U.S. Oil & Gas Infrastructure Market Size

U.S. Oil & Gas Infrastructure Market Size

U.S. Oil & Gas Infrastructure Market was valued at USD 73.8 million in 2023 and is anticipated to grow at a CAGR of 6.5% from 2024 to 2032. There has been a significant growth in shale oil and gas production, which provided a favorable business scenario across the U.S.

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Shale plays including the Permian Basin in Texas and the Bakken Formation in North Dakota have experienced considerable expansion increasing the requirement for construction of pipelines, storage facilities, and processing plants to support extraction and transportation. The country has an extensive network of oil and gas pipelines, and there has been a continued focus on expanding and upgrading this infrastructure. New pipeline projects have been undertaken to connect production areas to refining centers, export terminals, and domestic markets. Moreover, in some cases, older pipelines have been replaced or retrofitted to enhance safety, capacity, and efficiency, which is set to further encourage the U.S. oil & gas infrastructure market growth.
 

Oil and gas infrastructure refers to the physical assets and facilities required for the exploration, production, refining, storage, transportation, and distribution of oil and natural gas. The export of liquefied natural gas (LNG) has seen substantial growth in recent years. As a result, there has been an increased investment in LNG export terminals and associated infrastructure along the Gulf Coast. These terminals receive natural gas from pipelines, convert it into LNG, and then transport it via specialized LNG carriers to international markets. With the growing emphasis on renewable energy sources, the oil and gas industry has also started to integrate renewable energy technologies into its infrastructure. This includes incorporating solar and wind power for electricity generation at production sites, as well as exploring opportunities for carbon capture, utilization, and storage (CCUS) technologies to reduce emissions. Most of the U.S. oil and gas infrastructure is aging, requiring regular maintenance, repairs, and upgrades. This presents an ongoing challenge for the industry, as ensuring the integrity and safety of existing infrastructure remains a top priority. Investments are being made to address pipeline integrity, corrosion prevention, and leak detection systems.