Hydrocarbon Market in the US – Size, Forecast, and Competitive Landscape: Explore Infinity Natural Resources’ US Potential

Market Outlook: Hydrocarbon Market in the US 2025-2029

The hydrocarbon market in the US is driven by the production, refining, and consumption of oil and natural gas, with significant investments in both traditional and renewable energy sources, as the country remains one of the largest global producers and consumers of hydrocarbons. The market is expected to grow by USD 10-12 billion at a CAGR of 3%-5% between 2025 and 2029. Exact values for this market can be accessed upon purchasing the report. Key companies in this market include:

• ExxonMobil
• Chevron Corporation
• ConocoPhillips
• Apache Corporation
• Marathon Oil Corporation

IPO Company Overview: Infinity Natural Resources in the US hydrocarbon market

Infinity Natural Resources recently launched its IPO on the NYSE in January 2025 under the ticker symbol INR, creating a new opportunity for investors. The company is a leading US-based energy company focused on the exploration, development, and production of oil and natural gas resources. With a strong portfolio of assets in both conventional and unconventional energy sectors, Infinity Natural Resources is committed to maximizing the value of its resources while maintaining sustainable, responsible operational practices. The company utilizes advanced technologies to optimize its exploration and drilling processes, enhancing efficiency and reducing environmental impact.

Market Segmentation: How is the US hydrocarbon market segmented?

Type

• Aliphatic
• Aromatic

Application

• Pharmaceuticals
• Energy
• Industrial
• Others

The biggest segment in the US hydrocarbon market in terms of end-use is energy. This segment primarily includes the use of hydrocarbons for electric power generation, transportation fuels (gasoline, diesel, jet fuel), and heating. Energy consumption accounts for the largest share of hydrocarbon demand, as fossil fuels like crude oil, natural gas, and coal continue to be essential for power generation, transportation, and industrial energy needs. Despite the growing shift toward renewable energy, hydrocarbons remain dominant in the energy sector, contributing to the US's position as one of the world’s largest energy consumers.

Investment Opportunities: Why explore the US hydrocarbon market with Technavio?

Recent developments in the US hydrocarbon market have been largely influenced by advancements in shale oil production and natural gas extraction, positioning the country as one of the world's largest energy producers. Technologies such as hydraulic fracturing (fracking) and horizontal drilling have led to significant increases in oil and natural gas production, particularly in regions like the Permian Basin and Marcellus Shale. These developments have not only enhanced domestic energy security but have also contributed to the US becoming a major player in global energy markets. The surge in liquefied natural gas (LNG) exports is another key development, positioning the US as an increasingly influential exporter, particularly to Europe and Asia, which has further expanded its market share on the global stage.

At the same time, there is a growing push for sustainability in the hydrocarbon sector, with companies investing in cleaner energy practices and technologies to reduce their carbon footprints. This shift is evident through greater emphasis on carbon capture and storage (CCS), the integration of renewable energy sources into the oil and gas supply chain, and increasing regulatory pressure to meet climate targets. Additionally, oil prices have remained volatile, influenced by geopolitical factors, supply chain disruptions, and fluctuating demand in the wake of the COVID-19 pandemic. The energy transition is becoming a key consideration for major hydrocarbon producers, who are balancing the growing demand for cleaner energy solutions with the continued reliance on traditional oil and gas resources.

Market Dynamics: What factors are influencing the hydrocarbon market in the US?

Drivers:
The primary drivers of the hydrocarbon market in the US include the increasing demand for energy, especially for transportation and industrial applications. The country’s significant reserves of oil and natural gas, largely unlocked through fracking and shale oil production, have boosted domestic production and reduced reliance on foreign imports. Furthermore, advancements in exploration technologies and drilling techniques have allowed for more efficient extraction, driving the growth of the oil and gas sectors. Additionally, geopolitical events, such as tensions in key oil-producing regions, continue to impact the global supply, influencing US production levels and positioning the country as a critical player in the global energy market.

Trends:
The US hydrocarbon market is witnessing a shift toward cleaner and more sustainable practices in response to environmental concerns and regulatory pressures. A growing trend is the adoption of carbon capture and storage (CCS) technologies and increased efforts toward reducing emissions within the energy sector. Companies are also focusing on renewable energy integration, seeking to balance their fossil fuel-based operations with investments in solar energy, wind energy, and bioenergy. Additionally, the rise of liquefied natural gas (LNG) exports has solidified the US's position as a key player in the global energy market, as international demand for cleaner natural gas alternatives to coal increases.

Opportunities:
There are significant opportunities in the US hydrocarbon market, particularly in the LNG export sector, driven by the increasing global demand for natural gas as a cleaner alternative to coal. The continued growth of shale oil production in key regions like the Permian Basin presents substantial opportunities for exploration and infrastructure development. Additionally, carbon capture technologies and the potential for oilfield digitalization through IoT and AI can enhance operational efficiencies and reduce environmental impacts. The drive for energy independence and innovations in energy storage solutions also offer long-term growth potential in both the hydrocarbon and renewable energy sectors.

Challenges:
Despite its strong position, the US hydrocarbon market faces several challenges, including volatility in global oil prices, which can directly impact profitability and investment decisions. Environmental concerns and increasing regulatory scrutiny surrounding the carbon footprint of fossil fuel production create challenges for companies in maintaining operational compliance and mitigating public backlash. Furthermore, the continued energy transition toward renewables poses long-term risks for the fossil fuel industry, requiring significant capital investment in cleaner technologies. Supply chain disruptions, geopolitical instability, and fluctuating demand also contribute to market uncertainty, making it difficult for producers to forecast and plan for future growth effectively.

Investment Questions: Topics to consider when investing in the hydrocarbon market in the US

What is the regulatory environment?
Upcoming environmental regulations and policies, such as carbon taxes or stricter emissions standards, can have a significant impact on the profitability of hydrocarbon companies. Understanding the potential for regulatory changes is essential for assessing long-term market risks.

What is the long-term outlook for the energy transition?
Investors should consider how companies are adapting to this transition, including their investments in cleaner energy solutions like carbon capture and storage (CCS) or hydrogen.

How does a company’s reserve and production profile look?
Companies with substantial reserves in prolific areas like the Permian Basin are likely to have more growth potential and sustainability in the long term compared to those with declining reserves.

What is the company’s exposure to global supply chains?
Companies heavily reliant on international supply chains or exports could face additional risks, especially in times of geopolitical instability.

For a detailed analysis of the hydrocarbon market in the US, buy the full report

Technavio Report Insights: How Can Technavio Reports Help Investors Make Better Business Decisions?

Key Features of a Technavio Report: 

• Comprehensive Market Analysis: Provides a detailed overview of the hydrocarbon market in the US, including market size, growth rate, segmentation, and regional analysis. 

• In-Depth Competitive Landscape: Offers insights into the competitive dynamics, market share and positioning, and product offerings of key players. 

• Future Market Trends: Identifies emerging trends and opportunities that can shape the future of the market. 

• Detailed Segmentation: Breaks down the market into various segments to help investors identify specific niches and target markets. 

• Expert Analysis: Provides expert insights and forecasts from industry analysts

FAQ

1. What is the hydrocarbon market in the U.S.?
The hydrocarbon market in the U.S. involves the production, extraction, refining, and distribution of oil, natural gas, and their byproducts. It plays a crucial role in the energy sector, contributing significantly to both domestic energy needs and global markets.

2. How does U.S. shale oil production impact the hydrocarbon market?
U.S. shale oil production has revolutionized the hydrocarbon market by increasing domestic oil supply through advanced extraction technologies like hydraulic fracturing (fracking) and horizontal drilling. This has reduced the country's reliance on imported oil and turned the U.S. into one of the world's largest producers of crude oil.

3. What are the key drivers of the U.S. hydrocarbon market?
The key drivers of the U.S. hydrocarbon market include growing demand for energy, particularly for transportation and industrial sectors, technological advancements in extraction and drilling, geopolitical factors, and global energy policies. Additionally, natural gas production has surged, partly due to its use as a cleaner alternative to coal in power generation.

4. How does the U.S. impact global energy markets?
As one of the world's largest producers and consumers of hydrocarbons, the U.S. significantly influences global energy markets. Its oil and gas exports, particularly in natural gas and liquefied natural gas (LNG), impact energy prices and demand patterns, especially in Europe and Asia.

5. What is the role of natural gas in the U.S. hydrocarbon market?
Natural gas plays a central role in the U.S. energy landscape, serving as a cleaner alternative to coal in power generation, heating, and industrial use. It is also increasingly being exported as LNG, bolstering the U.S.'s position in global markets.

Table of Contents

1 Executive Summary

• 1.1 Market overview
  • Executive Summary - Chart on Market Overview
  • Executive Summary - Data Table on Market Overview
  • Executive Summary - Chart on Global Market Characteristics
  • Executive Summary - Chart on Market by Geography
  • Executive Summary - Chart on Market Segmentation
  • Executive Summary - Chart on Incremental Growth
  • Executive Summary - Data Table on Incremental Growth
  • Executive Summary - Chart on Company Market Positioning

2 Technavio Analysis

• 2.1 Analysis of price sensitivity, lifecycle, customer purchase basket, adoption rates, and purchase criteria
  • Analysis of price sensitivity, lifecycle, customer purchase basket, adoption rates, and purchase criteria

• 2.2 Criticality of inputs and factors of differentiation
  • Overview on criticality of inputs and factors of differentiation

• 2.3 Factors of disruption
  • Overview on factors of disruption

• 2.4 Impact of drivers and challenges
  • Impact of drivers and challenges in 2024 and 2029

3 Market Landscape

• 3.1 Market ecosystem
  • Parent Market
  • Data Table on - Parent Market

• 3.2 Market characteristics
  • Market characteristics analysis

• 3.3 Value chain analysis
  • Value chain analysis

4 Market Sizing

• 4.1 Market definition
  • Offerings of companies included in the market definition

• 4.2 Market segment analysis
  • Market segments

• 4.3 Market size 2024

• 4.4 Market outlook: Forecast for 2024-2029
  • Chart on Global Market - Market size and forecast 2024-2029 ($ billion)
  • Data Table on Global Market - Market size and forecast 2024-2029 ($ billion)
  • Chart on Global Market: Year-over-year growth 2024-2029 (%)
  • Data Table on Global Market: Year-over-year growth 2024-2029 (%)

5 Historic Market Size

• 5.1 Global Market 2019 - 2023
  • Historic Market Size - Data Table on Global Market 2019 - 2023 ($ billion)

• 5.2 Segment Analysis 2019 - 2023
  • Historic Market Size – Segment Analysis 2019 - 2023 ($ billion)

• 5.4 Geography segment analysis 2019 - 2023
  • Historic Market Size - Geography Segment 2019 - 2023 ($ billion)

6 Qualitative Analysis

• 6.1 Impact of AI on the Global Market

7 Five Forces Analysis

• 7.1 Five forces summary
  • Five forces analysis - Comparison between 2024 and 2029

• 7.2 Bargaining power of buyers
  • Bargaining power of buyers - Impact of key factors 2024 and 2029

• 7.3 Bargaining power of suppliers
  • Bargaining power of suppliers - Impact of key factors in 2024 and 2029

• 7.4 Threat of new entrants
  • Threat of new entrants - Impact of key factors in 2024 and 2029

• 7.5 Threat of substitutes
  • Threat of substitutes - Impact of key factors in 2024 and 2029

• 7.6 Threat of rivalry
  • Threat of rivalry - Impact of key factors in 2024 and 2029

• 7.7 Market condition
  • Chart on market condition - Five forces 2024 and 2029

8 Market Segmentation

• 8.1 Market segments
  • Chart on Segmentation - Market share 2024-2029 (%)
  • Data Table on Segmentation - Market share 2024-2029 (%)

• 8.2 Segment Comparison
  • Chart on Comparison
  • Data Table on Comparison

• 8.3 Segment Market Opportunity
  • Market opportunity ($ billion)
  • Data Table on Market Opportunity ($ billion)

9 Customer Landscape

• 9.1 Customer landscape overview
  • Analysis of price sensitivity, lifecycle, customer purchase basket, adoption rates, and purchase criteria

10 Geographic Landscape

• 10.1 Geographic segmentation
  • Chart on market share by geography 2024-2029 (%)
  • Data Table on market share by geography 2024-2029 (%)

• 10.2 Geographic comparison
  • Chart on Geographic comparison
  • Data Table on Geographic comparison

• 10.3 Market opportunity by geography
  • Market opportunity by geography ($ billion)
  • Data Tables on Market opportunity by geography ($ billion)

11 Drivers, Challenges, and Opportunity/Restraints

• 11.1 Market drivers

• 11.2 Market challenges

• 11.3 Impact of drivers and challenges
  • Impact of drivers and challenges in 2024 and 2029

• 11.4 Market opportunities/restraints

12 Competitive Landscape

• 12.1 Overview

• 12.2 Competitive Landscape
  • Overview on criticality of inputs and factors of differentiation

• 12.3 Landscape disruption
  • Overview on factors of disruption

• 12.4 Industry risks
  • Impact of key risks on business

13 Competitive Analysis

• 13.1 Companies profiled
  • Companies covered

• 13.2 Company ranking index
  • Company ranking index

• 13.3 Market positioning of companies
  • Matrix on companies position and classification

14 Appendix

• 14.1 Scope of the report

• 14.2 Inclusions and exclusions checklist
  • Inclusions checklist
  • Exclusions checklist

• 14.3 Currency conversion rates for US$
  • Currency conversion rates for US$

• 14.4 Research methodology
  • Research methodology

• 14.5 Data procurement
  • Information sources

• 14.6 Data validation
  • Data validation

• 14.7 Validation techniques employed for market sizing
  • Validation techniques employed for market sizing

• 14.8 Data synthesis
  • Data synthesis

• 14.9 360 degree market analysis
  • 360 degree market analysis

• 14.10 List of abbreviations
  • List of abbreviations