AQUA BOOK 2016 - Page 9

OIL EXPOSURE Between 2014 and 2015, the 41 counties in South Texas together shed about 6,000 oil field jobs. This region accounted for nearly one-quarter of all jobs lost in the state’s oil and gas industry. Nearly 5,000 of those positions were in support activities. About 1,200 positions were involved in drilling oil and gas wells, and some 200 positions were in oil and gas extraction. According to the IMPLAN model, each direct job lost in the oil field in South Texas would have led to another full-time-equivalent job disappearing in other industries within the region, from health care and accommodation to professional services and retail trade. Direct Oil & Gas Production Employment Shares 8% 4% 3.5% 2.3% 2.3% Texas South Texas 2% In 2015, this region alone cut more than 2,600 oil field jobs. . . 0% Coastal Bend Corpus Christi Source: EMSI, 2015Q4. The wider 12-county Coastal Bend area of South Texas was particularly affected by the downturn in shale oil production, particularly McMullen and Live Oak counties that sit atop the Eagle Ford play. Oil and gas production accounted for 6.2 percent of employment in the Coastal Bend as opposed to 2.3 percent for the broader South Texas region. In 2015, this region alone cut more than 2,600 oil field jobs, nearly half of the job losses in South Texas. The impact within the Corpus Christi MSA was much more limited than in the “oil patch” areas. Annual Review of South Texas Economy SHALE OIL CYCLE 6.2% 6% 7