The oil and gas industry in North Dakota has nearly 20,000 jobs, with an economic impact of more than $1.6 billion in wages and more than $4.3 billion in output in 2014, according to a new study from the Western Energy Alliance, a nonprofit trade association based in Denver that represents more than 480 companies.
The study covers direct economic impact of the oil and gas industry, and supplier and induced economic impact (i.e. construction, manufacturing, transportation, etc.).
The Employs America economic model, developed by John Dunham & Associates, an economics firm, shows the western oil and natural gas exploration and production industry in 13 western states, including North Dakota, is generating $84.3 billion in economic impact across the nation in 2014.
The figures are up from $51 billion in economic impact in 2012, according to the Western Energy Alliance.
“The western E&P sector provides $20.7 billion in wages to working families across the country and nearly $17 billion in taxes annually, making it a critical source of revenue to local, state and federal governments,” the association said.
Tim Wigley, president of Western Energy Alliance, said the recent update shows how oil and natural gas production has increased dramatically across the West, “delivering huge economic benefits to communities across the country.”