Saudi Arabia Natural Gas Market

Saudi Arabia Natural Gas Market Overview:

The Saudi Arabia natural gas market size reached USD 10.14 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 20.71 Billion by 2033, exhibiting a growth rate (CAGR) of 7.40% during 2025-2033. Saudi Arabia is diversifying its energy sources, focusing on natural gas to reduce oil dependence and enhance sustainability. Investments in advanced technologies and infrastructure, including gas storage and processing facilities, aim to meet domestic and global demand. This supports Vision 2030’s goals of economic diversification and cleaner energy and contributes to the expansion of the Saudi Arabia natural gas market share.

Saudi Arabia Natural Gas Market Trends:

Focus on Energy Diversification and Sustainability

Saudi Arabia is actively changing its energy strategy to diversify energy sources and lessen its oil dependency, which is motivated by the Vision 2030 that highlights sustainability and environmental accountability. Natural gas is essential to this plan, as the governing body seeks to reduce the carbon intensity of energy generation. In contrast to coal and oil, natural gas is seen as a more efficient and cleaner option for electricity generation and industrial operations. In this transition, Saudi Arabia is heavily investing in innovative technologies to enhance the use of natural gas and further its sustainability objectives. A significant instance of this is the 2024 debut of the first domestically manufactured H-class gas turbine at GE Vernova's Saudi Advanced Turbines plant in Dammam. This groundbreaking turbine was designed to energize the Jafurah Cogeneration Independent Steam and Power Plant, a crucial initiative that supported Saudi Arabia's natural gas production and its broader sustainability objectives. The efficiency of the turbine helped reduce emissions in the energy sector and contributed to meeting the growing electricity demand. This accomplishment reflects the commitment of Saudi Arabia to economic diversification under Vision 2030, as it promotes a cleaner energy transition while enhancing the local energy sector. Through these innovations, Saudi Arabia is positioning natural gas at the center of its initiatives to establish a more sustainable and diversified energy future.

Growing Investment in Energy Infrastructure

The rising investment in energy infrastructure is a critical factor impelling the Saudi Arabia natural gas market growth. The Kingdom aims to expand and upgrade its energy infrastructure, encompassing pipelines, storage facilities, and gas processing plants, to accommodate the growing demand for natural gas, both locally and internationally. This advancement is vital for guaranteeing energy security in Saudi Arabia and aiding the export of natural gas and liquefied natural gas (LNG) to global markets. Furthermore, Saudi Arabia is putting resources into innovative technologies, including sophisticated metering systems, intelligent grids, and storage options to enhance energy distribution and boost efficiency. A notable instance of this investment is the initiation of Saudi Arabia's inaugural natural gas storage facility in 2024, the Hawiyah Gas Storage project, created by Aramco. The facility reinjected as much as 2 billion standard cubic feet of gas daily into the Master Gas System, aiding in the handling of peak energy demand and lowering emissions. This initiative was crucial in aiding the Kingdom's Vision 2030 objective to substitute 1 million barrels per day of liquid fuels with natural gas and renewable energy alternatives. With the advancement of these infrastructure initiatives, Saudi Arabia is increasing its capacity to meet rising energy demands and improve its position as a key player in the global natural gas market, thereby further diversifying its energy sector and securing long-term viability.

Saudi Arabia Natural Gas Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country and regional levels for 2025-2033. Our report has categorized the market based on type.

Type Insights:

• Compressed Natural Gas
• Piped Natural Gas
• Liquified Petroleum Gas

A detailed breakup and analysis of the market based on the type have also been provided in the report. This includes compressed natural gas, piped natural gas, and liquified petroleum gas.

Regional Insights:

• Northern and Central Region
• Western Region
• Eastern Region
• Southern Region

The report has also provided a comprehensive analysis of all the major regional markets, which include Northern and Central Region, Western Region, Eastern Region, and Southern Region.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

 Saudi Arabia Natural Gas Market News:

• In May 2025, Saudi Arabia awarded a $2.6 billion contract to a Spanish-Egyptian joint venture to build a 3 GW combined cycle natural gas-fired power plant in the Eastern Province, supporting increased electricity generation from natural gas. The project includes carbon capture readiness and a 380 kV substation. This aligns with Saudi efforts to boost clean energy and power capacity.
• In April 2025, Saudi Aramco announced the discovery of 14 new oil and natural gas fields and reservoirs in the Eastern Region and the Empty Quarter. This includes two natural gas fields (Ghizlan and Araam) and four gas reservoirs, with significant daily outputs up to 32 million standard cubic feet. These discoveries support Vision 2030 and enhance Saudi Arabia’s natural gas supply and energy security.

Saudi Arabia Natural Gas Market Report Coverage:

Key Questions Answered in This Report:

• How has the Saudi Arabia natural gas market performed so far and how will it perform in the coming years?
• What is the breakup of the Saudi Arabia natural gas market on the basis of type?
• What is the breakup of the Saudi Arabia natural gas market on the basis of region?
• What are the various stages in the value chain of the Saudi Arabia natural gas market? 
• What are the key driving factors and challenges in the Saudi Arabia natural gas market?
• What is the structure of the Saudi Arabia natural gas market and who are the key players?
• What is the degree of competition in the Saudi Arabia natural gas market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Saudi Arabia natural gas market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Saudi Arabia natural gas market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Saudi Arabia natural gas industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.