Whether you search for construction jobs in the oil and gas energy sector or a construction company working in that sector, it is smart to be aware of the relevant industry trends. Companies can use this information to make projections for the future, decide how many people to hire, and determine salaries. Those searching for a career can use the information to get a feel for the job market.
An Overview of 2016 to 2021
The demand in the oil and gas energy pipeline in the last five or so years was moderate but erratic. The erratic nature of the demand comes from the volatile investments in energy infrastructure.
At the same time, the industry faced increasing demand due to advances like horizontal drilling and hydraulic fracturing.
But before that, prices for oil and gas had dropped, reducing the investment plans.
This combination means that the demand for energy construction projects dropped with the lack of investment plans. From there, the demand rose back up.
Construction Projects Don’t Overly Depend on Oil and Gas Prices
When you look for or to fill construction jobs, it is important to remember that oil and gas prices can be incredibly volatile. But the construction industry isn’t as affected by these price swings. Most of the price swings are short-term movements. Although, the construction projects are long-term contracts.
Predictions for the Future Include Opportunities for Construction Jobs
Industry experts have also made predictions for the future of these energy jobs. They expect plenty of opportunities for pipeline projects.
This is an effect of production in North America increasing. The increase makes pipeline projects necessary, as the existing pipelines weren’t created to handle the higher flow rate.
Regional Variations in the Types of Pipeline Projects
Of the various projects, most of them involve gas pipelines. This is a response to the emerging demand in Southeast Asian countries, including India and China. In these countries, there isn’t enough gas infrastructure yet.
There is also a demand for gas in the United States, Australia, and Canada. This is because these countries want to increase net energy consumption made up of gas.
But There Are Challenges to Landing Projects
While there will likely be many opportunities for energy projects, especially building pipelines, this is not automatically good for all construction companies. That is because it has become much harder to secure projects in the U.S. and Canada.
This comes from the increase in regulations as well as environmental concerns.
This difficulty means that the available projects focus on expanding current pipelines instead of creating new ones.
The oil and gas construction sectors have seen fluctuations in recent years, with a moderate demand overall. Experts predict an increase in pipeline construction projects for those who can secure permits. This can provide opportunities for construction companies and employees alike.
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