Blockchain in Oil and Gas Market Analysis

Blockchain in Oil & Gas Market Analysis

Based on application the blockchain in the oil & gas market is segmented into supply chain, operations, trading and security. Supply chain is projected to grow by more than USD 15.5 billion by 2034. Rising demand for real-time data sharing and monitoring with many stakeholders across multiple regions, including suppliers, manufacturers, logistics providers, and customers will foster the technology adoption. Growing need for enhanced forecasting and inventory management to track the flow of materials and products across the entire supply chain will complement the technology penetration. Furthermore, high complexity of oil and gas supply chains escalates the chances of disputes over contractual terms, delivery schedules, and quality assurance, driving the technology adoption offering secured transaction history, including contract terms, delivery dates, and payment history.
 

Based on category, the market is segmented into public and private. Public is set to grow at a CAGR of over 42.4% till 2034. Rising fighting corruption and fraud in the oil and gas sector, particularly in countries rich in natural resources will improve technology adoption particularly valuable for governments and public agencies looking to ensure that revenue from activities does not siphon off through illicit activities. Growing demand for sustainable practices from the public category on account of rising enforcement of environmental regulations will uplift the industry landscape.
 

The U.S. blockchain in oil & gas market is anticipated to grow over USD 3.8 billion by 2034. Increasing scrutiny from regulators, investors, and the public in the U.S. will stimulate technology demand to provide a transparent and immutable ledger for tracking operations ensuring accountability in the supply chain, from extraction to distribution. Growing strict regulations governing environmental standards, safety protocols, and financial disclosures in the oil and gas sector will further propel the technology penetration. Rising collaboration between private oil and gas firms and government bodies in blockchain pilot projects will foster the business landscape.
 

In Asia Pacific, rising energy demand, especially in rapidly developing economies such as China and India, will encourage companies to focus on technologies that streamline operations, driving the industry statistics. Growing implementation of stricter environmental regulations coupled with increasing corruption and inefficiency in the resource sector will complement technology penetration.