South & Central America Virtual Pipeline Systems Market

The virtual pipeline systems  market in South & Central America is expected to grow from US$ 62.67 million in 2022 to US$ 86.31 million by 2028. It is estimated to grow at a CAGR of 5.5% from 2022 to 2028.

Increasing Energy Demands Creating Need for Virtual Pipeline Systems

In recent times, natural gas has gained prominence as it burns cleaner than conventional fossil fuels, such as coal, gasoline, and diesel. The world is facing serious repercussions of global warming, which is compelling a shift toward cleaner energy sources and natural gas. Virtual pipelines allow natural gas companies to extend their reach beyond their local market, thereby allowing them to expand their footprint. Virtual pipelines are designed for the land transport of gas shipments in containers by rail or road; they can also be transported on the water in coastal tankers and river ships. These systems can be employed to supply natural gas to power plants and private customers who cannot participate in pipeline development due to geological constraints. Virtual pipelines provide flexibility in transporting natural gas along with eliminating the need for large physical pipeline installations. The deployment of physical pipelines is not always feasible due to terrain or geopolitical issues, which further drives the virtual pipeline market.

Market Overview

Brazil and Argentina are among the key countries in South America. Despite many economic challenges, favourable government initiatives, the highest urbanization rate, and rapid industrialization propel the growth of the region’s economy. The proliferation of the industrial sector provides significant opportunities for the progress of the virtual pipeline system market in the region. The National Agency of Petroleum, Natural Gas, and Biofuels (ANP) estimates that 93% of the nation's total oil and gas output in 2019 will come from offshore sources, while just 7% will come from onshore sources. This is anticipated to boost the Brazilian upstream oil and gas market during the projected period.

 South & Central America Virtual Pipeline Systems Market  Revenue and Forecast to 2028 (US$ Million)

South & Central America Virtual Pipeline Systems Market  Segmentation

The South & Central America virtual pipeline systems market is segmented into type, gas, pressure rating, application, and country. 

• Based on type, the market is bifurcated into standard trailer and towable trailer. The standard trailer segment registered the larger market share in 2022.
• Based on gas, the market is segmented into CNG, hydrogen, and others. The CNG segment held the largest market share in 2022.
• Based on pressure rating, the market is segmented into less than 3000 Psi, 3001 Psi to 5000 Psi, and more than 5001 Psi. The 3001 Psi to 5000 Psi segment held the largest market share in 2022.
• Based on application, the market is segmented into industrial, transportation, and commercial & residential. The transportation segment held the largest market share in 2022.
• Based on country, the market is segmented into Brazil, Argentina, and the Rest of South & Central America. Brazil dominated the market share in 2022.

Galileo Technologies S.A.; Bayotech, Inc.; Petroliam Nasional Berhad (PETRONAS); Quantum Fuel Systems LLC.; Chart Industries, Inc.; Fiba Technologies Inc.; Hexagon Agility; and Composite Advanced Technologies, LLC. are the leading companies operating in the virtual pipeline systems market in the region.