Vapor Recovery Units Market Set To Soar Towards US$ 1.61 Billion By 2033 Astute Analytica

(MENAFN- GlobeNewsWire - Nasdaq) Strict global regulations and strong economic incentives are fueling significant growth in the vapor recovery units market. Technological advancements in automation and monitoring are enhancing efficiency, particularly in the dominant oil, gas, and storage sectors.

Chicago, Sept. 22, 2025 (GLOBE NEWSWIRE) -- The global vapor recovery units market was valued at US$ 1.25 billion in 2024 and is expected to reach US$ 1.61 billion by 2033, growing at a CAGR of 2.8% during the forecast period 2025–2033.

The scale of global energy investment is a primary catalyst for growth of the Vapor recovery units market. A wave of mega-projects is creating substantial, built-in demand for sophisticated vapor control systems. The ambitious Alaska LNG project, which awarded a key engineering contract in June 2025, carries an estimated total value of US$ 44 billion. In the same month, Oman's OQ Gas Networks committed a significant US$ 273 million for its Fahud-Suhar pipeline project. Such massive capital injections signal a robust and long-term procurement cycle for essential components, including advanced VRU systems needed to meet both operational and environmental standards throughout the project lifecycles.

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Further cementing this trend, Brazil's Petrobras unveiled plans in July 2025 for investments of 33 billion Brazilian reals into refining and petrochemical initiatives. In North America, NextDecade reached a Final Investment Decision (FID) for Train 4 of its Rio Grande LNG project on September 9, 2025, at a cost of approximately US$ 6.7 billion. The company expects to approve its Train 5 project, valued at an identical US$6.7 billion, in the fourth quarter of 2025. Adding to the global momentum, Indonesia approved a massive downstream development plan in March 2025, encompassing 21 distinct projects valued at an impressive US$ 40 billion. In the United States, a US$ 210 million investment was announced in July 2024 by EFC Gases & Advanced Materials for a new manufacturing facility, highlighting growth across the supply chain in the market.

Key Findings in Vapor Recovery Units Market

Market Forecast (2033)	US$ 1.61 billion
CAGR	2.8%
Largest Region (2024)	North America (41%)
By Technology	Absorption (Dominant)
By Application	Storage (44%)
By End Users	Oil& Gas (65%)
Top Drivers	Stringent environmental regulations mandating volatile organic compound (VOC) emission reductions. Economic benefits from recovering and selling valuable hydrocarbon vapors. Expansion of oil and gas infrastructure to meet rising global energy demand.
Top Trends	Integration of IoT and automation for real-time monitoring and predictive maintenance. Development of advanced adsorbent materials and membrane separation technologies. Shift towards modular and compact VRU designs for easier integration.
Top Challenges	Technical limitations and performance variability in harsh operating environments.

Global Energy Infrastructure Expansion Creates Vast New Installation Opportunities for VRUs

The physical expansion of energy infrastructure provides tangible metrics for future demand in the Vapor recovery units market. The new Fahud-Suhar pipeline in Oman will stretch across 193 kilometers and will feature a substantial diameter of 42 inches. Similarly, the proposed Alaska LNG project includes a natural gas pipeline of approximately 1,300 kilometers, also designed with a 42-inch diameter, and will operate at a high pressure of 2,075 pounds per square inch gauge (psig). The export facility associated with the Alaska project is planned to have a massive capacity of 20 million tons per annum, requiring extensive vapor recovery capabilities.

These large-scale metrics are mirrored in production capacity targets worldwide in the vapor recovery units market. Indonesia announced ambitious plans in March 2025 to construct new oil refineries, adding a total capacity of 1 million barrels per day, which will be distributed across 16 different locations. The nation also plans a new oil storage facility with a 1-million-barrel capacity. As of mid-2025, total U.S. LNG peak nameplate export capacity has already surpassed 17 billion cubic feet per day. In Brazil, Petrobras projects will boost S-10 diesel production by 76,000 barrels per day and increase jet fuel production by 20,000 barrels per day. A new Bio Jet Fuel plant in the country will add another 19,000 barrels per day of renewable fuels. Underscoring a global boom, over 50 billion cubic meters per year of new LNG liquefaction capacity was sanctioned globally in 2025 alone.

Strict Regulatory Deadlines Mandate Widespread Adoption in the Vapor Recovery Units Market

Regulatory frameworks are a powerful, non-negotiable driver of VRU installations. In the United States, the Environmental Protection Agency's (EPA) OOOOb regulations, finalized in March 2024, established a firm compliance deadline of May 7, 2025, for facilities with certain pneumatic pump configurations. Furthermore, new oil wells completed after May 7, 2024, are now subject to stringent new rules regarding the management of associated gas. These mandates create a compulsory replacement and new installation market, compelling operators to invest in compliant vapor recovery technology to avoid significant penalties.

The regulatory environment continues to evolve, creating sustained demand for the vapor recovery units market. In a July 2025 interim final rule, the EPA extended certain compliance deadlines for its 2024 New Source Performance Standards, pushing the new deadline for control devices and storage vessels to 18 months after the rule's publication. The public comment period for a related rule was scheduled to close on September 2, 2025, indicating active policy development. Looking ahead, the EPA's Spring 2025 regulatory agenda signaled that a proposed rule for the National Emission Standards for Hazardous Air Pollutants for the oil and gas sector is expected in December 2025, promising to further tighten emissions standards and expand the required footprint of the Vapor recovery units market.

North American LNG and Industrial Growth Cement Its Dominant Market Position

North America continues to be a powerhouse of demand, driven by its world-class LNG export infrastructure and significant industrial investments. The Alaska LNG pipeline is engineered to transport a huge average volume of 3.5 billion cubic feet of gas daily from the Prudhoe Bay and Point Thomson fields. Downstream, the new EFC Gases & Advanced Materials facility in Texas will be built on a large 195-acre property and is expected to create at least 120 new jobs, contributing to the domestic industrial ecosystem that supports the energy sector.

The region's LNG boom is a critical factor for the vapor recovery units market. Seven major LNG projects currently under construction are projected to increase U.S. peak export capacity to an immense 30 billion cubic feet per day by 2030. The pace of development is rapid. Venture Global's Plaquemines LNG Phase 1, with a capacity of approximately 3 billion cubic feet per day, began its commissioning process in December 2024. Shortly after, Cheniere Energy's Corpus Christi Stage 3 facility followed suit, beginning its ramp-up in February 2025. Each of these large-scale liquefaction facilities requires multiple, high-performance VRUs to manage boil-off gas and loading emissions, solidifying North America's position as a key growth engine for the Vapor recovery units market.

Asia-Pacific and the Middle East Emerge as High-Growth Market Frontiers

The fastest growth in the Vapor recovery units market is occurring in the Asia-Pacific and Middle East regions, fueled by national energy security goals and rapid industrialization. Indonesia's energy strategy is particularly ambitious; before its 1 million barrel per day expansion plan, a prior proposal for a single refinery had a projected capacity of 532,000 barrels per day, with an estimated investment of 12.5 billion U.S. dollars. With current crude production at approximately 600,000 barrels per day and consumption exceeding 1.5 million barrels per day, the nation's drive for refining self-sufficiency is clear. The President has set a national oil output revival target of 1 million barrels per day by 2028-29.

In the Middle East, Oman's Fahud-Suhar pipeline project is scheduled for completion within a 24-month timeframe from its June 2025 contract date and is designed to add 9 Million Metric Standard Cubic Meters per Day of capacity to its northern gas network. Elsewhere, new upstream developments promise future demand for the Vapor recovery units market. Nigeria's Ima Gas Field development, with a Final Investment Decision targeted for 2025, holds substantial reserves of up to 1.6 trillion cubic feet of gas. The project will be developed via four distinct wells with a pipeline to the shore, creating a new source of demand for VRU technology in Africa as part of its broader energy infrastructure build-out.

Petrochemical Decarbonization and Feedstock Diversification Open New Profitable Market Niches

The global petrochemical industry is undergoing a significant transformation, creating new and specialized applications for advanced vapor recovery systems. Investment trends in 2025 show a clear and decisive pivot toward alternative feedstocks, including bio-based materials and CO2 utilization, as companies seek to reduce their carbon footprint. Major investments are being directed in 2025 toward green ammonia and green methanol production facilities, which are crucial for decarbonizing the marine transport sector. These new processes handle different chemical compounds and require specialized VRUs designed for high-purity recovery and operational safety.

In Brazil, these trends are materializing in specific projects. A study is currently underway at the Boaventura Complex in 2025 for the future production of acetic acid and monoethylene glycol (MEG). Alongside a focus on new chemicals, circular economy principles are also driving investment. A lubricant oil re-refining project with a planned capacity of 30,000 cubic meters per month is under evaluation at Petrobras's Reduc facility. Each of these initiatives, from green fuels to re-refining, expands the addressable Vapor recovery units market beyond its traditional oil and gas base, opening up profitable new revenue streams for adaptable technology providers.

Project Execution Timelines Provide a Clear Roadmap for Future VRU Procurement

The scheduling of Final Investment Decisions and construction milestones offers stakeholders a precise and valuable forecast for upcoming procurement cycles. The FID for the massive Alaska LNG pipeline is anticipated in late 2025, signaling the start of major equipment purchasing. Similarly, the FID for the Elk-Antelope LNG project in Papua New Guinea is set for the fourth quarter of 2025, while Mozambique's Coral Norte floating LNG development, with a capacity of 3.6 million tonnes per annum, is expected to reach FID in the first half of 2025. These dates act as critical signposts for the timing of VRU tenders.

The long-term nature of these projects ensures a sustained demand pipeline in the vapor recovery units market. The guaranteed substantial completion date for Train 4 at the Rio Grande LNG facility is anticipated in the second half of 2030. Following a late 2025 FID, the completion of its sister Train 5 is anticipated in the first half of 2031. To facilitate a smooth project launch, the pricing validity for the Train 5 EPC contract has been extended through November 15, 2025, aligning perfectly with the expected FID timeline. For suppliers and manufacturers in the Vapor recovery units market, these schedules provide the necessary visibility to manage capacity, supply chains, and sales strategies effectively for years to come.

Leading Equipment Manufacturers Report Robust Financials Amid Surging Industrial Equipment Demand

The financial health of major industrial equipment manufacturers, who are key suppliers to the Vapor recovery units market, reflects the sector's incredible strength. For its full-year 2024 results, Ingersoll Rand reported total revenues of 7,235 million U.S. dollars and secured total orders amounting to 7,106 million U.S. dollars. The company's financial performance was exceptional, generating a net income of 839 million U.S. dollars and an adjusted EBITDA of 2,018 million U.S. dollars. Strong operational execution led to an operating cash flow of 1,397 million U.S. dollars and free cash flow of 1,248 million U.S. dollars. The company maintained total liquidity of 4.1 billion U.S. dollars while returning 293 million U.S. dollars to shareholders. The Precision and Science Technologies Segment, a key business unit, saw fourth-quarter 2024 orders reach 378 million U.S. dollars on revenues of 388 million U.S. dollars.

Another market player, Kilburn Engineering, also posted strong results, demonstrating broad-based market vitality. The company reported sales of 1,082.7 million Indian rupees for the third quarter ending December 31, 2024. For the first quarter of fiscal year 2025-2026, it generated revenue of 131.77 crore Indian rupees and a net profit of 21.31 crore Indian rupees. A testament to its operational efficiency, the company reported its highest-ever annual operating cash flow of 26.40 crore Indian rupees in its 2024 reporting period. These robust financial results from key industry suppliers confirm the high level of investment and activity across the industrial landscape.

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Technological Innovation in Vapor Recovery Systems Creates New Value and Applications

Technological advancement is a cornerstone of the modern Vapor recovery units market, enabling higher efficiency and creating entirely new use cases. In a significant development, Audubon Engineering Company introduced its patented Vapor Upcycle System (VUS) in March 2024. The VUS technology is specifically engineered to meet the updated EPA NESHAP regulations for gasoline distribution, demonstrating how innovation is directly responding to regulatory drivers. The system's unique value proposition is its ability to convert captured toxic waste emissions directly into usable power or heat energy, transforming a compliance cost into a potential revenue stream or operational saving.

This focus on creating value beyond simple compliance is a defining feature of the current market. By turning captured pollutants into a resource, systems like the VUS offer a compelling economic argument for adoption, even ahead of regulatory mandates. As industries from oil and gas to petrochemicals and logistics face increasing pressure to decarbonize and improve operational efficiency, such innovative technologies will command a premium. The evolution of vapor recovery units market from purely environmental control devices into energy-saving assets marks a pivotal shift, promising to unlock new applications and accelerate adoption across a wider range of industries globally.

Global Vapor Recovery Units Market Major Players:

• ALMA CARBOVAC
• AEREON
• BORSIG Membrane Technology GmbH
• Cool Sorption A/S
• FLOGISTIX, LP
• Hy-Bon Engineering Company, Inc.
• John Zink Company, LLC
• Kappa GI
• Kilburn Engineering Ltd
• Symex GmbH & Co. KG
• VOCZero Ltd.
• Zeeco, Inc.
• Other Prominent Players

Key Market Segmentation:

By Technology

• Absorption
• Condensation
• Membrane Separation
• Adsorption
• Others

By Application

• Processing
• Storage
• Transportation
• Railcar Loading
• Others

By End User

• Oil & Gas
• Chemicals & Petrochemicals
• Landfills
• Others

By Region

• North America
• Europe
• Asia Pacific
• Middle East & Africa (MEA)
• South America

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