Shale gas was first extracted in U.S. in 1821 from shallow fractures. Today, shale gas extracted with modern hydraulic fracturing techniques is the fastest growing contributor to the country's total primary energy deposits.
According to the Energy Information Administration, the state of Texas is the largest producer of shale gas in the country, with the majority produced coming from the Eagle Ford, Barnett, and Haynesville formations.
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| Image source: huffingtonpost.com |
During the height of the shale gas boom in 2002 to 2012, Texas gained over 64,000 jobs. In 2014, indirect economic gains from the Texas oil and natural gas industry resulted in nearly 2 million jobs in related sectors, and the three major Texas shale formations have contributed to more than $300 billion in the state's economic activity.
In addition, a study by the University of Texas at San Antonio Institute for Economic Development projects that a 20 county region in Central and South Texas will support 127,000 direct jobs by 2022.
Most of the country’s skilled drilling workers, as well as executives, researchers, and experts at shale gas extraction reside in Texas. In 2014, the state's oil and natural gas industry paid more than $15 billion in royalties and state and local taxes, providing Texas with the means to fund infrastructure, education, economic development initiatives, children's health insurance, and other projects and public services that contribute to the stability of the state.
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| Image source: rigzone.com |
Current low energy prices are also giving an economic boost, contrary to naysayers. Many international industrial companies, such as Taiwan's Formosa Plastics and Austria's Voestalpine, have set up or are planning to move some of their facilities to Texas. Cheap shale gas prices help narrow the production gap between North America and heavily industrialized countries like China, and government incentives and grants attract investors.
Primera Energy LLC, founded by Brian Alfaro, engages in oil exploration and production in the Barnett and Eagle Ford shale formations. For more discussions on the economic effects of the shale industry, like this Facebook page.
"Most of the country’s skilled drilling workers, as well as executives, researchers, and experts at shale gas extraction reside in Texas." This will contribute more to the stability of the state.
ReplyDeleteHydraulic fracking has helped revive the Texas manufacturing industry.
ReplyDeleteI think it is safe to say that hydraulic fracking has transformed Texas into America’s leading natural gas producer.
ReplyDeleteI appreciate hydraulic fracking more because of the fact that this allows Texas to be more energy independent and provides consumers with lower energy prices.
ReplyDelete