• 3 minutes 2nd Annual Great Oil Price Prediction Challenge of 2019
  • 6 minutes "Leaked" request by some Democrats that they were asking Nancy to coordinate censure instead of impeachment.
  • 11 minutes Trump's China Strategy: Death By a Thousand Paper Cuts
  • 14 minutes Democrats through impeachment process helped Trump go out of China deal conundrum. Now Trump can safely postpone deal till after November 2020 elections
  • 34 mins Shale Oil Fiasco
  • 6 hours USA v China. Which is 'best'?
  • 26 mins Everything you think you know about economics is WRONG!
  • 6 hours Wallstreet's "acid test" for Democrat Presidential candidate to receive their financial support . . . Support "Carried Interest"
  • 2 hours My interview on PDVSA Petrocaribe and corruption
  • 15 hours Wonders of US Shale: US Shale Benefits: The U.S. leads global petroleum and natural gas production with record growth in 2018
  • 7 hours Quotes from the Widowmaker
  • 1 day True Confessions of a Billionaire
  • 6 hours Global Debt Worries. How Will This End?
  • 13 hours Petroleum Industry Domain Names
Alt Text

OPEC Optimism Lifts Oil Prices

Oil prices inched higher on…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Texas Needs 11,000 More Miles Of Pipelines

Texas will need an additional 10,950 miles of oil and gas pipelines to accommodate rising production over the years to 2050, an IHS Markit study quoted by S&P Global Platts has suggested.

The Lone Star state is home to three of the most prolific oil and gas deposits in the United States, including the Permian, the Eagle Ford, and the Barnett shale. Gas production from these alone will reach its peak somewhere between 2030 and 2040, at a daily rate of almost 35 billion cu ft before it starts to decline. However, there are not enough pipelines to carry the gas that will be produced in Texas.

The situation is the same in oil. The Texas shale patch is already experiencing problems because of pipeline shortages coming against steadily rising production, with the rise particularly marked in the Permian, where the Energy Information Administration expects the average daily to hit 4.177 million bpd next month. According to IHS Markit, this will further expand to 5.5 million bpd by the middle of next decade.

Since most of the gas produced in Texas is associated gas from oil fields, it’s no surprise that, according to the IHS Markit study, the largest portion of the new pipeline capacity that needs to come on stream to carry the rising flows of hydrocarbons in Texas would be for oil pipelines. These will comprise 47 percent of the total. Another 29 percent of the new pipeline networks would carry gas, the market research firm said, and the rest would be for natural gas liquids.

However, that’s not all. This production growth will spur demand for more processing capacity on the Gulf Coast. Existing refineries would need to be expanded and new ones built, and ports will also need to be expanded to handle the higher export-bound amounts of crude oil and gas heading to world markets.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage



Leave a comment
  • Bill Simpson on March 26 2019 said:
    Good news for the steel industry, and the welders.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play