2023 Private Sector Construction
onstruction spending in both the private and public sectors is generally expected to be higher in 2023 than it was in 2022. The following are summaries of estimated spending by industry in 2023 (compared to 2022), highlighting specific anticipated projects.
Oil and Gas
$730 million
Three factors drive most petroleum-related construction spending: oil prices, exploration, and oil field development. In 2022, oil prices averaged about $100 per barrel, the highest average annual price in nearly a decade. Two large projects, Pikka (Santos) and Willow (ConocoPhillips), have potential to substantially increase construction activity in the coming years. Santos has begun surface facility work on site at Pikka, including gravel roads and pads. ConocoPhillips plans to begin road and other gravel infrastructure projects related to Willow in 2023.
Utilities
$600 million
Photo provided by Davis Constructors & Engineers, Inc.
Residential
$450 million
Hospitals and Healthcare
$290 million
Mining
$225 million
Other Basic Industry
$145 million
Other Industrial/Commercial
$390 million
2023 Public Sector Construction
Highways and Roads
$700 million
National Defense
$600 million
Photo provided by QAP
Photo provided by Cornerstone General Contractors
Photo provided by Knik Construction
Airports, Ports, Harbors, and Railroad
$510 million
Education
$315 million
Other State and Local Govt.
$370 million
Other Federal Govt.
$225 million