Oil and Gas Pipeline and Related Structures Construction Market Report 2025

The oil and gas pipeline and related structures construction market size has grown steadily in recent years. It will grow from $261.66 billion in 2024 to $270.43 billion in 2025 at a compound annual growth rate (CAGR) of 3.4%. The growth in the historic period can be attributed to growing energy demand, infrastructure development projects, expanding oil and gas exploration, economic growth and industrialization, government initiatives and policies.

The oil and gas pipeline and related structures construction market size is expected to see steady growth in the next few years. It will grow to $313.75 billion in 2029 at a compound annual growth rate (CAGR) of 3.8%. The growth in the forecast period can be attributed to continued energy demand growth, renewable energy integration, modernization and replacement projects, geopolitical factors, focus on diversification of energy sources. Major trends in the forecast period include geopolitical stability and risks, resilient supply chain management, emphasis on safety in construction practices, investment in LNG infrastructure, digital transformation in project management and execution.

The anticipated rise in the demand for natural gas is expected to drive the growth of the oil and gas pipeline and related structures construction market. Natural gas, primarily composed of methane along with trace amounts of other gases, serves as an energy source. The increased demand for natural gas leads to a heightened need for gas transmission pipelines, crucial for the safe transportation and delivery of natural gas. In February 2023, the Energy Information Administration (EIA) reported that US natural gas consumption reached 88.5 Bcf/d (billion cubic feet per day) in 2022, marking a 5.4% increase compared to 84 Bcf/d in 2021. Additionally, total natural gas imports reached 8.3 Bcf/d in 2022, up from 7.7 Bcf/d in 2021. Thus, the escalating demand for natural gas is a key driver propelling the growth of the oil and gas pipeline and related structures construction market.

The growing investment in infrastructure is anticipated to drive the expansion of the oil and gas pipeline and related structures construction market in the coming years. Infrastructure encompasses the essential facilities, systems, and structures necessary for the effective functioning of a region, country, or organization, including areas such as transportation, communication, water and sewage, energy, and public institutions. The construction of oil and gas pipelines and related structures plays a crucial role in enhancing infrastructure by enabling energy transportation and distribution. For example, in February 2024, the Infrastructure and Projects Authority, a UK-based government agency, reported that the planned investment of £164 billion ($214.18 billion) in major infrastructure and construction projects for 2024/25 exceeds that of 2023/24. Over the next decade, total projected investments are expected to reach between £700 billion ($914.16 billion) and £775 billion ($1,012.11 billion). Thus, the increasing investment in infrastructure is propelling the growth of the oil and gas pipeline and related structures construction market.

Technological innovation and advancement emerge as significant trends gaining traction in the oil and gas pipeline and related structures construction market. Companies in this sector are adopting new technologies to maintain their competitive positions. For instance, in January 2022, PGNiG, a Poland-based oil and gas company, implemented a technologically innovative gas pipeline on the Norwegian Continental Shelf using electrically heat-traced flowline technology (EHTF). This groundbreaking installation, known for its electrically heat-traced flowline technology, connects remote fields to existing production infrastructure at a lower cost and reduces the overall carbon footprint associated with exploitation.

Major companies operating in the oil and gas pipeline and related structures construction market are focusing on innovative solutions, such as electro-hydraulic actuators, to revolutionize pipeline operations. An Electro-Hydraulic Actuator converts electrical energy into mechanical motion using hydraulic pressure. For instance, in August 2023, Automation Technology, Inc., a US-based provider of valve automation solutions, introduced a Zero Emission Electro-Hydraulic actuator solution. This aims to eliminate the carbon footprint linked with pipeline operations, offering a comprehensive solution to reduce emissions without relying on pipeline gas as the primary power source. This innovative solution contributes to zero methane and VOC emissions for emergency shutdown valves.

In March 2023, STRACON Group, a US-based company, acquired AMECO's South America business from Fluor Corporation for an undisclosed amount. This acquisition enables STRACON to enhance its portfolio by leveraging Fluor's expertise in constructing structures related to oil and gas pipelines. Fluor Corporation, based in Ireland, specializes in services related to oil refineries and pipelines.

Major companies operating in the oil and gas pipeline and related structures construction market include Larsen & Toubro Limited, Sunland Construction Inc., Barnard Construction Inc., Bechtel Corporation, Ledcor Group, Pumpco Inc., Shengli Oil & Gas Pipe Holdings Limited, Snelson Companies Inc., Tenaris S.A., Bonatti S.p.A., MasTec Canada Inc., Fluor Corporation, McDermott International Ltd., Kinder Morgan Inc., Pembina Pipeline Corporation, Joint Stock Company Transneft, Primoris Services Corporation, Spiecapag UK Ltd., TC Energy Corporation, TechnipFMC plc, Ray McDermott Engineering Pvt. Ltd., Saipem S.p.A., Michels Corporation, Quanta Services Inc., Strike LLC, Welded Construction L.P., Henkels & McCoy Inc., Mears Group Inc., Precision Pipeline LLC, Price Gregory International Inc., U.S. Pipeline Inc., Arnett & Burgess Pipeliners Ltd., Blackeagle Energy Services, Cenergy LLC, Cross Country Pipeline Supply Co. Inc., Global Pipeline Construction Ltd., Miller Pipeline LLC, NPL Construction Co., PCL Construction Enterprises Inc.

North America was the largest region in the oil and gas pipeline and related structures construction market in 2024. The regions covered in the oil and gas pipeline and related structures construction market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the oil and gas pipeline and related structures construction market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The construction of oil and gas pipelines and related structures involves the establishment of businesses dedicated to building pipelines, mains, refineries, and storage facilities within the oil and gas industry. This encompasses activities such as new development, renovation, repair, and rehabilitation of oil and gas pipelines.

The primary types of construction within this domain are crude oil pipelines and natural gas pipelines. Crude oil pipelines specifically pertain to production pipelines carrying crude oil with either very high pour points (where the liquid loses its ability to flow) or high wax levels. The various sectors involved include upstream, midstream, and downstream applications, and these constructions find use in both onshore and offshore settings.

The oil and gas pipeline and related structures construction market research report is one of a series of new reports that provides oil and gas pipeline and related structures construction market statistics, including oil and gas pipeline and related structures construction industry global market size, regional shares, competitors with an oil and gas pipeline and related structures construction market share, detailed oil and gas pipeline and related structures construction market segments, market trends and opportunities, and any further data you may need to thrive in the oil and gas pipeline and related structures construction industry. This oil and gas pipeline and related structures construction market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The oil and gas pipeline and related structures construction market includes revenues earned by constructing additional oil and gas pipelines and alterations, and new pipelines. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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