Karnes City Changed By The Eagle Ford

Residents Leaving $40,000/yr Overtime Jobs For $100,000/yr Oilfield Jobs
Karnes City - City Hall Building

City Hall in Karnes City, TX | Click to Enlarge

To say Karnes City has changed over the past few years is an understatement. The Houston Chronicle conducted an interview with a local farmer who owns the land where ConocoPhillips drilled its first Eagle Ford well.

Change started with the growth in oilfield jobs and booming royalty checks. Today, cash is being poured into the area. [Read more…]

Dallas Fed Report “Eagle Ford Shale Brings Wealth to South Texas”

Drilling, Wages, and the Economy on the Rise

The Dallas Federal Reserve bank is the latest organization to publish a report touting the economic benefits of the Eagle Ford.

Recent data suggest that the oil boom’s impact on jobs, income and spending in the region has been profound.

Other highlights include:

  • Between 2007 and 2011, gas production rose 20%, oil 80%, and condensate 541%
  • From Feb 2010 to Feb 2012, the rig count grew from 42 to over 225
  • Horizontal drilling accounts for over 90% of Eagle Ford wells
  • An estimated lease bonus of $1,500/acre x 5 million acres = $7.5 billion paid since 2007
  • Estimated drilling spend has risen from $1.8 billion in 2007 to $14.6 billion in 2011
  • Local royalty payments increased by $584 million from 2007 t0 2011
  • Biggest industry winners include: oil exploration and services, construction, wholesale and retail trade, and real estate.
  • Seasonally adjusted retail sales in the 23 county area grew 15.4% compared to 6% for Texas and 7.4% for the U.S.
  • Sales tax revenues grew 9.3% over the same period
  • Eagle Ford jobs represent 2% of the Texas workforce
  • Annualized growth in weekly wages was 14.6% vs. 6.3% for the U.S. [Read more…]
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