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United States Oil & Gas Infrastructure Market By Upstream Infrastructure (Exploration & Production Facilities, Drilling Rigs, Wellheads), By Midstream Infrastructure (Pipelines, Storage Facilities, Transportation Systems), By Support Infrastructure (Maintenance & Repair Services, Control Systems, Safety & Compliance Equipment), By Region, Competition, Forecast and Opportunities, 2019-2029F

September 2024 | 85 pages | ID: UED6567624A2EN
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United States Oil & Gas Infrastructure Market was valued at USD 73.92 million in 2023 and is anticipated t%li%project robust growth in the forecast period with a CAGR of 6.54% through 2029.

The United States Oil & Gas Infrastructure refers t%li%the comprehensive network of facilities and systems designed t%li%support the exploration, extraction, transportation, refining, and distribution of oil and gas resources. This infrastructure includes pipelines, storage tanks, refineries, and distribution networks that ensure the efficient movement and processing of petroleum products from production sites t%li%end-users. The market for this infrastructure is poised t%li%rise significantly due t%li%several driving factors. Firstly, the ongoing surge in domestic oil and gas production, driven by technological advancements such as hydraulic fracturing and horizontal drilling, has increased the demand for enhanced and expanded infrastructure t%li%accommodate the growing volumes of hydrocarbons. Secondly, the aging infrastructure necessitates substantial investments in modernization and upgrades t%li%meet safety, environmental, and efficiency standards. Additionally, geopolitical and economic factors, including shifts in global energy markets and energy security concerns, are prompting increased investments in domestic infrastructure t%li%reduce reliance on foreign energy sources and ensure reliable supply chains. Furthermore, legislative and regulatory support aimed at boosting energy independence and supporting sustainable energy practices contributes t%li%the market's growth by encouraging investment in both new projects and the retrofitting of existing assets. As a result, the United States Oil & Gas Infrastructure Market is set t%li%experience robust growth, driven by a combination of increasing production needs, infrastructure aging, and policy support aimed at strengthening the energy sector.

Key Market Drivers

Surge in Domestic Oil and Gas Production

The surge in domestic oil and gas production is a primary driver of growth in the United States Oil and Gas Infrastructure Market. The advent of advanced extraction technologies, particularly hydraulic fracturing and horizontal drilling has revolutionized the energy sector by unlocking previously inaccessible reserves. This technological evolution has resulted in a significant increase in the volume of oil and natural gas being extracted within the United States, thereby creating a heightened demand for infrastructure that can support and facilitate this expanded production. New production sites require robust and efficient infrastructure systems, including pipelines, storage facilities, and processing plants, t%li%ensure the effective transportation, storage, and processing of extracted resources. Additionally, the increased production levels necessitate the development of new infrastructure projects and the expansion of existing facilities t%li%handle the greater throughput and t%li%mitigate potential bottlenecks in the supply chain. As domestic production continues t%li%rise, driven by both technological advancements and favorable geological conditions, the need for comprehensive and modernized infrastructure becomes even more critical. This surge in production, therefore, directly propels the growth of the oil and gas infrastructure market, as stakeholders invest in the necessary physical assets t%li%support and sustain high levels of output.

Aging Infrastructure and the Need for Modernization

The aging infrastructure within the United States is a significant driver for the oil and gas infrastructure market. Much of the existing infrastructure, including pipelines, refineries, and storage facilities, was constructed several decades ag%li%and has since undergone considerable wear and tear. This aging infrastructure poses substantial challenges in terms of safety, efficiency, and environmental compliance. Consequently, there is a pressing need for modernization and replacement t%li%meet contemporary standards and regulations. Upgrading infrastructure involves substantial investment in new technologies and materials t%li%enhance operational efficiency, reduce maintenance costs, and improve safety standards. Modernization efforts als%li%address environmental concerns by incorporating advanced systems that minimize leaks and emissions, aligning with stringent regulatory requirements. The need t%li%upgrade aging infrastructure is therefore a key driver for market growth, as it stimulates investment in new projects and the refurbishment of existing assets. By prioritizing modernization, the industry not only enhances the reliability and efficiency of infrastructure but als%li%ensures compliance with evolving environmental and safety standards, thereby driving market expansion.

Geopolitical and Economic Factors

Geopolitical and economic factors play a crucial role in influencing the growth of the United States Oil and Gas Infrastructure Market. Fluctuations in global energy markets, including changes in oil prices and shifts in supply and demand dynamics, impact the strategic priorities of energy infrastructure investments. For instance, periods of high energy prices often lead t%li%increased investments in infrastructure t%li%capitalize on profitable production opportunities, while lower prices may prompt a focus on efficiency and cost management. Additionally, geopolitical tensions and international trade policies can affect the stability and security of energy supplies, prompting a heightened emphasis on strengthening domestic infrastructure t%li%mitigate risks associated with foreign dependencies. Economic factors such as government incentives, subsidies, and tax policies als%li%play a significant role in shaping infrastructure investments. Legislative and regulatory frameworks that support energy independence and infrastructure development create a favorable environment for market growth. As the geopolitical landscape evolves and economic conditions fluctuate, the need for resilient and adaptable infrastructure becomes increasingly apparent, driving continued investment and expansion in the oil and gas infrastructure market.

Key Market Challenges

Environmental and Safety Regulations

The environmental and safety regulations pose a significant challenge for the United States Oil and Gas Infrastructure Market. As the industry expands and modernizes, it faces stringent regulatory requirements aimed at mitigating environmental impacts and ensuring safety standards. Regulatory bodies at both federal and state levels impose comprehensive guidelines t%li%address issues such as emissions control, spill prevention, and waste management. Compliance with these regulations often requires substantial investments in advanced technologies and practices. For instance, infrastructure projects must incorporate systems designed t%li%minimize greenhouse gas emissions and prevent leaks, which can lead t%li%increased costs and longer project timelines. Additionally, regulatory changes and the introduction of new standards can create uncertainties and challenges for stakeholders. Companies must continuously adapt t%li%evolving regulations, which may involve revising operational procedures, conducting extensive environmental impact assessments, and obtaining numerous permits. The complexity and cost of adhering t%li%these regulatory requirements can hinder the pace of infrastructure development and increase the financial burden on industry participants. As the regulatory landscape becomes more stringent, the challenge of balancing operational efficiency with compliance becomes increasingly pronounced, affecting the overall growth and stability of the oil and gas infrastructure market.

Infrastructure Capacity and Technological Constraints

Infrastructure capacity and technological constraints present notable challenges for the United States Oil and Gas Infrastructure Market. The existing infrastructure network, including pipelines, storage facilities, and processing plants, may be insufficient t%li%meet the growing demands of increased production and consumption. This mismatch between capacity and demand can lead t%li%bottlenecks and operational inefficiencies, affecting the overall performance of the infrastructure system. Furthermore, technological constraints can limit the ability t%li%upgrade or expand infrastructure effectively. The integration of new technologies, such as advanced monitoring and automation systems, requires significant investment and expertise. In some cases, outdated infrastructure may not be compatible with modern technologies, necessitating extensive retrofitting or replacement. Additionally, the development of new infrastructure projects is often hampered by logistical challenges, such as securing land, navigating regulatory approvals, and managing construction timelines. These factors can lead t%li%delays and increased costs, impacting the market's ability t%li%respond promptly t%li%changing demands and technological advancements. Addressing these constraints requires a coordinated effort t%li%enhance infrastructure capacity, invest in cutting-edge technologies, and streamline project execution processes t%li%ensure the efficient functioning of the oil and gas infrastructure network.

Key Market Trends

Adoption of Advanced Technologies

The adoption of advanced technologies is a prominent trend in the United States Oil and Gas Infrastructure Market. Industry is increasingly integrating sophisticated technologies t%li%enhance the efficiency, safety, and environmental performance of infrastructure systems. Innovations such as digital monitoring and control systems, automation, and predictive maintenance are becoming integral components of modern infrastructure projects. These technologies enable real-time monitoring of infrastructure health, allowing for early detection of issues and reducing the likelihood of costly failures. For example, advanced sensors and data analytics are used t%li%monitor pipeline conditions and predict potential leaks or corrosion, thereby enhancing the reliability of transportation networks. Additionally, automation technologies streamline operations and reduce the need for manual interventions, improving overall efficiency and safety. The integration of advanced technologies als%li%supports regulatory compliance by facilitating better emissions management and environmental monitoring. As the industry continues t%li%embrace digital transformation, the adoption of these technologies is expected t%li%drive significant improvements in infrastructure performance and sustainability, positioning the market for continued growth and innovation.

Increased Focus on Sustainability

An increased focus on sustainability is shaping the United States Oil and Gas Infrastructure Market. There is a growing emphasis on reducing the environmental impact of oil and gas operations and enhancing the sustainability of infrastructure systems. This trend is driven by regulatory pressures, investor expectations, and public demand for environmentally responsible practices. Companies are investing in technologies and practices that minimize carbon emissions, improve energy efficiency, and reduce waste. For instance, there is a shift towards using cleaner energy sources and incorporating renewable energy technologies within infrastructure projects. Additionally, the industry is adopting practices such as recycling and waste reduction t%li%minimize environmental impact. The development of sustainable infrastructure als%li%includes efforts t%li%rehabilitate and repurpose existing assets t%li%extend their lifecycle and reduce the need for new construction. This focus on sustainability is not only aligned with regulatory requirements but als%li%enhances the industry’s reputation and supports long-term viability. As sustainability becomes a core business imperative, the oil and gas infrastructure market is likely t%li%see continued investments and advancements in environmentally friendly technologies and practices.

Expansion of Infrastructure Networks

The expansion of infrastructure networks is a key trend in the United States Oil and Gas Infrastructure Market. As domestic production of oil and natural gas continues t%li%rise, there is a growing need t%li%expand and enhance infrastructure networks t%li%support increased production and distribution. This trend involves the development of new pipelines, storage facilities, and processing plants t%li%accommodate the growing volumes of hydrocarbons. The expansion efforts are als%li%driven by the need t%li%improve connectivity between production sites and end-users, ensuring efficient transportation and distribution of energy resources. Additionally, the expansion of infrastructure networks includes the development of new infrastructure in previously underserved or emerging regions, which can open up new opportunities for production and economic growth. This trend is further supported by government initiatives and investments aimed at enhancing energy security and infrastructure resilience. As the industry continues t%li%grow and evolve, the expansion of infrastructure networks will play a crucial role in meeting increasing energy demands and supporting the overall development of the oil and gas sector.

Segmental Insights

Upstream Infrastructure Insights

In 2023, the Exploration and Production Facilities segment dominated the United States Oil and Gas Infrastructure Market and is expected t%li%maintain its dominance throughout the forecast period. This segment encompasses the comprehensive infrastructure required for the exploration, extraction, and initial processing of oil and natural gas resources. The significant focus on expanding domestic production capabilities, driven by advancements in extraction technologies and increased drilling activities, has led t%li%a heightened demand for robust exploration and production facilities. These facilities are crucial for accommodating the growing volumes of hydrocarbons being extracted and processed, including the installation of state-of-the-art equipment and systems t%li%enhance operational efficiency and safety. As production levels continue t%li%rise, driven by technological advancements such as hydraulic fracturing and horizontal drilling, the need for extensive and sophisticated exploration and production infrastructure becomes increasingly critical. While drilling rigs and wellheads are essential components of the upstream infrastructure, the comprehensive nature and broad scope of exploration and production facilities make them the focal point of investment and development. This segment's ability t%li%integrate various components of upstream operations, from initial exploration t%li%production, positions it as the key driver of growth in the oil and gas infrastructure market. Consequently, the exploration and production facilities segment is anticipated t%li%sustain its leading position, reflecting ongoing investments and the strategic emphasis on expanding and upgrading infrastructure t%li%support the burgeoning domestic energy production.

Regional Insights

In 2023, the South United States region dominated the United States Oil and Gas Infrastructure Market and is expected t%li%retain its dominance throughout the forecast period. This region's preeminence is largely attributed t%li%its significant concentration of oil and natural gas production activities, particularly in states like Texas and Louisiana, which are pivotal t%li%the nation’s energy landscape. The South United States benefits from extensive reserves of hydrocarbons and a well-established infrastructure network that supports exploration, production, and transportation activities. Additionally, the region's favorable geological conditions and advanced extraction technologies have bolstered its position as a leading hub for oil and gas operations. The South United States als%li%hosts a large number of refineries and processing facilities, further cementing its role as a central player in the oil and gas infrastructure market. As the demand for domestic energy resources continues t%li%grow, ongoing investments in expanding and upgrading infrastructure within this region are anticipated t%li%sustain its dominant position. This includes enhancements t%li%pipelines, storage facilities, and production plants t%li%accommodate increased production and distribution needs. While other regions such as the Midwest, North-East, and West United States als%li%contribute t%li%the market, the South United States' extensive resource base, established infrastructure, and strategic investments ensure its continued leadership in the oil and gas infrastructure sector.

Key Market Players
  • ExxonMobil Corporation
  • Chevron Corporation
  • Kinder Morgan, Inc
  • Enterprise Products Partners L.P
  • Williams Companies, Inc
  • Enbridge Inc
  • ONEOK, Inc
  • Dominion Energy, Inc
  • BP p.l.c
  • Crestwood Equity Partners LP
Report Scope:

In this report, the United States Oil & Gas Infrastructure Market has been segmented int%li%the following categories, in addition t%li%the industry trends which have als%li%been detailed below:
  • United States Oil & Gas Infrastructure Market, By Upstream Infrastructure:
  • Exploration & Production Facilities
  • Drilling Rigs
  • Wellheads
  • United States Oil & Gas Infrastructure Market, By Midstream Infrastructure:
  • Pipelines
  • Storage Facilities
  • Transportation Systems
  • United States Oil & Gas Infrastructure Market, By Support Infrastructure:
  • Maintenance & Repair Services
  • Control Systems
  • Safety & Compliance Equipment
  • United States Oil & Gas Infrastructure Market, By Region:
  • South US
  • Midwest US
  • North-East US
  • West US
Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the United States Oil & Gas Infrastructure Market.

Available Customizations:

United States Oil & Gas Infrastructure Market report with the given market data, TechSci Research offers customizations according t%li%a company's specific needs. The following customization options are available for the report:

Company Information
    • Detailed analysis and profiling of additional market players (up t%li%five).
1. PRODUCT OVERVIEW

1.1. Market Definition
1.2. Scope of the Market
  1.2.1.Markets Covered
  1.2.2.Years Considered for Study
  1.2.3.Key Market Segmentations

2. RESEARCH METHODOLOGY

2.1. Objective of the Study
2.2. Baseline Methodology
2.3. Formulation of the Scope
2.4. Assumptions and Limitations
2.5. Sources of Research
  2.5.1.Secondary Research
  2.5.2.Primary Research
2.6. Approach for the Market Study
  2.6.1.The Bottom-Up Approach
  2.6.2.The Top-Down Approach
2.7. Methodology Followed for Calculation of Market Size & Market Shares
2.8. Forecasting Methodology
  2.8.1.Data Triangulation & Validation

3. EXECUTIVE SUMMARY

4. IMPACT OF COVID-19 ON UNITED STATES OIL & GAS INFRASTRUCTURE MARKET

5. VOICE OF CUSTOMER

6. UNITED STATES OIL & GAS INFRASTRUCTURE MARKET OVERVIEW

7. UNITED STATES OIL & GAS INFRASTRUCTURE MARKET OUTLOOK

7.1. Market Size & Forecast
  7.1.1.By Value
7.2. Market Share & Forecast
  7.2.1.By Upstream Infrastructure (Exploration & Production Facilities, Drilling Rigs, Wellheads)
  7.2.2.By Midstream Infrastructure (Pipelines, Storage Facilities, Transportation Systems)
  7.2.3.By Support Infrastructure (Maintenance & Repair Services, Control Systems, Safety & Compliance Equipment)
  7.2.4.By Region
7.3. By Company (2023)
7.4. Market Map

8. SOUTH UNITED STATES OIL & GAS INFRASTRUCTURE MARKET OUTLOOK

8.1. Market Size & Forecast
  8.1.1.By Value
8.2. Market Share & Forecast
  8.2.1.By Upstream Infrastructure
  8.2.2.By Midstream Infrastructure
  8.2.3.By Support Infrastructure

9. MIDWEST UNITED STATES OIL & GAS INFRASTRUCTURE MARKET OUTLOOK

9.1. Market Size & Forecast
  9.1.1.By Value
9.2. Market Share & Forecast
  9.2.1.By Upstream Infrastructure
  9.2.2.By Midstream Infrastructure
  9.2.3.By Support Infrastructure

10. NORTH-EAST UNITED STATES OIL & GAS INFRASTRUCTURE MARKET OUTLOOK

10.1. Market Size & Forecast
  10.1.1. By Value
10.2. Market Share & Forecast
  10.2.1. By Upstream Infrastructure
  10.2.2. By Midstream Infrastructure
  10.2.3. By Support Infrastructure

11. WEST UNITED STATES OIL & GAS INFRASTRUCTURE MARKET OUTLOOK

11.1. Market Size & Forecast
  11.1.1. By Value
11.2. Market Share & Forecast
  11.2.1. By Upstream Infrastructure
  11.2.2. By Midstream Infrastructure
  11.2.3. By Support Infrastructure

12. MARKET DYNAMICS

12.1. Drivers
12.2. Challenges

13. MARKET TRENDS AND DEVELOPMENTS

14. COMPANY PROFILES

14.1. ExxonMobil Corporation
  14.1.1. Business Overview
  14.1.2. Key Revenue and Financials
  14.1.3. Recent Developments
  14.1.4. Key Personnel/Key Contact Person
  14.1.5. Key Product/Online Training Offered
14.2. Chevron Corporation
  14.2.1. Business Overview
  14.2.2. Key Revenue and Financials
  14.2.3. Recent Developments
  14.2.4. Key Personnel/Key Contact Person
  14.2.5. Key Product/Online Training Offered
14.3. Kinder Morgan, Inc
  14.3.1. Business Overview
  14.3.2. Key Revenue and Financials
  14.3.3. Recent Developments
  14.3.4. Key Personnel/Key Contact Person
  14.3.5. Key Product/Online Training Offered
14.4. Enterprise Products Partners L.P
  14.4.1. Business Overview
  14.4.2. Key Revenue and Financials
  14.4.3. Recent Developments
  14.4.4. Key Personnel/Key Contact Person
  14.4.5. Key Product/Online Training Offered
14.5. Williams Companies, Inc
  14.5.1. Business Overview
  14.5.2. Key Revenue and Financials
  14.5.3. Recent Developments
  14.5.4. Key Personnel/Key Contact Person
  14.5.5. Key Product/Online Training Offered
14.6. Enbridge Inc
  14.6.1. Business Overview
  14.6.2. Key Revenue and Financials
  14.6.3. Recent Developments
  14.6.4. Key Personnel/Key Contact Person
  14.6.5. Key Product/Online Training Offered
14.7. ONEOK, Inc
  14.7.1. Business Overview
  14.7.2. Key Revenue and Financials
  14.7.3. Recent Developments
  14.7.4. Key Personnel/Key Contact Person
  14.7.5. Key Product/Online Training Offered
14.8. Dominion Energy, Inc
  14.8.1. Business Overview
  14.8.2. Key Revenue and Financials
  14.8.3. Recent Developments
  14.8.4. Key Personnel/Key Contact Person
  14.8.5. Key Product/Online Training Offered
14.9. BP p.l.c
  14.9.1. Business Overview
  14.9.2. Key Revenue and Financials
  14.9.3. Recent Developments
  14.9.4. Key Personnel/Key Contact Person
  14.9.5. Key Product/Online Training Offered
14.10. Crestwood Equity Partners LP
  14.10.1. Business Overview
  14.10.2. Key Revenue and Financials
  14.10.3. Recent Developments
  14.10.4. Key Personnel/Key Contact Person
  14.10.5. Key Product/Online Training Offered

15. STRATEGIC RECOMMENDATIONS

16. ABOUT US & DISCLAIMER


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