The LPG Infrastructure Market Will See Capex of $4.56Bn in 2016

Wednesday 24 February 2016, Amsterdam

The report, now available on ASDReports, Global Liquefied Petroleum Gas (Propane & Butane) Infrastructure Market 2016-2026: Forecasts for LPG Production Plants, Import & Export Terminals, Storage and Pipelines indicates that the LPG infrastructure market will see CAPEX of $4.56bn in 2016.

The lead analyst of the report said: “There is a number of exciting LPG prospects around the world, both under construction and prospective. The question is whether the demand will grow at the same pace of supply, as traditional producing regions such as the Middle East, as well as new exporting countries such as the US, are all increasing their production capacity as well as their exports. The lifting of the sanctions in Iran may also lead to more global capacity, tightening the export market for exporters in the Middle East.

The construction of LPG production plants, storage facilities, terminals and pipelines is a function of the development of the global LPG market. Investment in such infrastructure is dictated by unique supply and demand circumstances in different geographies, such as the unconventional oil and gas boom in the US and Canada as well as growth in the domestic use of LPG in places like India and South America.

There has been high availability of LPG over the past few years in North America and this is now set to increase to the point where there will be a glut of LPG in the region. As a result of this, the US has begun to target countries outside of South America for exporting the fuel and Canada is also looking at following this plan, as its main export destination, the US, no longer requires its LPG. India and the rest of Asia is the main export destination for both countries as it is a large user of LPG, with India requiring it for domestic heating and cooking and countries such as China using LPG as feedstock for the production of petrochemicals.”

The report contains 134 tables, charts and graphs that add visual analysis in order to explain developing trends within the LPG infrastructure market. Visiongain provides annual CAPEX forecasts and analysis for the period 2016-2026 for the global market, as well as a CAPEX forecast for three types of LPG infrastructure projects (production plants, storage and import/export terminals, and pipelines). The report also provides CAPEX forecasts for six LPG national/regional markets (the United States, Canada, India, the Middle East, Asia and South America, plus the rest of the world).