Global oil storage market to reach $17.2bn by 2023

Abu Dhabi / Emirates Business

The global oil storage market is set to become more competitive due to burgeoning investments by some of the key market players, according to Transparency Market Research (TMR). Various industry players are undertaking strategic collaborations including joint ventures, acquisitions, mergers and partnerships in order to establish a stronger market position. The stiffening competition in the oil trading market is prompting the players to expand their crude oil storage infrastructures and terminal networks, and invest in the development of storage
facilities and new pipelines.
The market was valued at $12.86 billion in 2016, and is expected to reach $17.22 billion at a compound annual growth rate (CAGR) of 4.2 percent from 2017 to 2023. Fluctuations in global rates of natural gases and crude oil are prompting vendors to own high qualities of petroleum fuel and reserve them at storage facilities. The storage can even be for a short span of time as the oil could be transported for refinement. Increase in oil production is another factor that has encouraged suppliers to improve their inventories and infrastructure to store large quantities of oil. The emergence of LNG-powered marine containers due to proliferation of LNG projects is expected to further expand the oil storage market.
The Middle East and Africa region holds a dominating position in oil storage market due to contributions of UAE, Oman, Saudi, Nigeria and other countries. This region is expected to post a CAGR of 7.91% between 2014 and 2024.
Renish Group, a fast-growing company in the oil storage space, is rightly ‘moving forward with energy’ to become one of the leading players in the global oil storage space, according to the firm’s Executive Director Kalrav Dixit. “With steady growth, a diversified product portfolio and a well-defined roadmap, we are poised to climb up the value chain by introducing more terminals and trading offices across the globe,along with alliances with major industry players in all locations and business areas.”