Live Commodities
Live Commodities
Symbol (CFDs)
Month
Last
Prev.
High
Low
Chg.
Chg. %
Time
Aug 24
85.64
85.19
85.96
84.95
+0.57
+0.67%
13:59:43 | Energy
Aug 24
81.22
80.63
81.51
80.41
+0.51
+0.63%
13:59:45 | Energy
Jul 24
2.758
2.913
2.948
2.728
-0.151
-5.19%
13:59:45 | Energy

TIPRO NEWS RELEASES AND STATEMENTS

Texas Upstream Employment Dips, Oil Production Grows and Electricity Demand Accelerates at Unprecedented Pace

Austin, Texas – Citing the latest Current Employment Statistics (CES) report from the U.S. Bureau of Labor Statistics (BLS), the Texas Independent Producers and Royalty Owners Association (TIPRO) today highlighted new employment figures showing a decline in upstream employment for the month of April 2024. According to TIPRO’s analysis, direct Texas upstream employment for April totaled 193,300, representing a decrease of 3,400 jobs from March employment numbers. The decline in employment follows March data showing the highest increase in monthly Texas upstream jobs since June of 2011. TIPRO notes that fluctuations in CES employment data throughout the year are normal and that demand for talent within the industry remains robust.

 

TIPRO’s new employment data yet again indicated strong job postings for the Texas oil and natural gas industry during the month of April. According to the association, there were 11,012 active unique jobs postings for the Texas oil and natural gas industry last month, including 4,821 new job postings added during the month by companies, which represented a 26 percent increase from March. In comparison, the state of California had 4,209 unique job postings last month, followed by Florida (2,194), New York (1,788), Louisiana (1,681) and Pennsylvania (1,547). TIPRO reported a total of 56,348 unique job postings nationwide last month within the oil and natural gas sector.

 

Among the 19 specific industry sectors TIPRO uses to define the Texas oil and natural gas industry, Gasoline Stations with Convenience Stores led in the ranking for unique job listings in April with 2,798 postings, followed by Support Activities for Oil and Gas Operations (2,655) and Crude Petroleum Extraction (919). The leading three cities by total unique oil and natural gas job postings were Houston (2,932), Midland (797) and Odessa (459), said TIPRO.

 

The top three companies ranked by unique job postings in April were Cefco (1,375), Love’s (463) and Zachry Brands (333), according to the association. Of the top ten companies listed by unique job postings last month, five companies were in the services sector, followed by two in the gasoline stations with convenience stores category, two midstream companies and one upstream company. Top posted industry occupations for April included first-line supervisors of retail sales workers (688), retail salespersons (382) and heavy tractor-trailer truck drivers (358). The top posted job titles for April included store managers (294), customer service representatives (266) and maintenance people (180).

 

Top qualifications for unique job postings included valid driver’s license (1,814), CDL Class A License (247) and commercial driver’s license (CDL) (215). TIPRO reports that 41 percent of unique job postings had no education requirement listed, 32 percent required a bachelor’s degree and 29 percent required a high school diploma or GED. There were 1,723 advertised salary observations (16 percent of the 11,012 matching postings) with a median salary of $57,500. The highest percentage of advertised salaries (30 percent) were in the $85,000 to $500,000 range.

 

Additional TIPRO workforce trends data:

 

TIPRO also highlights recent data released from the Texas comptroller’s office showing gains for the month of April in tax contributions provided by the Texas oil and natural gas industry. Texas energy producers last month paid $518 million in oil production taxes, up from the prior month and 15 percent higher than amounts paid a year ago in April 2023. Producers in April also contributed an additional $170 million in revenue from natural gas production taxes. Oil and natural gas severance taxes remain an important source of revenue for state and local governments and continue to be used help to support and pay for road and infrastructure investments, water conservation projects, schools and education, first responders and other essential public services across the Lone Star State.

 

TIPRO notes that following record production last year, oil output is expected to keep growing this summer. The U.S. Energy Information Administration (EIA) said this week in its latest Drilling Productivity Report that oil production in the Permian Basin will rise next month by almost 18,000 barrels per day (bpd) to reach 6.19 million bpd. In the Eagle Ford Shale, oil output is set to grow by about 4,000 bpd to top 1.1 million bpd, according to the EIA. Overall, total oil production in the nation’s biggest shale basins will increase by nearly 17,000 bpd to total 9.85 million bpd in June. Pricing conditions for natural gas, meanwhile, will continue to slow production levels in the U.S. Total natural gas output is likely to dip in June in the biggest shale gas formations to 99.2 billion cubic feet per day (bcfd), down from 99.5 bcfd produced in May, said the EIA in its report. Though nationally natural gas output will be lower, in the Permian, natural gas production is once again forecasted to go up to 25.393 bcfd, up from 25.250 bcfd that will be produced in May.

 

“Past and present contributions provided by the Texas oil and natural gas industry from an economic and national security perspective are truly unmatched. Oil production trends indicate a strong resilience and commitment within the sector in response to increasing demand for our product, while domestic producers face a growing number of punitive federal regulations that could endanger U.S. energy security,” said Ed Longanecker, president of TIPRO.

 

“We are also witnessing a historic period for new additions to the power grid in Texas driven by a growing population, Artificial Intelligence (AI), data centers, crypto mining, as well as the electrification of sectors including oil and natural gas operations. AI is by far the most energy-consumptive technology ever introduced, and electricity demand is expected to accelerate at an unprecedented pace. Natural gas will continue to play a dominant role in providing a reliable baseload supply for decades to come, but further investments in infrastructure and natural gas power generation will be critical to meet this demand. These realities are not optional, nor is the need for rational energy policy at all levels of government,” concluded Longanecker.

 

Finally, TIPRO is pleased to provide updated economic data for the oil and natural gas industry from 2023. As communicated earlier this year, due to a delay in the release of some government data used to calculate Gross Regional Product (GRP), TIPRO utilized available data sources to estimate GRP for 2023 in the TIPRO 2024 State of Energy Report released in March. TIPRO has updated the report with finalized GRP data at the state and national level with historical figures for comparison purposes. Last year, direct GRP for the Texas oil and natural gas industry totaled $381 billion, directly supporting 17 percent of the state economy. Once a conservative multiplier of 2.5 percent is applied, last year the Texas oil and natural gas industry directly and indirectly supported 42 percent of the Texas economy. At the national level, total GRP for the oil and natural gas industry exceeded $1 trillion dollars in 2023, as previously reported, and directly supported 5 percent of the U.S. economy.

 

GRP is simply Gross Domestic Product (GDP) for a region of study. GRP measures the final market value of all goods and services produced in the region of study and is the sum of total industry earnings, taxes on production and imports, and profits, less subsidies. It is based on data from the Census Bureau’s Current Population Survey and American Community Survey; as well as the Bureau of Economic Analysis’ National Income and Product Accounts, Input-Output Make and Use Tables, and Gross State Product data. In addition, several in-house data sets are used, as well as data from Oak Ridge National Labs on the cost of transportation between counties.

 

Updated 2023 GRP data for the oil and natural gas industry can be found on pages 50 and 51 in the TIPRO 2024 State of Energy Report, available here. Please note the scrolling features in the tables. Customized data at the state, county, metropolitan and national level is available upon request.

 

TIPRO provides analysis on various economic factors and trends throughout the year, which culminate in the association’s annual State of Energy Report, the most comprehensive annual economic report for the U.S. oil and natural gas industry. This publication utilizes all available data sources outlined in the methodology section of the report to provide a detailed, national perspective on oil and gas economic trends with an emphasis on Texas, the nation’s leading producer of oil and natural gas.

Scroll to Top

Subscribe To Post

When you subscribe to updates on this post, we will send you an email whenever there is new updates in the entry.