The energy sector in the U.S. is booming. The nation is now the global leader in natural gas production at 65 billion cubic feel per day. Over the past five years the country has added nearly 1.2 million barrels per day of crude oil production capacity. And 500,000 barrels of oil equivalent per day of natural gas liquids (NGLs) has been added since 2008.
All of this activity requires major investments in pipelines, rail, ships, storage facilities, refineries and facilities. In fac,t between 2014 and 2020, an average of more than $80 billion will be invested annually in petroleum infrastructure, according to IHS. After 2020, that investment will moderate but the research firm expects direct capital investment will still be nearly $60 billion by 2025.
IHS forecasts that the infrastructure investment will contribute $94 billion to U.S. GDP each year from 2014 to 2025.
It will also result in support for almost 900,000 jobs, labor income of $59 billion and government revenues of more than $21 billion.
For more, read “Oil and Natural Gas Infrastructure Investments Will Be Boon to US GDP, Jobs” in sister publication IndustryWeek.