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 continued growth in monthly employment for the Texas upstream sector. According to TIPRO’s analysis, direct Texas upstream employment for October 2022 totaled 207,000, an increase of 2,800 jobs from revised September employment numbers. Texas upstream employment in October 2022 represented the addition of 36,500 positions compared to October 2021, including an increase of 8,100 in oil and natural gas extraction and 28,400 jobs in the services sector.
TIPRO once again noted strong job posting data for upstream, midstream and downstream sectors for the month of October. According to the association, there were 11,904 active unique jobs postings for the Texas oil and natural gas industry in October, including 3,742 new job postings added in the month.
Among the 14 specific industry sectors TIPRO uses to define the Texas oil and natural gas industry, Support Activities for Oil and Gas Operations continued to dominate the rankings for unique job listings in October with 3,823 postings, followed by Crude Petroleum Extraction (1,573), and Petroleum Refineries (1,143), indicating a continued emphasis on increasing exploration and production activities in the state. The leading three cities by total unique oil and natural gas job postings were Houston (4,582), Midland (1,043) and Odessa (564), said TIPRO.
The top three companies ranked by unique job postings in October were John Wood Group with 820 positions, Baker Hughes (591) and KBR (468), according to TIPRO’s analysis. Of the top ten companies listed by unique job postings last month, six companies were in the services sector, followed by two companies in oil and natural gas extraction and two midstream companies.
Top posted industry occupations for October included heavy tractor-trailer truck drivers (589), managers (342) and maintenance and repair workers (245). Top qualifications for unique job postings included Commercial Driver’s License (CDL) (470), CDL Class A License (368) and Tanker Endorsement (157). When analyzing education requirements for unique industry job postings last month, TIPRO reports that 44 percent required a bachelor’s degree, 34 percent a high school diploma or GED, and 23 percent had no education requirement listed as part of the criteria.
TIPRO also highlights new data released from the Texas comptroller’s office showing production taxes paid by the oil and natural gas industry to the state of Texas generated close to $1 billion in tax revenue in October. According to the comptroller’s data, in October, Texas oil producers paid $544 million in production taxes, up 31 percent from October 2021. Natural gas producers, meanwhile, last month paid $410 million in state taxes, up 59 percent from October 2021. Funding from oil and natural gas production taxes is used to directly support Texas schools, roads, infrastructure and other essential services.
Additionally, TIPRO reports that oil and gas production is anticipated to continue to grow in the coming months. Oil output in the Permian Basin is forecasted to hit a record 5.499 million barrels per day (bpd) in December, according to the U.S. Energy Information Administration (EIA). In the Eagle Ford Shale in South Texas, oil output will rise by 14,000 bpd next month to total 1.237 million bpd. Overall, U.S. crude oil production is expected to go up by 91,000 bpd and will top 9.191 million bpd in December, projects the EIA. Natural gas production in the Permian Basin will also rise by 125 million cubic feet per day (Mmcf/D) and will hit record highs in December at 21.3 billion cubic feet per day (bcf/d). Natural gas output in the Eagle Ford Shale is also forecasted to reach 7.390 bcf/d in December, up 79 Mmcf/d from November levels. Altogether, EIA forecasts natural gas production in the United States to grow to 95.7 bcf/d before the end of the year.
“The Texas oil and natural gas industry continues to provide unmatched support for the state economy and our nation’s energy security,” said Ed Longanecker, president of TIPRO. “Energy produced in Texas has also helped our European allies in a time of crisis. State and federal policies should reflect the need for reliable energy and growing global demand for oil and natural gas,” concluded Longanecker.