Underground Construction - June 2017 - 25

flurry of pipeline projects in the spring could
bolster HDD work in the transmission markets
for 2018 and beyond. The solid backing for
energy projects by the Trump administration
plus efforts to legislate pipeline projects more
expeditiously by Congress are encouraging additional activity in the energy sector. Of course,
stable and/or higher prices are the ultimate
driving force and until international economies
rebound further, energy pipeline work remains
extremely fluid.
A contractor that does substantial drilling
work for energy companies had an interesting
observation. "HDD is growing and is very necessary with all the conflicts coming against energy
companies."
Telecommunications construction, primarily fiber optic, continues to drive the small to
medium HDD rig market. Some were concerned when Google Fiber elected to scale back
its expansions plans. However, many analysts
believe that Google never intended to be a fiber
system owner/operator. Rather, Google wanted
to stimulate major high-speed internet buildouts around the country to facilitate technological needs which typically require fast internet access. Whatever the reasoning, Google's
withdrawal has not seemed to slow the telecom
construction mania as large companies such
as AT&T, along with scores of other firms, are
spending billions to expand the U.S. fiber network with no slow-down in site.
Electric grid work also remains strong for the
time being. Experts keep expecting the work
to slow, but that hasn't happened yet. In fact,
some reports are expecting active electric grid
construction for at least five more years. Also,
for electric transmission lines, more work is
slowly but surely being engineered for underground installations, which is one of the last remaining frontiers to be conquered by HDD.
Gas distribution work is solid, but new construction still lags rehabilitation and replacement work. However, in parts of the country,
new gas line activity is heating up and HDD is
playing a key role in that. All outlooks call for
distribution installation work to continue to
gain strength in the coming years, which bodes
well for small to medium HDD work.
Water remains a strong HDD market, with
the potential to grow even further in the aftermath of the Flint, MI, lead pipe scare. The Flint
situation was clearly an aberration that could
have been avoided. However, the Flint event did
serve to draw additional attention to the dismal
condition of much of our water infrastructure.
Predictably, cities are having a knee-jerk reaction to citizen concerns about neglected water
infrastructure.
June 2017 Underground Construction

It may be 2018 before substantial monies for
water systems actually materialize in municipal
budgets, but when that happens, not only water rehabilitation work will receive a boost, but
new installation and replacement of water pipe
should grow substantially, as well. HDD is becoming a preferred method for much of the water pipeline work, particularly pressurized water
transmission installation which often has to go

deeper underground and longer distances.
While small to medium HDD rigs can often
do this work, the transmission pipeline installations are larger diameters of PVC, HDPE or
steel pipe which require larger rigs. Many HDD
contractors have historically shied away from
public works contracting, but the growing demand for HDD in water applications has stirred
renewed interest - especially for those contrac-

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Table of Contents for the Digital Edition of Underground Construction - June 2017