Oil and Natural Gas Stimulate Colorado 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 Colorado, supporting business activity across the state. This finding grows out of a new American Petroleum Institute survey of domestic oil and natural gas $25.8 BILLION vendors,1 which offers a glimpse into the job and business creation engine that is the current oil and natural gas industry. The survey shows that at least 1,198 THE INDUSTRY CONTRIBUTES businesses, spread across Colorado’s seven congressional districts, are part of TO COLORADO’S ECONOMY the larger oil and natural gas supply chain. The survey’s snapshot of state-by- in addition to total employment and labor state activity reinforces the impressive income, is in terms of salary.3 While the level of industry success throughout average annual salary in Colorado across the country that is documented in a all industries and sectors is $51,124, the recent PriceWaterhouseCoopers study average salary in the oil and gas industry 213,100 conducted for the American Petroleum (excluding gas stations) is very significantly Institute.2 The study found that the oil higher—$105,025 annually.4 Overall the and natural gas industry in Colorado industry supports $25.8 billion of the COLORADO JOBS supports some 213,100 jobs, which is 6.7 Colorado economy. That’s 9 percent of the percent of the state’s total employment. state’s total economic activity. supported BY OIL AND The amount of Colorado labor income supported by the oil and natural gas Colorado ranks 9th in oil and 6th in natural natural GAS industry industry comes to $14.1 billion annually. gas production.5 That makes Colorado one That’s 8.1 percent of the state’s total labor of the nation’s top energy-producing states. income. AVERAGE ANNUAL SALARY COMPARISON Colorado particularly benefits from the $105,025 Another way in which the oil and gas production of oil and natural gas from 100k industry benefits the people of Colorado, shales and so-called “tight formations,” 90k 1. American Petroleum Institute, “API Onshore Oil and Gas Vendor Identification Survey,” Washington, D.C., 2014. The survey was distributed to API members in January 2014 to collect information for the period October 2012 to September 2013. Included are 80k companies that provide goods and services for onshore oil and natural gas development, whether as operators, contractors, service companies, suppliers, or vendors. 70k 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 data. 3. Information cited in this paragraph comes from the Bureau of Labor Statistics, Quarterly Census of Employment and Wages (prelimi- 60k nary data for 2013 accessed July 2014); and PriceWaterhouseCoopers, “The Economic Impacts of the Oil and Natural Gas Industry $51,124 on the U.S. Economy: Employment, Labor Income and Value Added,” 7/12/13 (based on 2012 IMPLAN database). 50k 4. Data includes NAICS code 324, which may count some coal product manufacturing jobs. 5. EIA, “Rankings: Crude Oil Production, April 2014 (thousand barrels),” accessed 7/31/2014. http://www.eia.gov/state/ ranking/?sid=UA#/series/46. EIA, “Rankings: Natural Gas Marketed Production, 2012 (million cubic feet),” accessed 7/31/2014. 40k http://www.eia.gov/state/rankings/?sid=US#/series/47. 30k Avg. Annual Avg. Oil and Gas To find out more, visit API.org for more information and follow us on Colorado Salary Industry Salary Twitter@EnergyTomorrow. State: Colorado Colorado Vendors by Congressional District Vendors by Congressional District District Location ● Congressional District Total Congressional District 1 304 Congressional District 2 110 Congressional District 3 281 Congressional District 4 241 District Congressional District 5 33 02 Congressional District 6 114 District Congressional District 7 115 District 06 07 Grand Total 1,198 District 01 District District 03 04 District 05 Top Cities Denver = 264 Grand Junction = 72 Vendor Profile8 Sources: Esri, DeLorme, NAVTEQ, TomTom, Intermap, increment P Corp., GEBCO, USGS,FAO, NPS, NRCAN, GeoBase, IGN, Kadaster NL, Ordnance Smith LaRock Architecture PC Survey, Esri Japan, METI, Esri China (Hong Kong), and the GIS User Community Smith LaRock is an architectural consultancy specializing in the design of facilities for refineries, petrochemical plants, and other oil and gas processing clients, as well as for process- control clientele in other markets. The company specializes in the integration of energy development that uses the proven Colorado, get it. A telephone poll of 1,012 architecture and pertinent human factors (technology, engineering technologies of hydraulic registered voters across the country, process, and people) for 24/7 Command and Control fracturing, or “fracking,” and horizontal conducted on behalf of the American centers. Smith LaRock Architecture also designs blast drilling. Total jobs supported by these Petroleum Institute, found that 77 and non-blast structures for those same clients. activities in Colorado reached 77,622 in percent of Americans, regardless of party The client facilities served include production buildings, 2012. The job total is projected to climb to affiliation, support increased production office buildings, warehouse and maintenance shops, 6 EMS/Fire buildings, and laboratories, as well as 121,398 in 2020 and to 175,363 in 2035. of oil and natural gas resources located in Collaboration/Visualization Centers for today’s global the United States.7 integration and collaboration needs. Smith LaRock And Americans, including the people of works entirely in 3D BIM CAD. The goal of the company is to help clients develop 6. IHS Inc., “America’s New Energy Future: The Unconventional Oil and Gas Revolution and the U.S. Economy,” Washington, D.C., safer mission-critical facilities within typically high-risk December 2012. 7. “What America is Thinking on Energy Issues.”http://www.api.org/news-and-media/news/newsitems/2014/july-2014/voters-say-us- areas. Smith LaRock Architecture’s products enhance 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 vigilance and increase situational awareness. Making “national poll” to see how percentages of voters answered this and other questions. plant control operators more vigilant in their control rooms and putting them in a building that is designed to protect them from potential blast risks near the refinery units enhances safety for the entire facility. To find out more, visit API.org 8. From the 2014 “API Onshore Oil and Gas Vendor Identifi- cation Survey” returns. for more information and follow us on Twitter@EnergyTomorrow. VENDOR SURVEY FINDINGS REPORT COLORADO - VENDOR LIST Colorado Vendors by Congressional District Congressional District 1 Columbine Logging, Inc Grand Mesa Radiator LD Meckel & Co Plotter Supplies, Inc 23 Ltd Contex Energy Co Great Denver Iron Lee S Silensky Ponderosa Construction, Inc 475 17Th Street Co., Trust Acc Contoural, Inc Greystone Environmental Leed Energy Services, Inc Poseidon Concepts, Inc A&W Water Service, Inc Coorstek, Inc Consultants Legacy Partners II Poulson Odell & Peterson, LLC Accuvantinc Corporate Communications Ground Engineering Level 3 Communications, LLC Power Controls, Inc Consultants, Inc Advanced Hydraulics & Machine, CQG Lincoln Energy, LLC Power Engineering Company GWD Design, Inc Inc Creekside Nursery, LLC Linhart Public Relations,LLP Power Services of Colorado H&W Enterprises Air Drilling Associates, Inc Crown Energy Partners, LLC Lohf Shaiman Jacobs Hyman Premier Community Homes Ltd. Hach Company Aircell Business Aviation CTAP (Colorado Tubulrs/Aztec & Feiger Pro-Gas Services, LLC Services, LLC Hannon & Associates, Inc Pipe) Long View Systems Corporation PTI Group USA, LLC Amec Environment Cummins Rocky Mountain, LLC Harbert Castings Repair Service Usa Co. Public Lands Advocacy American Geophysical Cummins Southern Plains, Inc LSSI Ltd Corporation Harris Group, Inc Pure Brand Communications, CVL Consultants of Colorado, Luis Tenorio LLC Anschutz Exploration Inc Harris Oil & Gas Company M2M Data Corporation Corporation Pynergy Petroleum Company, Davis & Davis Company HBC Denver, Inc Mak-Tek Sales & Service, Inc LLC Antero Resources Corporation Davis Graham & Stubbs LLP Heat Waves Hot Oil Service, LLC Marketpay Associates, LLC QED Denver, Inc Anticline Disposal, LLC DCP Midstream, LP Hein & Associates LLP Marquis Alliance Energy Group QEP Field Services Company Apex Instruments, Inc Denver Fence Construction Hendricks & Associates, Inc Usa R&S Steel Co Apex Petroleum Engineering Denver Metro Chamber of Hensley Battery, LLC Marshall Mayer R&W Rental, Inc Applied Computer Solutions Commerce High Country Sales & Trading, Mary Kaye Smith Redco Tire, Inc Applied Control Equipment, LlLP Inc Denver Scholarship Foundation Mayo Aviation Rexel Electronic & Datacom Aramark Refreshment Services, Discovery Group, Inc High Plains, Inc Mcelvain Energy Fund 2011, Supplies LLC Dorado E&P Partners, LLC High Sierra Energy Lp LLC Rigeye, LLC Arcadis US, Inc DTC Energy Group, Inc Hill Petroleum Meagher Energy Advisors Rio Grande Co Band-It Idex, Inc Eaton Metal Products Company, Holland & Hart LLP Melissa M Crowley Rivet Software, Inc Barree & Associates, LLC Barree LLC H-S Testing, Inc Metal