US$ 641 billion in energy infrastructure needed

The International Natural Gas Association of America (INGAA) Foundation has forecasted that approximately US$ 641 billion will be needed on US and Canadian midstream crude oil, natural gas and natural gas liquids infrastructure from 2014 - 2035.

The report, 'North America midstream infrastructure through 2035: Capitalising our energy abundance", was prepared by ICF International. Kevin Petak, an economist with ICF who authored the study, said “We’re in a heavy growth period right now … The next six years appears to be a pretty heavy period for expenditure and investment.”

The study predicts that almost half of the projected spending will be needed to accommodate new natural gas supplies and connect new shale plays with existing infrastructure and new facilities. The nation will need 35 000 miles of new transmission pipelines and 303 000 miles of gas gathering lines.

According to the report, natural gas midstream investments will total US$ 313.1 billion over the 21 year time period. Another US$ 56 billion will be required for NGL pipeline, pumping, fractionation and export facilities. US$ 271.8 billion will be needed for crude oil gathering lines, lease equipment, mainline pipeline and pumping, storage laterals and storage tanks.

According to the report, the US$ 641 billion of total midstream investment will generate 432 000 jobs, US$ 300 billion in tax revenue and add US$ 885 billion to US and Canadian economies.

Edited from various sources by Hannah Priestley-Eaton

Read the article online at: https://www.worldpipelines.com/business-news/19032014/us_641_billion_in_energy_infrastructure_needed/