indian Underground Natural Gas Storage market was the fastest-growing market in the Asia-Pacific region.


Underground natural gas storage Key Market Players& Competitive Insights


Leading market players are investing heavily in research and development to expand their product lines, which will help the Underground Natural Gas Storage market grow even more. Market participants are also undertaking various strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. The underground natural gas storage industry must offer cost-effective items to expand and survive in a more competitive and rising market climate.


Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the Underground Natural Gas Storage industry to benefit clients and increase the market sector. The Underground Natural Gas Storage industry has offered some of the most significant environmental advantages in recent years. Major Underground Natural Gas Storage market players, including McDermott (US), NAFTA a. s. (Slovakia), TC Energy Corporation (Aberta), Royal Vopak (Netherlands), Chart Industries (Georgia), Uniper SE (Germany), ENBRIDGE Inc (Canada), and others are attempting to increase market demand by investing in research and development operations.


Enbridge Inc. is a multinational pipeline and energy company headquartered in Calgary, Alberta, Canada. Enbridge owns and operates pipelines throughout Canada and the United States, transporting crude oil, natural gas, and natural gas liquids. ENBRIDGE INC. announced that it has entered into a purchase agreement with EnCap Flatrock Midstream to acquire Moda Midstream Operating, LLC. The acquisition will significantly advance the company's US gulf coast export strategy and connectivity to low-cost and long-lived reserves.


Uniper SE is an energy company based in Düsseldorf, Germany. The company's name is a portmanteau of "unique" and "performance" given by long-term employee Gregor Recke. Uniper was formed by separating E.ON's fossil fuel assets into a separate company that began operating on 1 January 2016. Uniper SE has announced they will work together as a strategic partnership.


Key Companies in the underground natural gas storage market include



  • McDermott (US)

  • NAFTA a s (Slovakia)

  • TC Energy Corporation (Alberta)

  • Royal Vopak (Netherlands)

  • Chart Industries (Georgia)

  • Uniper SE (Germany)

  • ENBRIDGE Inc (Canada)


Underground natural gas storage Industry Developments


August 2021: McDermott announced that its subsidiary, CB&I Storage Solutions, completed designing a 40,000 cubic meter liquid hydrogen sphere. The conceptual design for the double-wall liquid hydrogen sphere is approximately eight times larger than the world's largest liquid hydrogen sphere.


December 2020: Royal Vopak and BlackRock's Energy & Power Infrastructure Fund (GEPIF) announced the acquisition of three major industrial terminals from Dow in the US Gulf Coast. Launches a new Commander for the people who play and work hard. This has raised the bar of fun and capability, whether cruising trails, dirt roads, or ranch/farmland with ease. This vehicle is built for longer rides and a wider horizon.


January 2019: NAFTAA.S., through its subsidiary NAFTA Bavaria GmbH, completed the acquisition of underground gas storage facilities Inzenham in Bavaria from DEA Deutsche Erdoel AG and Storengy Deutschland GmbH. This acquisition helped it to expand its business footprint.


Underground Natural Gas Storage Market Segmentation:


Underground natural gas storage Type Outlook



  • Depleted Gas Reservoir

  • Aquifer Reservoir

  • Salt Caverns


Underground natural gas storage Regional Outlook



  • North America

    • US

    • Canada



  • Europe

    • Germany

    • France

    • UK

    • Italy

    • Spain

    • Rest of Europe



  • Asia-Pacific

    • China

    • Japan

    • India

    • Australia

    • South Korea

    • Australia

    • Rest of Asia-Pacific



  • Rest of the World

    • Middle East

    • Africa

    • Latin America



Report Scope:

Report Attribute/Metric Details
Market Size 2022 USD 400.9 billion
Market Size 2023 USD 415.29 billion
Market Size 2032 USD 550.68 billion
Compound Annual Growth Rate (CAGR) 3.59%(2023-2032)
Base Year 2022
Market Forecast Period 2023-2032
Historical Data 2019- 2021
Market Forecast Units Value (USD Billion)
Report Coverage Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends
Segments Covered Type and Region
Geographies Covered North America, Europe, AsiaPacific, and the Rest of the World
Countries Covered The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil
Key Companies Profiled  McDermott (US), NAFTA a. s. (Slovakia), TC Energy Corporation (Aberta), Royal Vopak (Netherlands), Chart Industries (Georgia), Uniper SE (Germany), ENBRIDGE Inc (Canada)
Key Market Opportunities Exploration of Unconventional Reservoirs
Key Market Dynamics Increasing demand for natural gas storage systems




Frequently Asked Questions (FAQ) :

The Underground Natural Gas Storage market size was valued at USD 400.9 Billion in 2022.

The market is projected to grow at a CAGR of 3.59% during the forecast period, 2023-2032.

The key players in the market areMcDermott (US) and NAFTA a. s. (Slovakia), TC Energy Corporation (Aberta), Royal Vopak (Netherlands), Chart Industries (Georgia), Uniper SE (Germany), and ENBRIDGE Inc (Canada).

The Depleted Gas Reservoir Underground Natural Gas Storage category dominated the market in 2022.

Key Questions Answered

  • Global Market Outlook
  • In-depth analysis of global and regional trends
  • Analyze and identify the major players in the market, their market share, key developments, etc.
  • To understand the capability of the major players based on products offered, financials, and strategies.
  • Identify disrupting products, companies, and trends.
  • To identify opportunities in the market.
  • Analyze the key challenges in the market.
  • Analyze the regional penetration of players, products, and services in the market.
  • Comparison of major players’ financial performance.
  • Evaluate strategies adopted by major players.
  • Recommendations
Request Free Sample

Why Choose Market Research Future?

  • Vigorous research methodologies for specific market.
  • Knowledge partners across the globe
  • Large network of partner consultants.
  • Ever-increasing/ Escalating data base with quarterly monitoring of various markets
  • Trusted by fortune 500 companies/startups/universities/organizations
  • Large database of 5000+ markets reports.
  • Effective and prompt pre- and post-sales support.
Speak to Analyst
Leading companies partner with us for data-driven Insights.
Client logo Client logo Client logo Client logo Client logo Client logo Client logo Client logo Client logo Client logo

Kindly complete the form below to receive a free sample of this Report

Please fill in Business Email for Quick Response
Invalid