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TIPRO Reports Texas Upstream Job Growth and Rising Domestic Production Outlook

18 Oct 2024 10:00 AM | Anonymous member (Administrator)

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 the fourth consecutive month of growth in upstream employment in Texas in the month of September 2024. According to TIPRO’s analysis, direct Texas upstream employment for September totaled 195,400, an increase of 800 industry jobs from revised August employment numbers. The Texas upstream employment data represents a decrease of 900 jobs in oil and gas extraction and an increase of 1,700 positions in the services sector last month.

TIPRO’s new workforce data yet again indicated strong job postings for the Texas oil and natural gas industry. According to the association, there were 11,970 active unique jobs postings for the Texas oil and natural gas industry last month, an increase of 147 posted employment opportunities compared to August and 4,623 new job postings added during the month by companies. In comparison, the state of California had 4,008 unique job postings in September, followed by Florida (1,984), New York (1,910), Pennsylvania (1,658) and Oklahoma (1,528). TIPRO reported a total of 56,563 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 September with 2,933 postings, followed by Support Activities for Oil and Gas Operations (2,539) and Crude Petroleum Extraction (1,160). The leading three cities by total unique oil and natural gas job postings were Houston (3,019), Midland (843) and Odessa (431), said TIPRO.

The top three companies ranked by unique job postings in September were Cefco (1,173), Love’s (676) and Energy Transfer (427), according to the association. Of the top ten companies listed by unique job postings last month, four companies were in the services sector, three in the gasoline stations with convenience stores category, two midstream companies and one upstream company. Top posted industry occupations for September included first-line supervisors of retail sales workers (689), general maintenance and repair workers (402) and heavy and tractor-trailer truck drivers (386). The top posted job titles for September included assistant store managers (274), customer service representatives (233) and maintenance people (176).

Top qualifications for unique job postings included Valid Driver’s License (1,969), Commercial Driver's License (CDL) (274) and Transportation Worker Identification Credential Card (222). TIPRO reports that 40 percent of unique job postings had no education requirement listed, 34 percent required a bachelor’s degree and 28 percent required a high school diploma or GED. There were 2,219 advertised salary observations (19 percent of the 11,970 matching postings) with a median salary of $65,900. The highest percentage of advertised salaries (25 percent) were in the $100,000 to $500,000 range.

Additional TIPRO workforce trends data:

TIPRO also highlights tax contributions by the oil and gas industry for essential government coffers. In September, Texas energy producers paid $516 million in oil production taxes, according to recent data released by the Texas comptroller’s office. Producers last month also paid a total of nearly $200 million to the state in natural gas production taxes. Production taxes paid by the oil and natural gas industry are used to support major revenue streams for the state, including public education funding, the State Highway Fund, the Rainy Day Fund and other vital parts of the state budget.

Additionally, TIPRO draws attention to new federal production forecasts showing more growth in domestic crude oil and natural gas output in the next year. The U.S. Energy Information Administration (EIA) in its latest Short-Term Energy Outlook has projected U.S. crude oil production will rise to 13.5 million barrels per day (b/d) in 2025, a record high, while marketed natural gas production is expected to increase to an average of 113.4 billion cubic feet per day (Bcf/d) next year. Much of the forecast growth in oil and natural gas production will be driven by productivity gains in the Permian Basin. In the Permian, specifically, the EIA has estimated crude oil production will top 6.6 million b/d and marketed natural gas production will average 25.8 Bcf/d in 2025.

“Rising upstream employment and a record production forecast mean one thing, the world needs more oil and natural gas to meet growing energy demand and Texans are more than willing to accommodate,” said Ed Longanecker, president of TIPRO. “Our state is blessed with an abundance of oil and natural gas and the most pro-business environment in the country, and we must keep it that way. As we approach the conclusion of another consequential election cycle, we encourage all Texans to do their due diligence and vote for candidates that support economic prosperity and energy security for our state and country,” added Longanecker.

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