A recent study conducted by the University of Texas San Antonio (UTSA) found that in 2013, oil and gas production from the Eagle Ford shale play in South Texas supported 155,000 jobs and generated approximately $87 billion in state economic output.
In 2008, oil and condensate production in Eagle Ford was a mere 581 barrels per day. Today, that number sits at a staggering 1.1 million barrels per day and it’s continuing to climb.
Oil and gas operations in Eagle Ford have grown so rapidly in recent years that by 2023, the UTSA study estimates economic output in the region will exceed $137 billion, which is particularly surprising considering the fact that it’s nearly $50 billion more than what was forecasted in a similar March 2013 economic study.
By 2023, Eagle Ford is also expected to provide approximately 196,000 full-time equivalent jobs and supply over $4 billion to both state and local governments.
As production in South Texas continues to increase, it will be the role of cities, counties, and other community leadership to take advantage of the economic benefits it provides.
State authorities continue to urge local legislators to do everything that is possible to build new infrastructure and ensure the long-term viability of their communities. This includes collecting the 2% sales tax allowed by state law along with identifying rural areas that could benefit from revenue sources such as the Economic Stabilization Fund.
The UTSA study examined 15 core counties in South Texas where activity is most prevalent in the Eagle Ford Shale and 6 surrounding counties that are also being heavily impacted by its growth.