Archives

Home   >   Archives   

North America oil and gas pipeline length to be second in the world by 2024

Rig Lynx
  • By Rig Lynx
  • Jan 12, 2021
  • Category : Archives
  • Views : 1053

 

North America is expected to have the maximum share of the global oil and gas trunk/transmission pipeline length by 2024, representing around 43%. Running for a length of 899 399 km, the region continues to lead global pipeline additions by 2024 with 25 335 km, lagging only behind Asia, says GlobalData, a data and analytics company.

GlobalData’s report, ‘Global Oil and Gas Pipelines Industry Outlook to 2024 – Capacity and Capital Expenditure Outlook with Details of All Operating and Planned Pipelines’, reveals that the total length of the global trunk/transmission pipeline network is 2 083 369 km (with start years up to 2024, as of November 2020).

Of the total global pipeline length, among the regions studied, North America is on top with 899 399 km, followed by the Former Soviet Union (FSU) and Asia with 419 021 km, and 225 382 km, respectively.

Adithya Rekha, Oil and Gas Analyst at GlobalData, comments: “Despite the North American transmission pipeline sector having faced several headwinds last year, gradual crude oil price recovery and improvement in the region’s economic outlook means the sector is expected to make a fortunate rebound. This will help retain the region’s global leadership in terms of pipeline length and register an impressive growth in the pipeline network by 2024. It will also sit it in second place worldwide, losing out only to Asia.”

In North America, there are currently 1243 active and suspended pipelines operating with a total length of 874 064 km. The region is expected to witness a total length additions of 25 335 km, representing 22% of the total global length additions.

Expected to start operations in Mexico by 2021, the longest of the upcoming projects is San Fernando–Cactus, with a length of 1609 km. However, this pales in comparison to the onshore natural gas pipeline NGTL System in Canada, the longest active pipeline in North America, which has a length of 24 575 km. Overall crude and natural gas pipelines lead growth in the region.

GlobalData also notes that the FSU is expected to represent 20.1% of the global transmission pipeline length by 2024. The total length of the transmission pipeline network in the FSU is 419 021 km, of which active and suspended pipelines constitute 405 910 km. The region is also expected to witness planned and announced pipeline length additions of 13 111 km by 2024.

The region’s largest active pipeline system – Russian Gas System in Russia – runs for a length of 172 100 km and has pipelines with a diameter ranging from 12 – 56 in.

Rekha concludes: “After North America and the FSU, Asia occupies the third place with a 10.8% share in the global transmission pipeline length. Asia’s total length of crude oil and natural gas pipeline network is 225 382 km. Sui Northern Gas Transmission natural gas pipeline in Pakistan is the longest pipeline in the region with a length of 7915 km."

Source: GlobalData

Join our mailing list here


We are #1 on Google and Bing for the "Largest Mobile Energy Network"

Come join our community!

Download the Rig Lynx app here

Comments (0)

Leave Comment


Check out our other stories

Rig Lynx
Mar 09, 2023

  Valaris Limited announced new contracts awarded subsequent to issuing the Company’s most recent fleet status report on February 21, 2023.   Three-year contract with Petrobras for drillship VALARIS DS-8. The rig will be reactivated for this contract. The total contract value is approximately $500 million, including a $30 million mobilization fee. 100-day contract with a TotalEnergies affiliate for drillship VALARIS DS-12. The contract is expected to commence in second quarter 2023. 70-day contract with Beach Energy offshore New Zealand for heavy duty modern jackup VALARIS 107. The contract is expected to commence in third quarter 2023. The total contract value is approximately $26 million. President and Chief Executive Officer Anton Dibowitz said, “We are particularly pleased to have secured the award for preservation stacked drillship VALARIS DS-8, for a contract that is expected to generate a meaningful return over the firm contract term, and we remain focused on exercising our operational leverage in a disciplined manner. This most recent award represents the sixth contract awarded to one of our high-quality stacked floaters since mid-2021, and speaks volumes about our demonstrated track record of project execution when reactivating rigs.”   Dibowitz added, “Following the reactivation of VALARIS DS-17 and DS-8, we will have ten floaters working across the golden triangle, including four drillships in Brazil, a market where we expect to see continued growth over the next several years.”   Updated Guidance   As a result of the contract awarded to VALARIS DS-8, which will require the rig to be reactivated from preservation stack, we are updating our first quarter 2023 and full-year 2023 guidance provided on our fourth quarter 2022 conference call on February 21, 2023.   First Quarter 2023   Contract drilling expense is expected to increase by approximately $5 million to $385 million to $395 million. Adjusted EBITDA is expected to decrease by approximately $5 million to negative $5 million to breakeven. Adjusted EBITDAR, which adds back one-time reactivation expense, is expected to be $25 million to $30 million, unchanged from the guidance provided on our fourth quarter 2022 conference call. Full-Year 2023   Revenues are anticipated to be $1.8 billion to $1.9 billion, unchanged from the guidance provided on our fourth quarter 2022 conference call. Contract drilling expense is expected to increase by approximately $60 million to $1.49 billion to $1.59 billion. Adjusted EBITDA is expected to decrease by approximately $60 million to $180 million to $220 million. Adjusted EBITDAR, which adds back one-time reactivation expense, is expected to be $280 million to $320 million, unchanged from the guidance provided on our fourth quarter 2022 conference call. Capital expenditures are expected to increase by $60 million to $320 million to $360 million. Source: Valaris Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here  

Rig Lynx
Mar 09, 2023

  Seadrill Limited announced that the West Neptune has executed approximately six months of term extensions with LLOG Exploration Offshore, L.L.C in the US Gulf of Mexico.   The extensions will commence in direct continuation of the existing term, and will keep the rig busy until Q3 2024, furthering Seadrill and LLOG’s long-term association. Total contract value for the extension is approximately $79 million. Source: Seadrill   Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here  

Rig Lynx
Mar 09, 2023

  Semisub rig owner Dolphin Drilling has inked a new contract with Peak Petroleum in Nigeria for its 1974-built Blackford Dolphin.   The firm contract, which follows the letter of award in January, gives the Euronext Growth-listed owner of three rigs the potential to extend the unit’s backlog by a minimum of 120 days and up to 485 days. The deal adds to and will be a direct continuation of the previously announced 12-month contract with General Hydrocarbon Limited (GHL).   Øystein Stray Spetalen-backed company said the effective dayrate associated with the minimum firm period of the contract is $325,000, including the mobilisation fee.   “The final award of the contract for Blackford Dolphin shows the opportunities in Nigeria at a strong dayrate, in addition to building on the backlog for the rig. It also underlines the attractiveness of our assets, and we look forward to returning to revenue-generating operations in 2023,” noted Bjørnar Iversen, CEO of Dolphin Drilling.   Source: Dolphin   Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here