The Eagle Ford Shale had an economic impact of $87-billion in 2013, according to the University of Texas at San Antonio. That's up significantly from 2012 when university researchers determined the oilfield had a $61-billion impact.
Read more:Economic Impact of the Eagle Ford Hits $61 Billion in 2012
Estimates of the Eagle Ford's overall economic impact for the 21-county area included in the study exceeded $137-billion for 2023. That's much higher than the 2022 forecast of $89-billion reported in the previous report. The basis for this increase researchers say has to do with the exceptional production numbers in the Eagle Ford. This month, the U.S. Energy Information Administration (EIA) predicts the Eagle Ford Shale will produce 1.51-million b/d crude oil. By 2020, consultancy Wood Mackenzie predicts production will rise to 2-million b/d. Advancements in well completions, and practices such as infill drilling will likely have an impact on production as operators continue to apply new and innovative techniques to access Eagle Ford reserves.
Read more: Eagle Ford Production Will Hit 1.5 Million b/d - Sept. 2014
In addition, new manufacturing projects associated with the natural gas renaissance in the U.S., as well as new processing, refining and port facilities are factors driving increases in the economic impact statistics. Just last week, the Environmental Protection Agency (EPA) gave a subsidiary of Conneticut-based Castleton Commodities International the green light for the construction of new petroleum process facilities near Corpus Christi, TX. The price tag for the project is estimated at $500-million.
Read more: EPA Grants Permit for $500 Million Corpus Christi Condensate Splitter
The study calculated the direct economic effects of oil and gas exploration, and "induced" economic activity. Stay tuned to EagleFordShale for further details and analysis of the study.
Read more at iedtexas.org