Metal Bulletin Global Transmission Linepipe Market | Page 4

Strategic prospects for the transmission linepipe market, 2013 – 2033 Strategic prospects for the transmission linepipe market, 2013 – 2033 3. The evolution and structure of the global large diameter linepipe market 3. The evolution and structure of the global large diameter linepipe market The world’s transmission pipeline network for crude oil, natural gas and other products has grown significantly in the last 20 years, as shown in Chart 18: also the ability of the steel sector to supply linepipe steels that have been able to meet more demanding requirements, and also the ability of the energy and pipe laying sectors to be able to install these pipelines often in environments that would not have been possible 20 years ago. Length of tranmission pipeline network, km Figure 29: Global pipeline length by fluid type, 1993 and 2013 The following charts summarises the world’s transmission pipeline network as a result of MBR’s recent analysis. In total MBR has identified almost 2.2 million kilometres of transmission linepipe worldwide, half of which is in two countries, USA and Russia. A further 8 countries (Canada, China, Ukraine, Argentina, UK, Iran, Mexico and India) take the cumulative total to 70% of the world network by length. A further 9 countries (Australia, Germany, Algeria, Brazil, Kazakhstan, France, Italy and Indonesia) take the total to 80% of the world network by length. 2,500,000 2,000,000 Other 1,500,000 Table 20: Summary of world transmission pipeline network by country and fluid type (2013) Crude oil 1,000,000 Totals Offshore Gas, km Onshore Gas, km OffshoreOil, km Onshore Oil, km Other, km Cumulative length, % USA 840,026 25,868 491,499 4,657 88,487 229,515 38% Russia 259,890 1,639 162,233 808 80,012 15,198 50% Canada 108,675 12,946 58,977 33,040 3,712 55% China 86,912 1,455 47,047 22,841 15,338 59% Ukraine 45,597 19,462 17,258 4,514 4,363 61% Argentina 39,850 299 29,631 6,248 3,672 63% UK 39,523 25,743 2,860 4,730 5,664 65% Iran 37,945 4,575 16,219 8,625 8,526 67% Mexico 36,918 904 17,170 4,212 4,563 10,069 69% India 35,678 951 12,630 715 8,228 13,154 70% Australia 34,702 7,809 22,225 3,609 1,059 72% Germany 34,290 5,127 21,858 2,826 4,479 73% Algeria 29,642 1,149 15,266 563 6,473 6,191 75% Brazil 27,468 866 16,446 3,478 1,353 5,325 76% Kazakhstan 26,963 622 11,810 679 10,634 3,218 77% France 23,345 306 15,016 2,939 5,084 78% Italy 23,190 3,640 16,583 1,393 1,574 79% Indonesia 21,574 6,904 4,798 5,437 2,330 2,105 80% 430,609 60,583 204,876 20,214 91,103 53,833 20% 2,182,797 180,847 1,184,403 41,520 383,948 392,079 100% 2013 estimated km Natural gas 500,000 1993 2013 Source: CIA Factbook, MBR estimates and analysis The length of all transmission pipelines has increased by 67% over this period (a CAGR of 2.5%).Natural gas pipelines have increased 80% (a CAGR of 3.0%); crude oil pipelines 63% (a CAGR of 2.5%) and other pipelines by 35% (a CAGR of 1.5%). The next chart shows the same data segmented by onshore and offshore pipelines: Figure 30: Transmission pipelines 1993 and 2013, onshore and offshore Length of transmission pipeline network, km 2,500,000 2,000,000 1,500,000 Offshore Rest of world Onshore 1,000,000 Total transmission pipeline length 500,000 526 In constructing this chart, MBR has had to allocate transmission pipeline kilometres by country in order to make the analysis meaningful. Many pipelines (onshore and offshore) cross international boundaries. The allocations have been done using best available information and we cannot be responsible for errors and omissions. 1993 231 2013 Source: CIA Factbook, MBR estimates and analysis The data shows that offshore pipelines, although still a relatively small component of the total (11.6% of total length in 2013 vs 8.0% in 1993), have grown significantly in the last 20 years.MBR estimates that offshore transmission pipeline length has increased from approximately 105,000 km in 1993 to over 227,000 km in 2013. A large proportion of the offshore component (MBR estimates 80%) is for natural gas transmission.This increase has arisen partly through the discovery of oil and gas in deeper waters, and 4 • Metal Bulletin Sample Pages • metalbulletinresearch.com See www.metalbulletinresearch.com for more information 83 It can be seen that the USA accounts for 38% of all transmission pipelines worldwide. This is far greater than any other country (and almost twice the pipeline length of all co V