N-Methyl diethanolamine (MDEA) is an organic compound widely used as an acid gas scrubbing agent for natural gas extraction and acid gas removal processes. It efficiently removes hydrogen sulfide and carbon dioxide from sour gas streams and is used as a key absorbent in amine gas treating units at oil, gas, and chemical processing facilities. MDEA offers several advantages compared to other amines including decreased corrosion rates, lower vapor pressure resulting in lower losses, and reduced oxidation and thermal degradation. Some common uses of MDEA include in enhanced oil recovery, natural gas processing, refinery hydrogen plants, and coal gasification plants. With increasing natural gas exploration activities and rising energy demand globally, the demand for MDEA is expected to surge considerably over the coming years.
The global N-Methyl Diethanolamine (MDEA) Market is estimated to be valued at US$ 671.62 Bn in 2024 and is expected to exhibit a CAGR of 10% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
The increasing demand from gas treating applications is expected to be a key driver for the N-Methyl Diethanolamine (MDEA) Market over the forecast period. With growing natural gas production worldwide, especially from unconventional reserves like shale gas, there is immense need for efficient acid gas removal processes to meet stringent environmental norms. As MDEA offers superior effectiveness and lower operational costs compared to other amines, its adoption is increasing amongst natural gas and refining companies. Additionally, rising energy demand has propelled investments in new gas processing plants, refineries, and fertilizer units which will further boost MDEA consumption going ahead.
Another factor propelling the MDEA market growth is its use in carbon capture and storage projects from coal-fired power plants and other large point source emission facilities. Ongoing R&D towards improving the commercial viability of carbon capture technologies is providing new growth avenues for MDEA suppliers. However, availability of substitutes and volatility in raw material prices remains a challenge.
Segment Analysis
MDEA market can be segmented based on application into gas sweetening, solvents, wood preservatives, agrochemicals, surfactants, and others. The gas sweetening segment currently dominates the market due to high demand of MDEA in capturing acid gases like H2S and CO2 from natural gas and petroleum refining. MDEA blended with diethanolamine (DEA) is widely used for sweetening sour gas streams in gas processing plants.
Pest Analysis
Political: Stringent environment norms in several countries regarding emission of acid gases from industries are driving demand for highly effective gas treating chemicals like MDEA.
Economic: Rising natural gas exploration and production activities along with growing petrochemical industry are fueling consumption of MDEA in gas sweetening applications.
Social: Increasing public awareness about environmental protection is prompting industries to reduce emission of toxic gases and comply with regulations.
Technological: Advancements in gas sweetening technologies to improve selectivity and kinetics of gas treating amines like use of mixed amine systems is boosting MDEA adoption.
Key Takeaways
The Global N-Methyl Diethanolamine (MDEA) Market Size is expected to witness high growth between 2023-2030 due to increasing investment in oil & gas industry worldwide. The global N-Methyl Diethanolamine (MDEA) Market is estimated to be valued at US$ 671.62 Bn in 2024 and is expected to exhibit a CAGR of 10% over the forecast period 2023 to 2030.
North America holds major share of the market currently attributed to presence of large number of shale gas drillingactivities in the region. MDEA demand is high in the gas processing industry for removal of H2S and CO2 from sour natural gas and refinery gas streams. Gas sweetening application segment accounts for over 50% of total MDEA consumption globally.
Key players operating in the MDEA market are Huntsman Corporation, Dow Chemical Company, BASF, Eastman Chemical Company and Ineos Oxides.
Key players like Huntsman and Dow regularly expand their production facilities to cater to growing demand for gas treating amines from process industries. Strict environmental norms regarding gas emissions particularly in countries like China, US, Germany, and India are augmenting MDEA consumption.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it