20 Profitable Oil and Gas Business Ideas

The oil and gas industry is highly lucrative and has many business opportunities. The industry is a high employer of labor and has both large and small companies.

An oil and gas business is capital intensive and requires lots of licenses. Due to the volatile nature of some of the products they have strict safety and handling requirements.

Sub sectors include oil services, consultation, liquefied gas, diesel production and manufacturing. We use the product to power our industries, generate electricity and maintain equipment.

 Investors interested in the oil and gas industry have lots of choices. Listed below are 20 oil and gas business to consider

20 profitable Oil and Gas Business Ideas

1.  Cooking Gas Retailer

Cooking gas is an essential commodity that has home and industrial applications. Cooking gas is used in households to cook meals and run equipment.

 Industrial applications include electricity generation and running equipment. To establish your gas retailer business you need a gas plant or storage facility.

Source your gas from major dealers and sell to individuals and factories. You need cylinders, pressure gauge and weight scales. You might also require drivers and gas trucks.

How to Start a Cooking Gas Retailer Business

2.  Crude Oil Shipping Company

Countries that have a huge reserve of crude oil are your best bet doing this business. To operate you need government approval and licenses.

Crude oil shipping companies transport crude oil from refineries and supply to refineries abroad. The entrepreneur has to deal with fluctuating oil prices and its volatile nature.

Costs include buying the crude, transportation costs and labor. Other considerations are insurance, tax and securing your product.

3.  Haulage Business

You can invest in the haulage sector of oil and gas business. Oil haulage is very lucrative because filling stations, gas deports and kerosene farms need supplies.

Many petrol stations hire contract suppliers to transport their products. An entrepreneur needs to determine the type of haulage he wants to do. Then buy the truck to carry the products.

4.  Petrochemical Refinery Plant

Petrochemical refinery plants handle by-products. There are many petrochemical products such as Ammonia, Ethylene, Toluene and Benzene.

5.  Crude Pipeline Security Business

Some countries that produce crude oil have to transport the crude. They use above and underground pipelines to certain designated destinations.

Many pipelines get vandalized for their crude. Providing security and monitoring for crude oil transporters is highly lucrative.

6.  Welding Service for Oil and Gas

Some welding jobs are outsourced to construction and maintenance companies. Welding pipelines is a specialized skill that needs technical knowledge.

To build a welding service focused in the oil and gas requires training, good equipment and effective customer service.

7.  Open a Training School

There are very few colleges and universities that offer specialized training in the oil and gas sector. Starting an institute focused on the oil and gas industry is a good idea.

Choose a niche, hire trained teachers, lease property and provide a robust curriculum.

8.  Start a Recruitment Agency

You can start a recruitment agency to service the oil and gas industry. The sector sometimes finds it difficult filling certain specialized jobs.

Companies involved in this sector will patronize your services especially if you provide topnotch workers.

9.  Sell Equipment

The oil and gas industry uses lots of machinery to carry out their activities. You can buy or fabricate equipment targeted at a sector. The business is lucrative and requires lots of investment in money, technical knowledge and testing.

10. Supplying Safety Equipment

Every sector of the oil and gas industry needs lots of safety equipment. Safety is a major concern and a priority in the business.

The companies need to buy equipment regularly.  This is where your company comes into the picture. You can buy safety gear from major manufacturers and supply the industry.

11. Sell Insurance

The industry is very hazardous so they need proper insurance cover. You can hookup with an insurance company as a sales representative.

You make money through the payment of commissions. The more insurance premiums you sell the higher your profit.

12. Retail kerosene

Kerosene business is profitable and has a huge market. They use kerosene to cook meals, and light fires.

To start your kerosene business you need a deport, truck and supply chain. Kerosene retailers sell to individual costumers.

How to Start a kerosene Retail Business

13. Oil and Gas Exploration

Oil and Gas exploration is capital intensive and not for the faint heart-ed. You need to get an exploration license or block.

Exploration involves lots of demography data, drilling and experts in exploration. You can also secure contracts from other oil companies to use your drilling equipment

14.  Start a Petrol Station

There are two ways to start a petrol station. The first is securing a franchise deal or starting an independent station.

To start your station you need government licenses and permits. Build your station on at least two plots of land. Decide on the number of dispenser, staff and transportation costs.

How to Open a Petrol Station

15. Make Cooking Gas Cylinders

Cooking gas cylinders are in high demand so manufacturing becomes a viable business. You can invest in a factory or outsource your production.

Alternately become a wholesaler and buy from established brands.  Do market analysis and stock only popular brands favored in your community.

16.  Oil Spillage Cleaning Service

Oil spillage has very deadly environmental consequences to host community. Drilling companies need to clean up oil spillage to safeguard marine life.

 Spillage cleaning companies need technical expertise and appropriate equipment. Spillage cleaning companies make huge profit on contracts.

17. Oil Consultancy Business

You need to know your onions before becoming a consultant. The field is vast so narrowing to a niche sector is important. You must be qualified or have valuable knowledge of the industry to become a consultant.

18. Oil and Gas Program

You can start a program targeted at the oil and gas industry. The program could air on television or radio. You make money from advertisement on your program and syndication.

You program content could include interviews of industrial players and personality. Create documentaries and do news programs.

19. Build a Website

The website should focus on the oil and gas industry. Do reviews, interviews and write original content. Monetize your traffic through advertisements, referrals and affiliate programs.

20. Produce Lubricants

You can use petroleum by-products to manufacture lubricants. Lubricants are in high demand and have many applications.

Make sure you product passes quality tests and controls. Develop an effective marketing plan and brand name.

Find the oil and gas sector that appeal to your business interest. Learn the trade, acquire technical knowledge and seek funds. Incorporate your company, write a business plan.