NAICS 237120

Overview

The North American Industry Classification System (NAICS) is the framework U.S. statistical agencies use to classify business establishments for collecting, analyzing, and publishing data about the economy. Developed under the Office of Management and Budget and jointly created by the U.S., Canada, and Mexico, NAICS enables cross-country comparability in economic statistics. ⁴

NAICS 237120 covers the construction of oil and gas pipelines and related facilities integral to petroleum and natural gas networks, including storage tanks, pumping/compressor stations, distribution lines, and major processing/refining facilities. Federal statistical programs use this industry classification to publish data related to construction activity in the Construction sector. ²

What this NAICS covers

• Construction of long-distance transmission pipelines and local mains for oil and natural gas. ²
• Installation of distribution lines, service connections, and appurtenances for petroleum and natural gas systems. ²
• Construction of gathering lines on oil and gas fields up to the point where ownership/classification shifts to utility/distribution or other activities. ⁶
• Tank farms and storage tanks for crude oil or natural gas, including related field facilities. ²
• Pumping/compressor stations and other pipeline network support structures. ²
• Oil refineries and natural gas processing plant construction as related network facilities. ²

Related NAICS and PSC codes

Classification boundaries and cross-references

• Pipeline inspection services are not classified in 237120; they are coded to 541990 (All Other Professional, Scientific, and Technical Services). ¹
• Oil-well rig building, repairing, and dismantling on a contract basis is classified in 213112, not in 237120. ¹
• Construction of chemical plants (except petrochemical) is classified in 236210; petrochemical plants associated with oil/gas networks fall under 237120. ¹

Frequently asked questions

• What specific activities fall under NAICS 237120? Construction of oil and gas transmission pipelines; local mains; distribution and service lines; tank farms and storage tanks; pumping/compressor stations; and associated oil refinery and natural gas processing facilities that are integral to petroleum and gas networks. ²

• Are oil refineries included in NAICS 237120? Yes. Construction of oil refineries and natural gas processing facilities that are part of the petroleum and gas network is included in this industry. ²

• Is pipeline inspection coded to 237120? No. Pipeline inspection services are classified in 541990 (All Other Professional, Scientific, and Technical Services), not under pipeline construction. ¹

• What NAICS vintage is in use now? Federal programs are implementing the 2022 NAICS vintage on a staggered schedule; Census began publishing detailed industry statistics on a 2022 basis and plans to complete the transition across programs by the end of calendar year 2027. ³

• Does “construction” here include repair and rehabilitation? Yes. Census construction definitions include new work, reconstruction, rehabilitation, major replacements, and related installations for fixed facilities such as petroleum and gas pipelines and associated structures. ⁵

Useful resources

• G2X — NAICS 237120 overview
• Census: NAICS Codes & Understanding Industry Classification Systems. ⁴
• Census: The Census Bureau’s Implementation of the 2022 NAICS. ³
• Census: Structures and Equipment Codes List — Oil and Gas Pipeline and Related Facilities. ²
• 2017 NAICS Manual (official industry descriptions and cross-references). ¹

References

1. U.S. Census Bureau, 2017 North American Industry Classification System (NAICS) Manual (official definitions and cross-references). https://www2.census.gov/library/reference/naics/publications/2017-NAICS-Manual.pdf
2. U.S. Census Bureau, Annual Capital Expenditures Survey — Structures and Equipment Codes List (Oil and Gas Pipeline and Related Facilities). https://www.census.gov/programs-surveys/aces/information/secl.html
3. U.S. Census Bureau, The Census Bureau’s Implementation of the 2022 NAICS. https://www.census.gov/library/reference/code-lists/naics/2022/implementation-timeline.html
4. U.S. Census Bureau, NAICS Codes & Understanding Industry Classification Systems. https://www.census.gov/programs-surveys/economic-census/year/2022/guidance/understanding-naics.html
5. U.S. Census Bureau, Construction Spending — Definitions (pipelines, oil/gas facilities; repair/rehabilitation concepts). https://www.census.gov/construction/c30/definitions.html
6. U.S. Census Bureau (2007 reference), Construction Types Guidance (pipelines; oilfield construction classification notes). https://www2.census.gov/econ2007/Reference_materials/htm%20files/contype.htm