Analysis of Potential Impact of COVID-19 on Coal Seam Gas Market

Global Coal Seam Gas Market: Overview

Coal seam gas is natural gas extracted from coal bed which generally consists water and gas. Coal seam gas is formed from decomposition and activities of organisms such as algae and plankton. It is combination of important fossil fuel, however, methane is the main and largest constituent of the coal seam gas. Mining of coal seam gas is conducted from the thousands of wells and pipelines, compressors, and numerous waste water treatment plants. Other unconventional methods are also used in the extraction. It has extensive applications in the electricity generation and production of fertilizers, plastics, and chemicals.

The global coal seam gas is segmented on the basis of method of exploration, application, and region. On the basis of method of exploration, the market is segmented in to hydraulic fracturing and horizontal drilling. On the basis of application, the market is segmented in to power generation, production of chemicals, and cooking gas.

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Global Coal Seam Gas Market: Drivers and Restraints

From past few years, demand for energy is increased significantly. In order to meet this demand power generation is increased exponentially. In addition, exhausting non-renewable energy sources are leading to search for alternative way of energy production. This is a key factor boosting adoption of coal seam gas for electricity generation which is propelling growth of the global coal seam gas market. Additionally, demand for natural gas for cooking purposes is increasing. According to report of the International Energy Agency, global demand for natural gas is expected to increase by 1.6% annually for next few years. While, coal seam gas is important source of the methane. Thus, adoption of coal seam gas as cooking gas is increased which is boosting growth of the coal seam gas market.

However, stringent regulations imposed on coal gas exploration and production activities is expected to hamper growth of the coal seam gas market.

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Global Coal Seam Gas Market: Geographical Segmentation

On the basis of region, coal seam gas market is segmented into North America, South America, Europe, Asia Pacific and Middle East & Africa. Of these, North America is expected to dominate the market owing to increasing activities of production through unconventional methods. The markets in the regions such as Asia Pacific and Europe are expected to expand with the fats pace owing to increasing production activities in the countries such as Australia and China from Asia Pacific and in some of the countries in the Eastern Europe. Additionally, the countries such as Brazil and Mexico from Latin America have started developing offshore development activities.

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Global Coal Seam Gas Market: Competitive Landscape

The global coal seam gas market is highly consolidated as the major shares of the market are accounted by the three companies such as arrow energy, Origin Energy Limited, and Shell Global.

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