Flares systems are combustion devices that safely and efficiently eradicate the waste gases generated at the plant. They can be characterized as safety devices that avoid the release of the unburned and harmful gases in the environment and the process is called gas recovery. They are widely adopted across natural gas refinery as a part of safety and maintenance purpose where they are used to recollect the waste gas for generating energy. Thus it can be used for power re-generation and achieve maximum energy usage. Moreover, it also supports re-inject of this waste gas into the production well for maintaining the optimum pressure. They can be classified into large, medium, small, and extra-large capacity systems.
The global flare gas recovery systems market was estimated to be valued more than US$ 1.8 billion in terms of revenue in 2019 and is predicted to grow at a CAGR of 13.8% during the forecast period (2020 to 2027)
The growing need for safety and maintenance in gas processing facilities is expected to accelerate the market growth of flare gas recovery systems. Flare system offers cost-effective maintenance and service life of the production components and reduces the incidences of accidents in the facilities. Therefore, rising need for safety and maintenance in the gas production facilities is projected to propel the market growth of flare gas recovery systems over the forecast period.
Increasing use of flare gas system across power generation applications is projected to provide potential growth opportunities to the market of flare gas recovery systems. Growing environmental concerns and need to conserve the environment is expected to accelerate the adoption of flare gas recovery systems. Moreover, various oil &gas and refineries are rapidly installing a flare gas recovery system in order to optimize energy use and reduce energy consumption. This is further projected to propel the market growth over the forecast period.
Lack of awareness regarding the benefits of flare system across oil &gas industry across developing regions such as Latin America, Asia, Middle East, and Eurasia is expected to negatively affect the market growth of the flare gas recovery system over the forecast period.
On the basis of capacity, very large dominated the global flare gas recovery systems market in 2019 with around 44% of market share in terms of revenue, followed by as large and medium, respectively
Various natural gas producers are adopting the flare system in order to improve the infrastructure of the facilities is expected to be a major trend and this is expected to augment the market growth. Petroleum industries are continuously upgrading their system for smooth and safe functioning of the components and reduce the carbon footprints in order to safeguard the environment. Thus, rising such initiatives by the end-user of the flare gas recovery system are projected to propel the market growth.
An increasing number of partnerships and agreements in the market among key players to cater to rising demand around the globe is projected to augment the market growth. For instance, in September 2017, The National Iranian Oil Company (NIOC) signed the first deal on flare gas recovery and utilization with a France’s Sofregaz Company and Iran’s Sanat Sazeh Samin Company in Tehran valued at US$ 45.0 million to be funded by NIOC.
The European Union legislation has set emission reduction standards and flaring penalties and regulations for governments to control emissions, which is leading to increased deployment of FGRS in gas processing plants and refineries.
Key players are operating in the global flare gas recovery systems market are UOP-A Honeywell Company, Wärtsilä Hamworthy, MPR Industries PLC, John Zink Company LLC, Zeeco Europe and Zeeco India, Gardener Denver, and Ro-Flo Compressors