With the Boom in Domestic Production, U.S. Will Need Sustained High Levels of Oil and Gas Infrastructure Investments For Years, Totaling $890 billion by 2025

摘要

To support the expected growth of natural gas and oil production in the U.S., annual transportation and storage infrastructure investment near term will need to average $81.7 billion per year from 2014 through 2019, according to the recent American Petroleum Institute (API)-sponsored IHS study, Oil & Natural Gas Transportation & Storage Infrastructure: Status, Trends, & Economic Benefits.1 The industry put forth an investment of $89.3 billion in 2013, after expending $56.3 billion in 2010, $60.3 billion in 2011 and $76.6 billion in 2012. The needed investments could moderate to $66.0 billion per year between 2020 and 2025, IHS predicted in its base case. Over IHS’ entire forecast period (2014 – 2025), a total of $890 billion is needed, on average, $73.8 billion a year. Should a higher level of production commence, IHS estimated that upwards of $98.3 billion per year is required for infrastructure between 2014 and 2019 and $91.3 billion per year after that through 2025.