July 27, 2016 - 4:30 AM EDT
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Oil Storage Market - Global Industry Analysis; Latest Research Report 2016 - 2024 by Transparency Market Research

ALBANY, New York, July 27, 2016 /PRNewswire/ --

The top five companies in the global oil storage market accounted for a combined share of just over 67% in 2014. These players are Royal Vopak N.V., Kinder Morgan Inc., Oiltanking GmbH, Buckeye Partners L.P., and NuStar Energy L.P. Transparency Market Research has found that the degree of competition in the increasingly capital-intensive oil storage market is extremely high and the threat of new entrants is likely to remain moderate throughout the forecast period.

Looking to strengthen their foothold in the global oil storage market, an increasing number of companies have been resorting to strategic alliances, partnerships, mergers, acquisitions, and joint ventures. "These strategies have enabled companies to raise funds for the development of new pipelines and storage facilities, the expansion of terminal networks, and the expansion of crude oil storage infrastructure," the author of the TMR study states.

Kinder Morgan is an excellent example. Currently focused on enhancing terminal and storage infrastructure across North America, the industry giant acquired Hiland Partners in February 2015 for US$3 bn.

Ongoing Expansion of Oil Storage Capacities Driving Growth 

"The global supply of crude oil has surpassed its demand and this has resulted in the need for oil storage facilities," a TMR analyst states. This changing trend in the oil industry has given rise to oil inventories over the years. Companies have been striving to expand storage capacity, especially refineries in Asia Pacific and Europe. In addition to this, the swift rise in road travel has spurred the demand for finished petroleum products, which, in turn, has fueled the need for future storage capacity expansions. This has given the global oil storage market a significant boost. For instance, in 2015, CLH Group invested over US$200 mn to build integrated storage and transportation networks, including thousands of kilometers of storage facilities.

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In contrast, TMR has observed that high initial investments and lengthy approval processes required for setting up and expansion oil storage facilities have restricted the growth of the global market.

"However, higher return on investment in the long term is likely to give players in the oil storage market the push they need," the author of the study predicts.

Opportunities Galore in APAC Oil Storage Market 

The global oil storage market is poised to expand at a 4.73% CAGR by volume from 2016 to 2024, reporting a rise from 1,337 mn cubic meters in 2014 to 2,027 mn cubic meters by the end of the forecast period. The Middle East and Africa region is the leading contributor in the global oil storage market with a 30% share in 2014, followed by North America and Europe. "Although Asia Pacific comes in fourth in terms of market share, the region is anticipated to trail the MEA oil storage market in terms of percentage growth from 2016 to 2024," the analyst predicts.

By type of reserve, strategic petroleum reserves were the key contributor in 2014, followed by commercial petroleum reserves. By type of product, crude oil led the overall oil storage market in 2014 and will continue this trend through 2024.

This review is based on the findings of a TMR report titled "Oil Storage Market: Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2016 - 2024."

Browse Research Report with ToC & Free Analysis: http://www.transparencymarketresearch.com/oil-storage-market.html

Massive Oil Production Driving Need for Oil Storage in MEA 

Geographically, the global oil storage market comprises North America, Asia Pacific, Europe, South and Central America, and the Middle East and Africa (MEA).

The Middle East and Africa region is the key contributor in the global oil storage market and is expected to expand at a strong CAGR of 7.91% from 2016 to 2024 to retain its lead throughout the forecast period. Saudi Arabia, Iran, UAE, Oman, Qatar, and Nigeria are some of the prominent countries in the MEA oil storage market. This region is primarily driven by the surging oil production and declining oil prices.

The North America oil storage market was next in line, accounting for a share of around 23.90% in 2015. The market in this region is fueled by the rising need for additional oil storage space. The demand for increased storage capacity is the result of the shale revolution. The revolution has stimulated growth in crude oil production and is the primary reason for crude oil oversupply in North America. High investment in the expansion of storage capacity is expected to boost the oil storage market in North America during the forecast period.

Asia Pacific is also a key market for oil storage and the region is projected to expand at the fastest CAGR of 8.22% from 2016 to 2024. China, South Korea, Japan, and Singapore are the leading countries in terms of volume of oil storage in this region, fueled by the rise in investments in petroleum reserves.

Browse Research Press Release: http://www.transparencymarketresearch.com/pressrelease/oil-storage-market.htm

Commercial Petroleum Reserves Expand at Rapid Pace Fueled by Deviations in Oil Prices 

Based on type of reserve, the oil storage market is bifurcated into commercial petroleum reserve and strategic petroleum reserve. Accounting for a massive 79.21% share in 2015, strategic petroleum reserves were the key contributors toward the overall oil storage market. However, strategic petroleum reserves are growing at a gradual pace as the expansion of these reserves require large investments from governments.

Commercial petroleum reserves, on the other hand, are expected to expand at a CAGR of 7.80% from 2016 to 2024. Large deviations in oil prices have led to the growth in storage capacity expansion, driving the demand for commercial petroleum reserves. Oil storage in commercial petroleum reserves influences the prices and planning of future oil storage and this helps in formulating expansion strategies for oil storage facilities.

Browse Regional Market Research: http://www.europlat.org/oil-storage-market.htm

Oil Storage Market - Type of Storage Segment Analysis 

  • Open Top Tanks
  • Fixed Roof Tanks
  • Floating Roof Tanks
  • Other Storage Facilities

Oil Storage Market - Product Type Segment Analysis 

  • Crude Oil
  • Gasoline
  • Aviation Fuel
  • Middle Distillates

Oil Storage Market - Reserve Type Segment Analysis 

  • Strategic Petroleum Reserve
  • Commercial Petroleum Reserve

Oil Storage Market - Regional Analysis 

North America 

  • U.S.
  • Canada


  • Germany
  • Netherlands
  • Spain
  • Belgium

Asia Pacific 

  • China
  • Japan
  • South Korea
  • Singapore
  • Middle East & Africa
  • Saudi Arabia
  • UAE
  • Iran

South and Central America 

  • Brazil
  • Argentina

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About TMR 

Transparency Market Research (TMR) is a global market intelligence company providing business information reports and services. The company's exclusive blend of quantitative forecasting and trend analysis provides forward-looking insight for thousands of decision makers. TMR's experienced team of analysts, researchers, and consultants use proprietary data sources and various tools and techniques to gather and analyze information.

TMR's data repository is continuously updated and revised by a team of research experts so that it always reflects the latest trends and information. With extensive research and analysis capabilities, Transparency Market Research employs rigorous primary and secondary research techniques to develop distinctive data sets and research material for business reports.

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Source: PR Newswire (July 27, 2016 - 4:30 AM EDT)

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