Oil and Gas EPC Market Size & Analysis for North America, Europe, APAC, South America, Middle East and Africa - US, UK, France, Germany, China – 2025-2029

Oil and Gas EPC Market Size 2025-2029

The oil and gas engineering, procurement, and construction (EPC) market size is forecast to increase by USD 20-40 billion, at a CAGR of 5%-8% between 2024 and 2029. The oil and gas EPC industry is experiencing substantial growth, driven by rising demand for energy, especially in emerging economies, and the continuous need for infrastructure development in the oil and gas sector. This market expansion is primarily fueled by increased investments in exploration and production, particularly in offshore and deepwater oil and gas EPC projects. Leading oil and gas EPC companies are leveraging cutting-edge oil and gas EPC technology to optimize project execution, from oil and gas EPC engineering to construction and procurement. The market is also seeing a shift in oil and gas EPC contracts, with an increasing focus on efficiency and cost management to address the complex nature of large-scale developments. 

Oil and gas EPC innovations in digitalization, automation, and sustainable practices are enhancing project delivery, reducing costs, and improving operational efficiency. Oil and gas EPC procurement strategies are evolving, with greater emphasis on timely sourcing of materials and services, while oil and gas EPC construction processes are becoming more streamlined and cost-effective. As the oil and gas EPC upstream segment continues to expand, driven by technological advancements and rising energy demand, challenges such as fluctuating oil prices and environmental regulations remain. Nonetheless, the market is poised for continued growth, fueled by ongoing investments in technology and the diversification of portfolios to include renewable energy projects.

To access the full market forecast and comprehensive analysis, Buy Now

How is this market segmented?

The market research report provides comprehensive data, with forecasts and estimates in USD billion for the period 2025-2029, as well as historical data from 2019-2024 for the following segments.

Project Type

• Onshore projects
• Offshore projects

Service Type

• Engineering
• Procurement
• Construction

Geography

• North America
  • Canada
  • US
• Europe
  • Germany
  • UK
  • France
  • Italy
• Asia
  • China
  • India
  • Japan
  • South Korea
• Rest of World (ROW)

Project Type Insights

Offshore oil and gas exploration projects are expected to grow rapidly, driven by increased demand for oil and gas in deepwater reserves. The complexity of offshore drilling and production requires specialized EPC services, which often lead to higher project costs. However, advancements in offshore technologies are expected to streamline operations and improve cost-effectiveness, contributing to market growth.

Regional Analysis

The North American market holds a significant share, driven by major oil and gas reserves in the region, particularly in the US and Canada. The increasing focus on shale gas production and investments in infrastructure projects such as pipelines and processing plants further supports growth in the region. Additionally, North America has witnessed significant advancements in fracking technologies and oil sands production, contributing to the overall EPC market's expansion.

Market Dynamics

Our researchers analyzed the data with 2024 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

What are the key market drivers?

The rise in global energy demand, particularly in emerging economies, is expected to drive substantial growth in the oil and gas EPC market. As energy companies focus on increasing production capabilities and expanding infrastructure, EPC contractors play a critical role in developing large-scale projects such as pipelines, refineries, and offshore oil platforms. Furthermore, the continued investment in renewable energy infrastructure is pushing EPC service providers to diversify and offer integrated solutions that combine traditional oil and gas projects with renewable energy initiatives.

What are the market trends shaping the Oil and Gas EPC Market?

As the oil and gas industry faces increasing cost pressures, there is a strong trend towards technological advancements that improve efficiency and reduce costs. Automation, artificial intelligence, and digital tools are being increasingly incorporated into EPC processes to optimize project execution, reduce downtime, and improve safety. These technologies are helping EPC contractors manage complex projects with greater precision, contributing to the overall market growth.

What challenges does the Oil and Gas EPC Market face during the growth?

The volatile nature of global oil prices has a significant impact on the demand for EPC services. Periods of low prices can lead to a reduction in exploration and development projects, while high prices can stimulate growth in infrastructure and exploration investments. Additionally, stringent environmental regulations and concerns about sustainability in oil and gas operations are putting pressure on EPC contractors to adopt more eco-friendly and sustainable practices, which can increase project costs and complexity.

Key Companies & Market Insights

Companies are implementing various strategies, such as strategic alliances, market forecast, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

The market report includes detailed analyses of the competitive landscape of the market and information about key companies, including:

• TechnipFMC
• Fluor Corporation
• Saipem S.p.A.
• Worley Limited
• Bechtel Corporation
• KBR Inc.
• Hyundai Engineering & Construction Co., Ltd.
• JGC Corporation
• Samsung Engineering Co., Ltd.

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players.

Market Scope

For further information, Get Free Sample

How the Benefits of a Technavio Market Research Report Can Empower Your Business

Technavio’s reports provide a range of market insights, including:

• A detailed analysis of the market, featuring market size, growth rate, segmentation, and regional performance
• In-depth analysis of the drivers, challenges, and other dynamics that will impact the growth of the market
• Predictions about upcoming trends and changes in consumer behavior
• Detailed information on key market players, including market positioning, product offerings, and more

Table of Contents

1. Executive Summary
2. Scope of the Report
3. Market Landscape
3.1 Market Ecosystem
3.2 Market Characteristics
3.3 Market Segmentation Analysis
4. Market Sizing
4.1 Market Definition
4.2 Market Sizing 2023
4.3 Market Size and Forecast 2024-2028
4.4 Historic Market Size (2018-2022)
5. Impact of Technology
6. Five Forces Analysis
6.1 Bargaining power of buyers
6.2 Bargaining power of suppliers
6.3 Threat of new entrants
6.4 Threat of substitutes
7. Rivalry among competitors
8. Market Segmentation by Project Type
9. Market Segmentation by Service Type
10. Customer Landscape
11. Drivers and Challenges
12. Market Trends
13. Competitive Landscape
14. Appendix
14.1 Research Methodology
14.2 List of Abbreviations