Laying pipe: Increasing demand will necessitate pipeline capacity improvements

Within the United States, the state of Texas is a powerhouse when it comes to oil and gas pipeline construction. The state accounts for nearly half of all oil rigs in the country, a fifth of oil production, a quarter of domestic natural gas production and a sixth of existing pipeline mileage. The importance of oil and natural gas production makes the Oil & Gas Pipeline Construction industry a robust part of the Texas economy. Over the next five years, industry operators can expect a rosier outlook. Growth will primarily be driven by partial recoveries in the natural gas and oil commodity markets. As prices stabilize and rise, refineries and other industry clients will resume new construction projects...read more.

Industry Statistics & Market Size
Revenue
$19bn
Annual Growth 12-17
0.9%
Forecast Growth 17-22
Profit
Employment
42,268
Businesses
616
What Our Customers Say

Industry Threats & Opportunities

  • Falling crude oil and natural gas prices led to slowdowns in energy producers’ capital expenditure budgets
  • As oil and natural gas prices collapsed, demand for pipelines plummeted as well
  • Fossil fuels will likely retain their importance
  • Industry Report - Industry Key Buyers Chapter

    The Oil and Gas Pipeline Construction industry exhibits a low degree of market concentration, with the four largest operators expected to account for less than 20.0% of industry revenue. However, despite the prevalence of many small-scale participants, this industry contains several huge companies that contribute a significant share of industry revenue. Smaller operators are expected to focus on small regional contracts to generate revenue. These smaller contracts are typically not worthwhile for the largest operators to undertake, and as a result, smaller operators experience steady demand for their services.According to the US Census Bureau County Business Patterns, almost half of industry enterprises in Texas (49.7%) employ fewer than 20 people, and 25.2% o...purchase to read more.

    Additional Insights for the Oil & Gas Pipeline Construction in Texas Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Oil & Gas Pipeline Construction in Texas Industry are

  • Ability to compete on tender
  • Must comply with government regulations
  • Access to multiskilled and flexible workforce
  • IBISWorld analysts also discuss how external factors such as US oil and gas production index and World price of crude oil in the Oil & Gas Pipeline Construction in Texas industry impact industry performance..

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    What is the Oil & Gas Pipeline Construction in Texas Industry?

    This industry comprises contractors that are responsible for the construction of gas and oil pipelines, mains, pumping stations, refineries and storage tanks. It also includes construction management companies and special trade contractors that are primarily involved in oil and pipeline construction.

    Industry Products
  • New pipelines greater than 1000 MMcf/d
  • Pipeline additions and alterations
  • New pipelines less than 1000 MMcf/d
  • Pipeline maintenance
  • Industry Activities
  • Gas and oil pipeline construction
  • Gas main construction
  • Oil refinery construction
  • Pipeline repair and reconstruction
  • Pumping station construction
  • Natural gas processing plant construction
  • Similar Industries
  • Transmission Line Construction
  • Heavy Engineering Construction
  • Water & Sewer Line Construction
  • Water & Sewer Line Construction in California
  • Oil & Gas Pipeline Construction in California
  • Excavation Contractors in California
  • Water & Sewer Line Construction in New York
  • Oil & Gas Pipeline Construction in New York
  • Excavation Contractors in New York
  • Water & Sewer Line Construction in Illinois
  • Excavation Contractors in Illinois
  • Water & Sewer Line Construction in Texas
  • Water & Sewer Line Construction in Florida
  • Excavation Contractors in Florida
  • Water & Sewer Line Construction in Massachusetts
  • Excavation Contractors in Massachusetts
  • Oil & Gas Pipeline Construction in Ohio
  • Water & Sewer Line Construction in Ohio
  • Excavation Contractors in Ohio
  • Water & Sewer Line Construction in Pennsylvania
  • Oil & Gas Pipeline Construction in Pennsylvania
  • Excavation Contractors in Pennsylvania
  • Water & Sewer Line Construction in New Jersey
  • Oil & Gas Pipeline Construction in New Jersey
  • Excavation Contractors in New Jersey
  • Excavation Contractors in Georgia
  • Water & Sewer Line Construction in Michigan
  • Oil & Gas Pipeline Construction in Michigan
  • Excavation Contractors in Michigan
  • Excavation Contractors in Wisconsin
  • Excavation Contractors in Washington
  • Excavation Contractors in Virginia
  • Excavation Contractors in Tennessee
  • Water & Sewer Line Construction in Missouri
  • Oil & Gas Pipeline Construction in Missouri
  • Excavation Contractors in Missouri
  • Excavation Contractors in Minnesota
  • Excavation Contractors in Maryland
  • Excavation Contractors in Colorado
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • US oil and gas production index
  • World price of crude oil
  • World price of natural gas
  • Access to Credit in Texas
  • World price of steel

  • Current Performance
  • Energy prices and supply
  • Operational trends
  • Chart: Revenue Growth

  • Industry Outlook
  • Price recovery
  • Profit stabilizes
  • Table: Oil & Gas Pipeline Construction in Texas Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Oil & Gas Pipeline Construction in Texas Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Oil Drilling & Gas Extraction
  • Natural Gas Distribution
  • Petroleum Refining
  • Engineering Services

  • Key Selling Industries
  • Concrete Pipe & Block Manufacturing
  • Construction Machinery Manufacturing
  • Heavy Equipment Rental
  • Metal Pipe & Tube Manufacturing
  • Professional, Scientific and Technical Services
  • Ready-Mix Concrete Manufacturing
  • Sand & Gravel Mining
  • Valve Manufacturing
  • Wholesale Trade

  • Products & Services
  • New pipelines greater than 1000 MMcf/d
  • Pipeline additions and alterations
  • Pipeline maintenance
  • New pipelines less than 1000 MMcf/d
  • Chart: Oil & Gas Pipeline Construction in Texas Industry Products and Services Segmentation

  • Major Markets
  • Private-sector oil interests
  • Private-sector natural gas interests
  • Public-sector clients
  • Chart: Major Market Segmentation for the Oil & Gas Pipeline Construction in Texas Industry

  • Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Rent and utilities
  • Depreciation and other costs
  • Chart: Cost Structure Benchmarking – Sector vs Oil & Gas Pipeline Construction in Texas

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Oil & Gas Pipeline Construction in Texas Industry

  • Fluor Corp.Bechtel CorporationCB&IJacobs Engineering Group Inc.
  • Table: Fluor Corp. - financial performance
  • Table: Bechtel Corporation - financial performance
  • Table: CB&I - financial performance
  • Table: Jacobs Engineering Group Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Oil & Gas Pipeline Construction in Texas Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Oil & Gas Pipeline Construction in Texas Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • World price of crude oil (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Liquefied Natural Gas (Lng)
  • Natural gas that has been cooled for transportation purposes to -260.0 degrees Fahrenheit, at which point it becomes a liquid.
  • Prime Contractor
  • The chief contractor hired for a project or job who has full responsibility for its completion and may employ (and manage) one or more subcontractors to help complete the project.
  • Shale Gas
  • A natural gas produced from shale that has become an increasingly important source of natural gas in the United States over the past decade.
  • Why buy this report?

    The Oil & Gas Pipeline Construction in Texas industry market report contains data and analysis of the most influential current and future trends shaping the industry. IBISWorld’s in-depth industry market research is presented in a logical, user-friendly format, and provides growth and profit forecasts for a five-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Oil & Gas Pipeline Construction in Texas:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Oil & Gas Pipeline Construction in Texas market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Oil & Gas Pipeline Construction in Texas, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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