The natural gas extraction sector in the UK demonstrates significant variability in production values over the past decade. From 2014 to 2018, production showed an inconsistent trend with notable decreases in 2016 and 2018, but an upsurge in 2017. The most substantial growth occurred in 2019, marked by an outstanding year-on-year increase of 188.34%, primarily attributed to favorable market conditions and increased extraction activities. However, this was followed by a sharp decline in 2020, reflecting the impacts of global market disruptions. A strong recovery began in 2021 and continued upward through 2023. In 2023, the sector stood at 494.7 million pounds, witnessing a year-on-year rise of 4.52% with a five-year CAGR of 23.11%.
- The average annual growth rate forecasted for the next five years is 3.22%.
- The projected total growth rate over the next five years is 17.15%.
Future trends to watch for include potential fluctuations in global energy prices, regulatory changes, technological advancements in extraction methods, and the UK's commitment to greener energy resources impacting natural gas demand.