Europe Tank Protection Market

Europe Tank Protection Market Analysis

The Europe Tank Protection Market is expected to register a CAGR of 0.4% during the forecast period.

• Increasing investment in the downstream sector and rising offshore Oil exploration activities are major factors expected to drive the market's growth.
• On the other hand, Volatile raw material prices and rising adoption of cleaner alternatives are the major restraints for the market.
• Nevertheless, the growing demand for automation in the control process is expected to create an excellent opportunity for the market players in the forecast period, as these projects are paving the way for the line pipe industry to grow more.
• Germany region dominates the market and is also likely to witness the highest CAGR during the forecast period.

Europe Tank Protection Market Trends

Oil and gas is major segment in the market

• The growth of natural gas demand globally, in line with the increasing share of natural gas in the energy mix, is expected to be a primary driver for the growth of the global oil & gas market. Natural gas witnessed a significant change in its global production and consumption, owing to the countries shifting from coal to natural gas as a primary energy source for cleaner energy during the last ten years.
• According to BP statistical review 2022, In 2021, Oil refining throughput in Europe is 11453 Thousand barrels per day, increasing from 12810 Thousand barrels per day in 2015. This increase is due to the European region's demand for oil and gas.
• Offshore oil & gas projects in Europe have higher breakeven prices compared to similar projects in other parts of the world, making them less resilient in the current turbulent times. Most of the offshore projects in the region are in the North Sea and Arctic shelf, and the extreme weather conditions in these areas can be one of the primary reasons for the higher breakeven prices. Thus, an increase in oil and gas projects will lead to a rise in the Europe tank protection market during the forecast period.
• As of March 2022, there were 44 active refineries in Russia, with a combined capacity of about 7 million barrels per day. Most of the oil refineries in the country were commissioned in the Soviet Era and before that. Refinery utilization in the country has remained low for quite some time and started increasing in 2019.
• Hence, owing to the above points, increasing investment in the oil and gas sector will drive the market during the forecast period.

Germany fastest growing region in the Tank protection market

• Germany is the largest gas market in Europe, and most of the country's gas supply is from Russia. Among the European markets with potential additional import capability, Germany has plans to add the most regasification capacity, at a projected 13.2 MTPA.
• In February 2022, Germany plans to build two LNG terminals in Brunsbuttel and Wilhelmshaven, to reduce its dependence on Russian gas. German energy major Uniper will build and operate the LNG terminal at Wilhelmshaven. The FSRU, with a capacity of 7.3 MTPA, is expected to cover around 8% of Germany's gas demand in the future. The project is expected to be completed in two phases i.e., by the end of 2022 and 2025, respectively.
• In May 2022, Norwegian state-owned operator Gassco awarded a contract to engineering firm Wood to support secure gas transportation from the Norwegian Continental Shelf (NCS) to the United Kingdom and European countries. Under the three-year contract, Wood will work with Gassco to modernize the gas-receiving facilities. The company will be responsible for providing engineering, procurement, and construction management services for gas-receiving terminals in Easington, UK; Zeebrügge, Belgium; Dunkerque, France; Dornum, Germany; and Emden, Germany.
• According to BP statistical review 2022, In 2021, Oil refining capcity in germany is 2121 Thousand barrels per day increased from 2049 Thousand barrels per day in 2015.
• Hence, with the expansion of the refinery and petrochemical business and the upcoming project, the country is expected to witness an increase in the demand for tank protection markets.

Europe Tank Protection Industry Overview

The Europe Tank protection market is fragmented. Some of the key players in this market (in no particular order) include are Emerson Electric Co., Flammer GmbH, Äager GmbH, BS&B Innovations, Limited, and 3B Controls Ltd.

Europe Tank Protection Market Leaders

Europe Tank Protection Market News

• In September 2022, the government of Germany announced that Berlin had taken control of Russian oil firm Rosneft's German operations in order to protect energy supplies disrupted by Moscow's full-scale invasion of Ukraine. Rosneft's German companies, which account for around 12% of the country's oil refining capacity, have been placed under the trusteeship of the Federal Network Agency. The move covers the companies Rosneft Deutschland GmbH (RDG) and RN Refining & Marketing GmbH (RNRM) and, thereby, their corresponding stakes in three refineries: PCK Schwedt, MiRo, and Bayernoil.
• In June 2022, Wood entered into a 10-year global master services agreement with Chevron for engineering and project-related services. Chevron's business units can use the contract to cover offshore and onshore assets in the upstream, midstream, and downstream markets. The deal facilitates the formation of a global strategic relationship, strengthening the overall quality of engineering and providing predictable results for project delivery worldwide.