-- Exploration and production of unconventional oil and gas sources boosts pipeline development
MOUNTAIN VIEW, California, March 20, 2013 /PRNewswire/ -- Pipelines are fast becoming the preferred mode for oil and natural gas transportation, as pipeline companies overcome the initial resistance from environmental groups. This improved business environment, along with manufacturers' ability to enhance monitoring systems and alleviate safety concerns, opens up bigger opportunities for onshore oil and gas pipelines in North America.
New analysis from Frost & Sullivan's (http://www.energy.frost.com) Analysis of the North American Onshore Oil and Gas Pipelines Market research finds the market will expand at an approximately 1.0 percent compound annual growth rate (CAGR) between 2011 and 2017. The analysis also finds that in 2009, before the natural gas impetus we see today, the interstate and intrastate transmission pipeline mileage for natural gas totaled more than 250,000 miles, crude oil transmission totaled 65,000 miles, and petroleum products totaled more than 100,000 miles in pipeline mileage.
For more information on this research, please email Britni Myers, Corporate Communications, at email@example.com, with your full name, company name, job title, telephone number, company email address, company website, city, state and country.
The exploration of unconventional resources increased energy production and created a need to connect new crude and natural gas sources to their demand centers. This accelerates pipeline network expansion.
"The cost efficiency of transporting hydrocarbons through pipelines rather than by road, rail or sea will attract investments from operators," said Frost & Sullivan Industry Analyst Rajalingam Chinnasamy. "North America has some of the oldest pipeline infrastructure globally, and long-term replacement opportunities will add to market revenues."
While market opportunities abound, the increasing costs of labor, along with low gas prices and excess pipeline capacities, dampen market growth. Further, recent pipeline leaks raised concerns over the environmental impact of this transportation method. Stricter environmental regulations will only increase construction costs and hinder revenue growth. Therefore, companies must manage their in-house knowledge base better to prevent leaks and widen the pipeline infrastructure in North America.
"Currently, pipeline companies find it difficult to obtain environmental clearance for new projects that pass through sensitive ecological habitats," concluded Chinnasamy. "Implementing predictive maintenance practices will enhance their credibility among environmental groups and the public."
Analysis of the North American Onshore Oil and Gas Pipelines Market is part of the Energy and Environment Growth Partnership Services program, which also includes research in the following markets: North American Prime Movers Market in the Oil and Gas Industry, Strategic Implications of Shale Gas Development in Argentina, Annual Global Power & Energy Outlook 2012, and The East African Oil and Gas Market. All research services included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.
About Frost & Sullivan
Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.
Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.
- The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
- The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.
For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?
Analysis of the North American Onshore Oil and Gas Pipelines Market
SOURCE Frost & Sullivan