Economic stimulus of oil and gas
Shale gas and advances in oil and natural gas extraction technologies over the last five years have provided a large economic stimulus for the United States. That is the conclusion of new research from the American Clean Skies Foundation, a not-for-profit organization dedicated to advancing America's energy independence and a cleaner, low-carbon environment through the expanded use of natural gas, renewables and efficiency.
GDP and employment impacts from expanded production View the full-size graphic. Credit: Business Wire
The research is based on data and analysis by ICF International and estimates that technology-driven changes in oil and gas production since 2007 will lead to 835,000 to 1.6 million new U.S. jobs by 2017 and increase the country's gross domestic product by $167 billion to $245 billion on a net basis.
For example, the report estimates that for every billion cubic feet of additional gas demand per day, there are 13,000 additional direct drilling and pipeline jobs, plus thousands more related to new chemical plants and other gas-using facilities. In turn, these jobs generate a further 10,000 to 30,000 induced indirect jobs in the manufacturing, retail and service sectors.
"The report gives us considerable confidence that the economic benefits we are seeing today will last well into the next decade given the large available resource base opened up by technological advances and the extensive business plans in place for its production and use," said Harry Vidas, Vice President of the Oil and Gas Division at ICF.
- see the report