Oklahoma Economic and Job Growth
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Oil and Natural Gas Stimulate Oklahoma Economic and Job Growth Oil and natural gas are driving the U.S. economy through a major energy boom and that boom is rippling through the economy of Oklahoma, supporting business activity across the state. This finding grows out of a new American Petroleum Institute survey of domestic oil and natural gas $39 BILLION vendors,1 which offers a glimpse into the job and business creation engine that THE INDUSTRY CONTRIBUTES is the current oil and natural gas industry. The survey shows that at least 2,513 businesses, spread across all five of Oklahoma’s congressional districts, are part TO OKLAHOMA’S ECONOMY of the larger oil and natural gas supply chain. The survey’s snapshot of state-by-state income, is in terms of salary.3 While the activity reinforces the impressive level average annual salary in Oklahoma across of industry success throughout the all industries and sectors is $42,733, the country that is documented in a recent average salary in the oil and gas industry 364,300 PriceWaterhouseCoopers study conducted (excluding gas stations) is very significantly for the American Petroleum Institute.2 higher—$93,992 annually. Overall the The study found that the oil and natural industry supports $39 billion of the OKLAHOMA JOBS gas industry in Oklahoma supports some Oklahoma economy. That’s 23.1 percent 364,300 jobs, which is 16.8 percent of the of the state’s total economic activity. state’s total employment. The amount of supported BY OIL AND Oklahoma labor income supported by the Oklahoma ranks 5th in oil and 4th in natural natural GAS industry oil and natural gas industry comes to $23.3 gas production.4 That makes it one of the billion annually. That’s 22.9 percent of the nation’s top energy-producing states. state’s total labor income. Oklahoma particularly benefits from the AVERAGE ANNUAL SALARY COMPARISON Another way in which the oil and gas production of oil and natural gas from industry benefits the people of Oklahoma, shales and so-called “tight formations,” 100k $93,992 energy development that uses the proven in addition to total employment and labor 90k 1. American Petroleum Institute, “API Onshore Oil and Gas Vendor Identification Survey,” Washington, D.C., 2014. The survey was 80k distributed to API members in January 2014 to collect information for the period October 2012 to September 2013. Included are companies that provide goods and services for onshore oil and natural gas development, whether as operators, contractors, service 70k companies, suppliers, or vendors. 2. PriceWaterhouseCoopers, “Economic Impacts of the Oil and Natural Gas Industry on the U.S. Economy in 2011,” Washington, D.C., July 2013. Prepared for API using the IMPLAN input-output modeling system, based on 2011 U.S. Bureau of Economic Analysis 60k data. 3. Information cited in this paragraph comes from the Bureau of Labor Statistics, Quarterly Census of Employment and Wages (prelimi- 50k nary data for 2013 accessed July 2014); and PriceWaterhouseCoopers, “The Economic Impacts of the Oil and Natural Gas Industry $42,733 on the U.S. Economy: Employment, Labor Income and Value Added,” 7/12/13 (based on 2012 IMPLAN database). 4. EIA, “Rankings: Crude Oil Production, April 2014 (thousand barrels),” accessed 7/31/2014. http://www.eia.gov/state/ 40k ranking/?sid=UA#/series/46. EIA, “Rankings: Natural Gas Marketed Production, 2012 (million cubic feet),” accessed 7/31/2014. http://www.eia.gov/state/rankings/?sid=US#/series/47. 30k Avg. Annual Avg. Oil and Gas Oklahoma Salary Industry Salary Visit API.org for more information and follow us on Twitter@EnergyTomorrow. State: Oklahoma Oklahoma Vendors by Congressional District Vendors by Congressional District District Location ● Congressional District Total Congressional District 1 479 Congressional District 2 120 Congressional District 3 865 Congressional District 4 252 Congressional District 5 797 District 01 Grand Total 2,513 District 03 District 05 District 02 District 04 Top Cities Oklahoma City = 635 Vendor Profile7 Tulsa = 353 Mercer Valve Company, Inc.® Edmond = 118 Mercer Valve Company has been engineering and Elk City = 103 manufacturing safety relief valves since 1985. The company’s patented Auto Seat Technology® has Woodward = 69 placed Mercer at the forefront of today’s relief valve industry. The technology will provide an extended seat life, which allows the valve to consistently open, Sources: Esri, DeLorme, NAVTEQ, TomTom, Intermap, increment P Corp., GEBCO, USGS,FAO, NPS, NRCAN, GeoBase, IGN, Kadaster NL, Ordnance c l o s e , s e a t , a n d s e a l t i m e a n d t i m e a g a i n . Survey, Esri Japan, METI, Esri China (Hong Kong), and the GIS User Community “Whether it is our deliveries, valve shop, or mobile repair, Mercer always puts safety first. Both the manufacturer and the consumer can benefit from Mercer’s product.” engineering technologies of hydraulic of Oklahoma, get it. A telephone poll of fracturing, or “fracking,” and horizontal 1,012 registered voters across the country, Check-6 drilling. Total jobs supported by these conducted on behalf of the American Check-6 is an international solutions company activities in Oklahoma reached 65,325 in Petroleum Institute, found that 77 percent comprised of former military pilots and special operatives who bring crews working in high-risk 2012. That job total is projected to climb to of Americans, regardless of party affiliation, environments to a very high level of reliability. The 149,617 in 2020 and to 225,387 in 2035.5 support increased production of oil and company provides rapid results through coaching, natural gas resources located in the United training, and simulation, aimed at instilling best practices And Americans, including the people States.6 and lessons learned from the military backgrounds of the people who work for Check 6. The company goal is to keep crews safe and rigs operational, onshore and 5. IHS Inc., “America’s New Energy Future: The Unconventional Oil and Gas Revolution and the U.S. Economy,” Washington, D.C., off, while reducing training time. December 2012. 6. “What America is Thinking on Energy Issues.” ”http://www.api.org/news-and-media/news/newsitems/2014/july-2014/voters-say- Check-6 was founded in 2007 in order to bring the us-should-do-more-to-develop-oil-natural-gas” the results of a national poll conducted by Harris for API July 10-13, 2014. Click on oil and gas industry to the same consistent, reliable “national poll” to see how percentages of voters answered this and other questions. safety standards as military and commercial aviation. It now has more than 400 employees and contractors worldwide, helping oil and gas companies implement best practices for safer, more efficient energy production. To find out more, visit API.org 7. From the 2014 “API Onshore Oil and Gas Vendor Identifi- for more information and follow us on cation Survey” returns. Twitter@EnergyTomorrow. VENDOR SURVEY FINDINGS REPORT OKLAHOMA - VENDOR LIST Oklahoma Vendors by Congressional District Congressional District 1 Bartlesville Regional Chamber CRS Proppants Fisher Scientific Co, LLC James O. Folsom & Associates, Inc 1999 Enterprise Plaza Berendsen Fluid Power, Inc Cust-O-Fab, Inc Flameco Industries, Inc Jan Myers 3C Logistics, LLC Bertrem Products, Inc Custom Chemical Solutions, Flint Energy Services, Inc LLC Jason Turner 4K Spooling Banding Sales & Best Well Services, LLC Flow-Quip, Inc Service, Inc Billy Kevin Holland Cyclonic Valve Company, Inc Fluid Specialties JD Young Co, Inc A Max Sign Co, Inc BKL, Inc Cypress Energy Partners - Fluid, Inclusion Technologies, Inc Jennifer B. Galvin Pecos Swd, LLC AAPG BNSF Railroad Company Frank W. Murphy Manufacturing. Jessica Bowden D&L Oil Tools Abb, Inc Boo Boos Clown Shoppe Frontier Field Services, LLC Jiffy Wash Laundromat Daniel Melcher Aberdeen Dynamic Supply, Inc Borets-Weatherford US, Inc Furmanite America, Inc Jo Rhone Darlys J. Lickliter Accel Financial Braden Manufacturing, LLC Galaxy Limousine & Executive John Crane Lemco Data Management, Inc AcctKnowledge Financial BRG Production Charter, Inc John Zink Company, LLC Staffing Datapages, Inc Brock & Associates, LLC Gas Processors Association JW Williams, Inc Ace Air Cooled Exchangers, Inc Dave Allert Company Brothers & Co GDH Consulting, Inc Kaiser Francis Oil Company Adams Blvd Church of Christ Dave E Reese Consulting, LLC BS&B Pressure Safety Gea Rainey Corporation Katies Kitchen Adplace Solutions, LLC Management, LLC David C. Smith Gemini Medical Group Kenco Engineering Company, Advanced Hydrocarbon BSB Limited Davis Bros, LLC Geoffrey K Simpson Inc Stratigraphy Cactus Drilling Company, LLC DC & Michelle Smith Gerhold Engineering PC Kenneth Alan Weikel Advanced Industrial Devices, Cagle Oilfield Services, Inc DD Frederick Co Glenn Security Systems, Inc Kenneth F. Wantland LLC Callidus Technologies, LLC Devco USA, LLC Golden Field Services, Inc Key Personnel Advanced Plastics, Inc Canada Co Dewey High School Graebel Oklahoma Movers, Inc Kimery Painting, Inc Advantage Graphics, Inc Cantu Strategic Services, LLC Dewey Ironworks, LLC Grainger Kraftbilt AG Equipment Company Capital X Ray Services, Inc Diane Bewley Green Country Petrophysics, Kraftours Corporation Air Cooled Exchangers, LLC Career Employment Service, Inc Diane K. Miller LLC KSW Oilfield Rental, LLC Air Hygiene International, Inc Carrolls Commercial Floors, Inc Digital Publishing & Scanning, Grisham Services Kyle Cumings Air X Limited Inc CEI Petroleum, Inc Groendyke Transport, Inc Landmark Outdoor Services, Airflo Cooling Technologies Division Order Beginnings LLC Centimark Hall Estill Hardwick Gable Airgas USA, LLC DJ Shubeck Co Golden Lansing NGL Services Challenger Technologies, Inc All Consulting, LLC Doerner Saunders Daniel Hambrick Ferguson, Inc Laredo Petroleum, Inc Chandler Engineering Co, LLC Allied Electronics, Inc Don Cavin Services Hammco Air Coolers Larkin Products, Inc Chart Cooler Service Company, Ambler Architects Inc Doubletree Hotel Warren Hammco Corporation Latshaw Drilling Company, LLC American Association of Check 6 Logistics Solutions, Inc Douglas J.