All projects are subject to risks that have both a direct and indirect effect on the project cost and time. The risks vary from project to project because of the unique nature of each project. It is important for the project management team to include risk management as an integral part of their project planning and execution. Risk management strategies should be incorporated in every phase of an HDD project to ensure that the project meets the required quality and safety standards, and that the project delivery is within cost and schedule. This paper takes a look at Horizontal Directional Drilling (HDD) construction risks (the risks that occur during the construction phase) from the contractor’s point of view. Through a literature survey and content analysis of previous works, various HDD construction risks were identified. An industry survey was administered and interviews with major HDD contractors in the state of Ohio were conducted and both the probability of occurrence and impact of these risks on project cost were determined. The paper employed the use of a probability-impact model to identify the critical construction risks and suggests risk management measures and strategies that can be utilized to effectively minimize the risks.