The Texas Independent Producers & Royalty Owners Association published the eighth edition of the State of Energy Report to provide a detailed analysis of the oil and natural gas sector in Texas. The report provided economic indicators to show the footprint the sector has both domestically and worldwide.
The oil and natural gas industry supported just under 950,000 direct jobs in the United States last year, according to the TIPRO's 2023 State of Energy Report. The U.S. oil and natural gas sector also paid a national annual wage averaging over $120,000, which was 74% higher than the average private sector wages. In Texas, the annual average pay for oil and gas jobs was $139,061 — 103% more than the national average.
Over 347,000 jobs were directly supported by the sector in Texas, with another 2.6 million indirectly supported, according to the report.Texas led the way in oil production, producing 1.83 million barrels. New Mexico had the second-highest production with 534 million barrels, and North Dakota came in third with 393 million barrels produced.
“The Texas oil and natural gas industry remains a cornerstone of our state economy and a critical source of energy security for our country and allies abroad,” said TIPRO president Ed Longanecker in a prepared statement. “TIPRO will continue to work with our members and policy leaders to maintain a business and regulatory environment that supports the responsible development of oil and natural gas for the benefit of Texans, the United States and our allies abroad.
2022 was also a record-breaking year, with over 11.2 trillion cubic feet of gas produced in Texas. Texas played a crucial part in supplying liquified natural gas to Europe in response to Russia invading Ukraine, as 74% of all U.S. exports went to Europe in the first half of 2022. Only 34% of U.S. LNG exports went to Europe during the same period in 2021, meaning the export amount doubled in 2022.