Rising Government Legislations and Regulations to Provide Growth Opportunities for US Oil and Gas Burner Management System Market during 2021–2028
According to our latest market study on "US Oil and Gas Burner Management System Market Forecast to 2028 – COVID-19 Impact and Country Analysis – by Component, Burner Type, and Application," the market was valued at US$ 853.2 million in 2021 and is expected to reach US$ 1,308.5 million by 2028; it is estimated to grow at a CAGR of 6.3% from 2021 to 2028.
The global US oil and gas burner management system market, by burner type, is segmented into single burner and multiple burners. The burner management systems are engineered to provide igniter (pilot) and main flame detection. Also, they control and monitor burner start-up and shutdown sequences, including master fuel trip and purge, for both multiple and single burners, which can burn single or multiple liquid and gaseous fuels. In the oil & gas industry, the burner management system (BMS) is critical to use on heated vessels where precise temperature control is needed. Several accidents and occurrences caused various governments to establish safety legislation. The entire industry now adheres to safety standards and rules to avoid accidents, which is driving the US oil and gas burner management system market. For the past few years, safety controls on direct-fired heaters have been steadily improving, and the trend has accelerated in the last five years. This is owing to government rules and standards that actively enforce the application of current codes. Some specific and prescriptive standards have been accessible for a long time, yet the industry's rate and degree of acceptance vary greatly. The majority of operating organizations have their own set of criteria, which may differ from one facility to another. The adoption of advanced BMS across various industries has been prompted by increased stringency of government rules and regulations and surged number of lawsuits for accidents where appropriate codes and guidelines were not followed for existing and new heater installations. All these factors are creating opportunities for the market.
According to the International Energy Agency (IEA), by 2024, the US will export more oil than Russia and close to Saudi Arabia's exports. The IEA says that the US will account for 85% of the rise in global oil output over the next decade under the current policy. Natural gas use in the US has risen as electric utilities shift away from coal, renewables, and natural gas. According to the US Energy Information Administration's (EIA) 2019 reference case, the US will become a major natural gas exporter, with LNG (Liquefied Natural Gas) exports driving much growth, which is driving the US oil and gas burner management system market.
The US oil and gas burner management system market is segmented on the basis of component, burner type, and application. Based on component, market is segmented into software and hardware. In terms of burner type, the US oil and gas burner management system market is segmented into single burner and multiple burner. By application, the market is segmented into combustors, flares, separators, dehydrators, vertical treaters, horizontal treaters, tanks, and others.
Impact of COVID-19 Pandemic on US Oil and Gas Burner Management System Market
The impact of the COVID-19 pandemic, coupled with the Organization of the Petroleum Exporting Countries (OPEC)–Russia price war, further disrupted crude petroleum markets in the US and has impacted the US oil and gas burner management system market in the country. It has proven to be a two-pronged crisis for oil, gas, and chemicals companies. Oil prices dropped due to failed agreements on production cuts, and the need for chemicals and refined products was reduced from industrial slow-downs and travel restrictions due to the COVID-19 pandemic. The COVID-19 pandemic led to an initial drop in prices for petroleum-based products. Further, the prices rose sharply as the producer’s limited production and demand increased. Oil and gas power-generating facilities in the region reduced their activity, including shutting down construction, operations, and maintenance projects in several locations, after multiple "stay at home" orders by state governors to curb the spread of the virus. The oil & gas sector rebounded strongly since mid-2021, with higher prices. However, the industry recovered much better than expected, and uncertainty remains over US oil and gas burner management system market dynamics in the coming years. Further, after mid-2021-COVID scenario, the resumption of oil extraction projects is driving the US oil and gas burner management system market. In 2022 March, Helix Energy Solutions Group—a US offshore oil and gas services company—signed an agreement with Shell to provide Well Intervention services in the Gulf of Mexico.
CL Manufacturing Inc., Cimarron Energy, Combustex Corp., Kimark Control Solutions, Platinum Control Technologies, and profire Energy Inc. are among the major companies operating in the US oil and gas burner management system market.
Email Id: firstname.lastname@example.org