What are the recent trends in market size and growth for the underground natural gas storage market?
The underground natural gas storage market size has grown strongly in recent years. It will grow from $322.13 $ billion in 2024 to $339.93 $ billion in 2025 at a compound annual growth rate (CAGR) of 5.5%. The growth in the historic period can be attributed to expansion of natural gas infrastructure, rapid urbanization, and population growth, growth of liquefied natural gas trade, and increasing investment from both public and private sectors.
The underground natural gas storage market size is expected to see strong growth in the next few years. It will grow to $415.75 $ billion in 2029 at a compound annual growth rate (CAGR) of 5.2%. The growth in the forecast period can be attributed to increasing energy consumption, expansion of renewable energy sources, growth of liquefied natural gas (LNG) exports and imports, emergency preparedness, and resilience. Major trends in the forecast period include improved cavern construction techniques and better monitoring systems, expanding and upgrading storage facilities, integration with renewable energy, increasing emphasis on improving the safety and environmental impact, and adoption of digital technologies.
Get Your Free Sample of The Global Underground Natural Gas Storage Market Report:
https://www.thebusinessresearchcompany.com/sample.aspx?id=19742&type=smp
How have varous drivers impacted the growth of the underground natural gas storage market?
The increasing production of natural gas is expected to propel the growth of the underground natural gas storage market going forward. Natural gas is mainly made up of methane (CH4), with trace amounts of other hydrocarbons such as ethane, propane, and butane, which are considered cleaner alternatives to other fossil fuels. The demand for natural gas is rising due to several factors, such as the transition to cleaner energy, industrialization, and energy security. Underground storage manages natural gas fluctuations by storing excess gas during low-demand periods and withdrawing it during peaks, ensuring a stable supply and pricing. It also supports grid stability and renewable energy integration by providing backup when renewable generation is low. For instance, in September 2024, the Energy Information Administration (EIA), a US-based government administration, reported that US dry natural gas production in 2023 reached 37.8 trillion cubic feet (Tcf), or 103.6 billion cubic feet per day (Bcf/d), a 4.3% increase from the 2022 level of 99.3 Bcf/d. Therefore, the increasing production of natural gas will drive the underground natural gas storage market.
What are the primary segments of the underground natural gas storage market?
The underground natural gas storagemarket covered in this report is segmented –
1) By Type: Depleted Gas Reservoir, Salt Caverns, Aquifers, Other Types
2) By Product: Natural Gas, Hydrogen, Other Products
3) By Application: Residential, Commercial, Other Applications
Subsegments:
1) Depleted Gas Reservoir: Onshore Reservoirs, Offshore Reservoirs
2) Salt Caverns: Solution-Mined Caverns, Compacted Salt Caverns
3) Aquifers: Freshwater Aquifers, Brine Aquifers
4) Other Types: Geological Formations, Non-Conventional Storage
Order your report now for swift delivery
Which firms are leading the underground natural gas storage market?
Major companies operating in the underground natural gas storage market are Exxon Mobil Corporation, Equinor ASA, Uniper Energy Storage GmbH, Gazprom, Enbridge Inc., Southern Company, ONEOK Inc., Targa Resources Corp., DTE Energy, Sempra, TC Energy Corporation, The Williams Companies Inc., EnLink Midstream LLC, NiSource Inc., Weatherford International, Atmos Energy, Naftogaz Group, National Fuel Gas Company, Hess Midstream LP, NAFTA a. s., Texas Brine Company LLC
How will industry trends affect the trajectory of the underground natural gas storage market?
Major companies operating in the underground natural gas storage market are focused on developing advanced solutions, such as the hydrogen storage salt caverns initiative, to enhance energy security and reduce carbon emissions. The hydrogen storage salt caverns initiative focuses on utilizing the unique features of salt deposits to securely and efficiently store hydrogen. For instance, in March 2024, the European Consortium, a UK-based association formed by 17 partners and coordinated by Storengy, a UK-based natural gas storage company, launched the FrHyGe project. This project, funded by the European Union’s Clean Hydrogen Partnership, intends to validate subterranean hydrogen storage in salt caverns on an industrial scale. The budget is €43 million ($46.91 million). It aims to build an industrial prototype in Manosque, France, and investigate replicability in Harsefeld, Germany, with potential applications throughout Europe. The objectives of this project include converting natural gas or brine salt caverns into hydrogen storage facilities, demonstrating the ability to inject and withdraw 100 metric tons of hydrogen over cycles ranging from one hour to one week, investigating market penetration and supply chains, and planning for replication at other European sites. Furthermore, it will assess environmental implications, safety criteria, and laws in advance of deployment on the GeoH2 (Manosque) and SaltHy (Harsefeld) projects.
Which geographic trends are shaping the underground natural gas storage market, and which region has the highest market share?
Europe was the largest region in the underground natural gas market in 2024. The regions covered in the underground natural gas storage market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
What Does The Underground Natural Gas Storage Market Report 2025 Offer?
The underground natural gas storage market research report from The Business Research Company offers global market size, growth rate, regional shares, competitor analysis, detailed segments, trends, and opportunities.
Underground natural gas storage facilities store large quantities of natural gas, which can be withdrawn and distributed during periods of high demand. These facilities stabilize natural gas prices by mitigating sudden spikes in demand or supply shortages. By releasing stored gas during high-demand periods, they help maintain a steady market supply and control price volatility.
Purchase the exclusive report now to unlock valuable market insights:
https://www.thebusinessresearchcompany.com/purchaseoptions.aspx?id=19742
With over 15000+ reports from 27 industries covering 60+ geographies, The Business Research Company has built a reputation for offering comprehensive, data-rich research and insights. Armed with 1,500,000 datasets, the optimistic contribution of in-depth secondary research, and unique insights from industry leaders, you can get the information you need to stay ahead.
Our flagship product, the Global Market Model, is a premier market intelligence platform delivering comprehensive and updated forecasts to support informed decision-making.
Contact Us:
The Business Research Company
Europe: +44 207 1930 708
Asia: +91 88972 63534
Americas: +1 315 623 0293
Email: info@tbrc.info
Follow Us On:
LinkedIn: https://in.linkedin.com/company/the-business-research-company
Twitter: https://twitter.com/tbrc_info
Facebook: https://www.facebook.com/TheBusinessResearchCompany
YouTube: https://www.youtube.com/channel/UC24_fI0rV8cR5DxlCpgmyFQ
Blog: https://blog.tbrc.info/
Healthcare Blog: https://healthcareresearchreports.com/
Global Market Model: https://www.thebusinessresearchcompany.com/global-market-model