About $4.3 billion had been spent on onshore North American pipelines by mid- November 2013, according to research and consulting firm Douglas-Westwood.
“The development of unconventional oil and gas extraction technologies has made the pipeline sector in the U.S. extremely dynamic and the timeliness of industry information is therefore critical,” said Neha Rustagi, an analyst with Douglas-Westwood.
She pointed to the Rockies Express pipeline as an example. Hailed as one of the longest pipelines in recent U.S. history, the nearly 1,700-mile line was completed in 2009 to bring Rockies gas east. But when the shale boom hit, the line became uneconomical.
Today, activity in shale plays throughout the nation continues at an incredible pace. But while the industry welcomed the vast amounts of gas unlocked, the shale revolution also posed challenges. Regions such as the Bakken and Northeast became restrained by inadequate takeaway capacity. More pipeline is needed up north, too, said Rustagi.
“Pipeline infrastructure is similarly necessary in Canada to enable the transportation of oil from its vast landlocked reserves to both domestic and foreign markets,” she said. “Output from Alberta’s crude oil reserves, the third largest in the world, has been forecast to increase 26% from 2012 to 2015 and over 5,000 miles of pipeline have been proposed for construction in Canada by 2018.
“The North American oil, gas and natural gas liquids (NGLs) markets will remain dynamic in at least the near-term, making the timeliness of pipeline intelligence critical to strategy development.”
Recommended Reading
TechnipFMC Eyes $30B in Subsea Orders by 2025
2024-02-23 - TechnipFMC is capitalizing on an industry shift in spending to offshore projects from land projects.
Why Endeavor Energy's Founder Sold His Company After Years of Rebuffing Offers
2024-02-13 - Autry Stephens', the 85-year-old wildcatter, decision to sell came after he was diagnosed with cancer, according to three people who discussed his health with him.
Petrie Partners: A Small Wonder
2024-02-01 - Petrie Partners may not be the biggest or flashiest investment bank on the block, but after over two decades, its executives have been around the block more than most.
E&P Earnings Season Proves Up Stronger Efficiencies, Profits
2024-04-04 - The 2024 outlook for E&Ps largely surprises to the upside with conservative budgets and steady volumes.
From Restructuring to Reinvention, Weatherford Upbeat on Upcycle
2024-02-11 - Weatherford CEO Girish Saligram charts course for growth as the company looks to enter the third year of what appears to be a long upcycle.