Methane Global Market Report 2025

Methane is a flammable, colorless, odorless, and compressed gas with few contaminants. It can be used alone or as a component in gas mixes for various applications, including power generation, antifreeze ingredients in industries, and sanitizing products. Methane is a hydrocarbon and a primary component of natural gas.

The main types of methane sources are natural and synthetic. Natural methane is derived from natural wetlands, soil, and chemical reactions in the atmosphere. It is commonly used as a fuel for heat and light generation and the production of organic compounds. Major production methods for methane include fermentation and gasification. Methane finds applications in various industries, including as fuel, natural gas, chemical feedstock, liquefied natural gas, liquid-methane rocket fuel, power generation, and residential use. Different end-use industries, such as automotive, aerospace and defense, electrical, chemical, and others, utilize methane for various purposes.

The methane market research report is one of a series of new reports from The Business Research Company that provides methane market statistics, including methane industry global market size, regional shares, competitors with a methane market share, detailed methane market segments, market trends, and opportunities, and any further data you may need to thrive in the methane industry. This methane market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The methane market size has grown strongly in recent years. It will grow from $116.19 billion in 2024 to $127.45 billion in 2025 at a compound annual growth rate (CAGR) of 9.7%. The growth in the historic period can be attributed to industrialization and energy production, agricultural activities, waste management, fossil fuel extraction, deforestation and land use changes.

The methane market size is expected to see strong growth in the next few years. It will grow to $182.09 billion in 2029 at a compound annual growth rate (CAGR) of 9.3%. The growth in the forecast period can be attributed to renewable energy initiatives, shift towards sustainable practices, investments in methane abatement solutions, methane monitoring and reporting standards. Major trends in the forecast period include rising climate change awareness, methane emission monitoring, agricultural emission reduction, industrial emission reduction initiatives, and policy and regulation changes.

The anticipated increase in demand within the automotive industry is poised to drive the growth of the methane market in the foreseeable future. The automotive sector encompasses companies involved in the production, sale, maintenance, and customization of motorized vehicles. Methane is utilized in the automotive industry to power vehicles due to its several advantages, including being a cost-effective and clean fuel source (emitting fewer harmful particles) compared to traditional gasoline and diesel. It is commonly used in compressed form, such as compressed natural gas (CNG) or compressed biogas (CBG) in light-duty cars, and in liquefied form in heavy-duty long-haul vehicles. For instance, according to the International Energy Agency, Paris-based autonomous intergovernmental organization, In 2023, electric vehicle sales surged by 3.5 million units compared to the previous year, marking a significant 35% year-over-year growth. Hence, the growing demand in the automotive sector is a driving force for the methane market.

The growing adoption of clean energy is anticipated to drive the expansion of the methane market in the future. Clean energy is derived from renewable and sustainable sources that have a minimal environmental footprint. The methane market benefits from this trend, as methane is acknowledged as a cleaner alternative to traditional fossil fuels, playing an essential role in lowering greenhouse gas emissions, integrating with renewable energy systems, and contributing to clean transportation. This aligns with the global movement towards environmentally sustainable energy sources. Addressing methane emissions is viewed as one of the most accessible and cost-effective approaches to tackling climate change. For example, in March 2022, the U.S. Energy Information Administration, a government agency in the U.S., projected that renewable energy's share in power generation would nearly triple, rising from 21% in 2021 to 44% by 2050, primarily driven by new developments in wind and solar energy. Thus, the increasing adoption of clean energy is propelling the growth of the methane market.

Technological advancements are a significant trend gaining traction in the methane market. Leading companies in this sector are adopting innovative technologies to maintain their competitive edge. For example, in November 2022, the United Nations Environment Programme, based in Kenya, launched the Methane Alert and Response System (MARS), a satellite-based initiative aimed at detecting and reducing global methane emissions. MARS employs advanced satellite technology for real-time monitoring and identifies major sources of emissions. It supports the Global Methane Pledge to reduce emissions by 30% by 2030. This system enhances transparency and accountability by making data publicly accessible. Its technological innovations include providing immediate data on methane emissions for prompt action, monitoring emissions globally across the energy, waste, and agriculture sectors, and integrating multiple satellite sources to ensure accurate detection and attribution.

Major companies operating in the methane market are focusing on innovative products such as methane measurement instruments to expand their customer base, boost sales, and increase revenue. Methane measurement instruments are designed to quantify the concentration of methane gas in a given environment. For example, in October 2023, Schlumberger NV introduced the Methane Point Instrument, a self-installed continuous monitoring system equipped with IoT-enabled sensors. This advanced technology provides a rapid and cost-effective solution for detecting, locating, and quantifying emissions in oil and gas operations. The Methane Point Instrument's industry-leading leak detection sensitivity, combined with its compact and durable 'plug-and-play' design, represents a significant advancement in methane measurement technology, automating continuous monitoring processes and eliminating the need for manual data collection.

On May 3, 2024, ExxonMobil, a US-based energy company specializing in oil and gas, acquired Pioneer Natural Resources for an undisclosed amount. Through this acquisition, ExxonMobil intends to boost its production capacity in the Permian Basin, accelerate its environmental commitments, and generate long-term shareholder value by enhancing operational efficiency. Pioneer Natural Resources is a US-based company involved in hydrocarbon exploration and production.

Major companies operating in the methane market include BP plc, Oil and Natural Gas Corporation, IGas Energy plc, China National Petroleum Corporation, Senex Energy Limited, Shell plc, China National Offshore Oil Corporation, Metgasco Limited, G3 Exploration Ltd., Air Liquide SA, Bhuruka Gases Limited, Chengdu Taiyu Industrial Gases Co. Ltd., Linde plc, Osaka Gas Co. Ltd., Qingdao Guida Special Gas Co. Ltd., Primus Green Energy Inc., Gazprom Neft PJSC, Bharat Petroleum Corp. Ltd., Chevron Corporation, Exxon Mobil Corporation, Honeywell International Inc., TotalEnergies SE, Hess Corporation, Koch Minerals & Trading LLC

North America was the largest region in the methane market in 2024. Europe was the second-largest region in the methane market. The regions covered in the methane market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa

The countries covered in the methane market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The methane market consists of sales of biomethane, fossil methane, compressed methane, and liquefied methane. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

Methane Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.

This report focuses on methane market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.

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Where is the largest and fastest growing market for methane ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The methane market global report from the Business Research Company answers all these questions and many more.

The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.

• The market characteristics section of the report defines and explains the market.
• The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
• The forecasts are made after considering the major factors currently impacting the market. These include:

The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.

• Market segmentations break down the market into sub markets.
• The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth. It covers the growth trajectory of COVID-19 for all regions, key developed countries and major emerging markets.
• The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
• The trends and strategies section analyses the shape of the market as it emerges from the crisis and suggests how companies can grow as the market recovers.

Scope

• Markets Covered:1) By Source: Natural; Synthetic
• 2) By Production Method: Fermentation; Gasification
• 3) By Application: Fuel; Natural Gas; Chemical Feedstock; Liquefied Natural Gas; Liquid-Methane Rocket Fuel; Power Generation; Residential; Other Applications
• 4) By End Users: Automotive; Aerospace And Defense; Electrical; Chemical; Other End Users
• Subsegments:
• 1) By Natural: Conventional Natural Gas; Biogas; Landfill Gas
• 2) By Synthetic: Methanol-To-Gas (MTG); Power-To-Gas; Gasification Processes
• Companies Mentioned: BP plc; Oil and Natural Gas Corporation; IGas Energy plc; China National Petroleum Corporation; Senex Energy Limited
• Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Russia; South Korea; UK; USA; Canada; Italy; Spain
• Regions: Asia-Pacific; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
• Time series: Five years historic and ten years forecast.
• Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita,
• Data segmentations: country and regional historic and forecast data, market share of competitors, market segments.
• Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
• Delivery format: PDF, Word and Excel Data Dashboard.