Growth of Natural Gas Engine Oil Market Has been Derived from the Growing CAGR 2027

Natural Gas Engine Oil Market: Introduction

  • Lubricating oils have conventionally been one of the highly lucrative fields in the oil & gas value chain. Natural gas engine lubricants are designed specifically for natural gas engines, where high oxidation stability, acid control, and extended engine life are essential.
  • Natural gas vehicle (NGV) is likely to emerge as a solution to the increasing threat of air pollution. Natural gas engines provide various benefits over diesel engines. These include lower exhaust emissions of nitrogen oxides, carbon monoxide, and particulates. Rise in demand for NGV is expected to propel the natural gas engine oil market during the forecast period.
  • Lubricating oil in natural gas engines operates under severe heat stress, particularly in certain areas within the engine, including the piston under-crowns, cylinder walls, and valve guides. Natural gas engines essentially need oils with superior resistance to nitration and oxidation.
  • Natural gas engine oil possess unique characteristics such as exceptional high temperature-oxidation resistance, Total Base Number (TBN) retention to support long oil life, exceptional wear protection, and superior deposit protection

Are you a start-up willing to make it big in the business? Grab an exclusive PDF sample of this report

Key Drivers of Natural Gas Engine Oil Market

  • Consumption of natural gas is projected to rise in the industrial sector due to the increase in production easy availability of the gas, and growth in trend of switching from coal to natural gas across the globe
  • Global production of natural gas hit a new record of 3937 billion cubic meters in 2018, up 4.0% compared to that in 2017. 2018 was the ninth consecutive year of a notable increase in natural gas production.
  • Rise in initiatives to phase out coal-fired power plants is expected to drive the demand for natural gas engines by 2027. Lower gas prices and stringent emission regulations on marine fuel are estimated to boost the adoption of LNG-fueled vessels in the near future. Such indicators are anticipated to propel the demand for natural gas engine oil in the near future.
  • Rise of electrification in the transport sector is estimated to limit the adoption of natural gas vehicles to some extent over the next decade. This is projected to hamper the demand for natural gas engine oil during the forecast period.
  • Industry participants are engaged in development of products with unique value proposition. For instance, in March 2018, Valvoline Inc. launched Valvoline Premium Blue One Solution 9200, an engine oil approved for use in natural gas, API CK-4 application diesel, and API SN application gas fleet engines. The product is designed to act as a single solution for a number of engine applications.

Natural Gas Engine Oil Market: Oil Category and End-use Industry Segments

  • Based on oil category, the natural gas engine oil market can be classified into ashless (less than 0.1% sulfated ash), low ash (0.2% to 0.6%), medium ash (0.7% to 1.2%) and high ash (greater than 2.0%)
  • Lubricants vary with engine design and operating conditions; and range from simple uninhibited mineral oils and medium-to-high ash, alkaline, and oxidation inhibited detergent oils to totally ashless yet highly detergent types. Natural gas engine oil with the lowest ash content provides the essential valve protection and acid neutralization. Its demand is expected to be high in the near future. The use of higher ash oils may cause more deposits to accumulate in the engine.
  • Based on end-use industry, the global natural gas engine oil market can be divided into utilities, manufacturing, oil & gas, and others

Expanding operations in future? To get the perfect launch ask for a custom report

North America to be Key Region of Global Natural Gas Engine Oil Market

  • In terms of region, the global natural gas engine oil market can be segregated into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa
  • Consumption of natural gas is set to rise across the globe, primarily in the U.S., China, and Southeast Asia. This is expected to offer lucrative opportunities for NGVs, thereby propelling the demand for natural gas engine oil during the forecast period.

Key Manufacturers Operating in Market

The global natural gas engine oil market was highly fragmented in 2018. Key manufacturers operating in the global market include:

  • Chevron
  • Petro?Canada Lubricants Inc.
  • ExxonMobil
  • Shell
  • Total
  • Schaeffer Manufacturing Co.
  • HP Lubricants
  • Castrol
  • Valvoline Inc.