Garrett County and Natural Gas - Risks and Benefits

A selection of categorized links to allow one to assess the risks and benefits of gas development in Garrett Conty.

Garrett County Montage

Employment and Jobs

Links to articles and studies about the number of jobs being created by the development of natural gas

- 1098 - [January 22, 2015] - TribLive | Business - Pittsburgh Tribune & Review, David Conti and Katelyn Ferral - "Shale sector won't gut area workforce"
"Shale gas companies have started dialing back on spending to help offset a sudden drop in prices, but analysts don't expect wide-scale layoffs and shutdowns in Appalachia like those prompted in other areas by the oil crash
Gas drillers say they learned how to produce huge amounts of gas more cheaply from the Marcellus shale when prices dropped in 2012 and can cut costs while increasing production"
- 1144 - [August 17, 2012] - Canon-Mcmillan Patch, Jesse White - "Why Aren’t There More Marcellus Shale Jobs for PA Workers?"
"According to the police report, the vehicle, which was loaded with seismic testing equipment, was used by “five Hispanic males who all spoke broken English” employed by Dawson Geophysical Company. One of the men had just recently turned 17 years old.
But the police report in the Dawson incident listed addresses in Texas, New Mexico and Nebraska for the five men involved; none gave a Pennsylvania address. This, coupled with the constant stories from constituents, including many who work in the natural gas industry but are afraid to speak up for fear of losing their jobs, should make us question if we really are getting all of the local jobs Range is promising."
- 1174 - [January 26, 2015] - Marcellus.com, Katelyn Ferral | The Pittsburgh Tribune-Review - "Energy companies vie for experienced workers with skills in high demand."
"Specialized, experienced engineers are becoming a tough get in Western Pennsylvania as the gas drilling industry outpaces the growth of an experienced talent pool.
Stock awards, sign-on bonuses, unlimited vacation and travel stipends are increasingly becoming necessary for companies looking to attract top candidates, recruiters say.
“Especially with people like myself, the technical experts, they’re having to basically pull those people out of the Texas markets to get them out to Pittsburgh,” said Charles Hager, a hydraulic fracturing expert and 25-year engineering veteran."
- 1198 - [January 28, 2014] - The Columbus Dispatch, Spencer Hunt & Dan Gearino - "Fracking& So where’s the economic boom that was promised?"
"Rich Moore had never heard of fracking or Utica shale until his union posted a job opening in September.
Moore is one of thousands of transient workers who live in campers, motels and apartments in shale country.
They’re here to drill and frack the Utica shale, as well as build the pipelines and processing plants that connect natural gas to businesses and houses. The demand for skilled labor has brought people from as far away as Texas and Florida to Harrison, Carroll and other eastern Ohio counties.
But out-of-state workers weren’t among the economic benefits touted by politicians and industry leaders who predicted that shale drilling would create a much-needed infusion of jobs and cash in Appalachian Ohio.
A debate over job creation and the economic benefits of eastern Ohio’s Utica shale boom has continued unresolved since drilling and fracking began in late 2010."
- 1201 - [January 27, 2015] - The Conversation, Susan Christopherson - "The false promise of fracking and local jobs"
"During the past five years, I’ve researched and written about the economic impacts of fracking and, as a long-time resident of New York, I have observed its fractious politics. What I’ve found is that most people, including politicians and people in the media, assume that fracking creates thousands of good jobs.
But opening the door to fracking doesn’t lead to the across-the-board economic boon most people assume. We need to consider where oil and gas industry jobs are created and who benefits from the considerable investments that make shale development possible. A look at the job numbers gives us a much better idea of what kind of economic boost comes with fracking, how its economic benefits are distributed and why both can be easily misunderstood."
- 1220 - [January 27, 2015] - The Conversation - US Pilot, Susan Christopherson - "The false promise of fracking and local jobs"
"During the past five years, I’ve researched and written about the economic impacts of fracking and, as a long-time resident of New York, I have observed its fractious politics. What I’ve found is that most people, including politicians and people in the media, assume that fracking creates thousands of good jobs.
But opening the door to fracking doesn’t lead to the across-the-board economic boon most people assume. We need to consider where oil and gas industry jobs are created and who benefits from the considerable investments that make shale development possible.
... the core of oil and gas employment constitutes only one half of one percent of total US private sector employment."
- 1221 - [November 2013] - Multi-State Shale Research Collaborative, Frank Mauro, Michael Wood, Michele Mattingly, Mark Price, Stephen Herzenberg, Sharon Ward - "Exaggerating the Employment Impacts of Shale Drilling: How and Why."
"Over the last five years, firms with an economic interest in the expansion of drilling in the Marcellus and Utica shale formations — and their allies, supporters, and trade associations — have used a variety of tools and techniques to exaggerate the employment impacts of shale drilling. These strategies have ranged from the use of inappropriate measures, such as data on new hires, to represent job growth to the misleading attribution of all jobs in “ancillary” industries to the shale industry.
A review of statements by representatives of shale drilling firms and their allies makes the motivation for this exaggeration clear — to preclude, or at least to minimize, taxation, regulation, and even careful examination of shale drilling. "
- 1246 - [Februray 2, 2015] - Bakken.com, DANIEL TYSON | The Register-Herald, Beckley, W.Va. - "Pipelines remain big news"
"With the looming presidential veto of the Keystone XL Pipeline, which would transport gas 1,179 miles from Canada to the Gulf of Mexico, talk of jobs, energy independence and the environment has consumed hours of television airtime and barrels of ink and rolls of paper.
In West Virginia, at least four natural gas transmission pipelines are being discussed for development, and talks — whether political or kitchen table — are mirroring the national dialogue: Those for and against them are speaking of jobs, energy independence and the environment.
Two transmission pipelines have held or are in the midst of holding public hearings, the beginning step — also a federal requirement — to construction.
A report EQT issued in early December stated thousands of local jobs should be created by 2017, the height of the construction phase of the pipeline. When it is completed sometime after 2018, that number will nosedive to fewer than 70, states the report, completed by FTI Consulting Inc."
- 1340 - [February 12, 2015] - Northcentral PA.com, By Feed: News from Marcellus Shale Coalition in Gas Industry - "New Energy Taxes Threaten Local Shale Benefits, Small Businesses & Labor Jobs"
"Yesterday, Gov. Tom Wolf formally rolled out his new energy tax proposal, which has been described as “outrageously onerous” and “a race to the bottom.”"
- 1401 - [NA] - Quartz, Steve Levine - "None of shale’s boosters told us what would happen to jobs when the energy bubble burst"
"Over the last couple of years, Wall Street analysts, energy experts, consultants, and journalists have fallen over one another creating new superlatives to describe the impact of the US shale boom. It was producing a “manufacturing renaissance” in the US, would “supercharge the US economy,” and was generating a veritable “shale gale.”
And indeed, we saw the jobs picture brighten dramatically in North Dakota, in Texas, and elsewhere. But what none of the forecasters said was that shale had created a price bubble that, when the air went out, would cost thousands of oil workers their jobs—not only in shale, and not only in the United States."
- 1522 - [March 17, 2015] - PowerSource - Pittsburgh Post-Gazette, Sharon Cohen / AP National Writer - "You can go home: Returnees to ND oil boom town here to stay"
"Before oil tanker trucks rumbled down the roads at all hours, this town was so quiet that Erin White rode her horse to a deserted Main Street one night. Back then, this was a dusty hamlet with few prospects for a future.
Like many teens, White didn’t expect to be back after college. She and her husband, Lange, settled in eastern Colorado. But when his temporary stint as an airplane mechanic ended, he needed work. White’s parents weighed in: There were lots of oil jobs back home.
Within two days, White’s husband had one. She found work soon after they returned to her family’s ranch 40 miles from town, joining a reverse migration that was unthinkable a decade ago. The discovery of crude oil here has been a powerful population magnet, not just bringing hordes of outsiders to the Bakken but luring back others who’ve discovered that, yes, they can go home again"
- 1552 - [NA] - Bakken.com, Maureen McMullen | Shale Plays Media - "Wait— How many jobs cut?"
"At this point in the oil slump, dreaded jobs cuts hardly come as a surprise anymore; this week, Talisman Energy let go of 200 employees while Neven energy cut 400. But how many total American jobs have low oil prices cost? A recent Forbes article estimates at least 75,000—about 12 percent of the nation’s oil and gas workforce—so far.
According to the article, America’s shrinking rig count dwindled by more than 700 rigs in just one year, with an estimated 40 jobs lost per rig closure. The greatest losses, however, have been suffered by oilfield services companies, whose job cuts totaled 59,000; Halliburton cut 6,600, Baker Hughes cut 7,000, Weatherford cut 8,000, and Schlumberger topped the list with 9,000 job cuts."
- 1589 - [January 22, 2015] - EnergyInDepth - Marcellus, Joe Massaro - "Study: Marcellus Shale a "Strong Engine of Job Growth""
"The school of Labor and Employment Relations at the Univ. of Illinois at Urbana-Champaign recently published a report, which puts the spotlight on how the Marcellus Shale has fueled significant job growth.
The new report is a retrospective analysis of natural gas/Marcellus Shale employment data from 2008-2014 in parts of Ohio, Pennsylvania, Maryland and West Virginia. According to the study:
“A preliminary examination of employment data in states related to the Marcellus Shale Play reveals that natural gas exploration has been a strong engine of job growth.”(p. 8; emphasis added)"
- 1635 - [November 1, 2014] - Mountaineer News Service - WVU Reed College of Media, Trent Cunningham, Noelle Harris and Anthony Pecoraro - "Local job creation from natural gas boom not meeting expectations"
"In October 2013, West Virginia Governor Earl Ray Tomblin’s administration announced to state lawmakers that the natural gas drilling in the Marcellus Shale field is continuing to have a positive impact on West Virginia’s economy. State officials have also trumpeted U.S. Chamber of Commerce predictions that the Marcellus Shale gas boom would create 30,000 West Virginia jobs by 2020 and 58,000 jobs by 2035.
The projected jobs boost, however, has thus far not lived up to expectations."
- 1653 - [Julu 2011] - Marcellus Protest, Claudia Detweiler - "Marcellus Shale" Asking Tough Questions of the Oil and Gas Companies"
"Employment Benefits: What’s up with job creation studies?
In a depressed economy, trumpeted promises of jobs and economic benefits of Marcellus Shale drilling are unbeatable as a way of defusing critical review of a proposed exploitation of a resource. Urgent concerns about individual, environmental, and community health take a back seat to industry hype about an economic boom."
- 1655 - [April 26, 2012] - Brookings, Michael Greenstone and Adam Looney - "The Role of Oil and Gas in Driving Job Growth"
"Today's employment report suggested slowing employment gains and is sure to disappoint observers hoping for greater strength in the labor market. Employers added just 69,000 jobs in May and estimates of job gains in March and April were revised lower. In addition, the unemployment rate ticked up from 8.1 percent in April to 8.2 percent in May. On top of the 12.7 million unemployed, according to the Bureau of Labor Statistics, there are approximately 2.4 million people not in the labor force who want to work, and have looked for a job sometime in the prior 12 months."
- 1656 - [June 1, 2012] - Reuters, Joan Gralla - "Gas-rich states lose fracking lottery"
"While Pennsylvania, northwestern Louisiana and gas-rich areas around the Gulf of Mexico are losing jobs and revenue as the fracking industry shrinks after a price collapse, oil-rich North Dakota and Texas are in the midst of a boom.
Other winners in the fracking lottery include central and southern Louisiana, Mississippi, Ohio and Wyoming, where the economy is expanding and revenues are climbing.
As oil prices are expected to stay around $100 a barrel for at least a couple of years, the success of these states may last longer. But the high volatility of energy prices may give local economies a headache."
- 1657 - [May 14, 2012] - GDACC - Gas Drilling Awareness for Cortland County, NA - "Jannette Barth on Economics of Fracking, renewables and fossil fuels"
"Recently, various reports have confirmed the analyses of various independent economists, including Jannette Barth, Ph.D., which have suggested that the economic gains from fracking are industry-contrived and short-lived. Letter to Governor Cuomo from Three Concerned Economists, Dr. Barth, a Catskill homeowner and former chief economist for the M.T.A. has criticized the overly-optimistic forecasts, contending that the models are flawed and the data incomplete, at best. "
- 1666 - [April 10, 2015] - The Republican Editorials, Richard Abradi - "For a clean environment, jobs and financial stability, natural gas strikes right balance: Guest viewpoint"
"As our economy begins to rebound from the worst economic downturn since the Great Depression, it is important to understand that one of the primary costs to manufacturing businesses is the cost of energy. Manufacturing in this country began in New England and the Northeast by taking full advantage of our many rivers. If manufacturing is to remain a feature of our economy and provide good jobs for our workers, it is critical that our region has access to cheap energy, just as it was critical 200 years ago."
- 1685 - [April 13, 2015] - CNBC, REUTERS - "UPDATE 2-Schlumberger to cut 11,000 more jobs"
"Schlumberger Ltd said it would cut a further 11,000 jobs and reduced its capital spending plan for this year as the world's No.1 oilfield services provider prepares for an extended period of lower activity and pricing pressure, especially in North America."
- 1717 - [July 2014] - CNBC, Tom DiChristopher | CNBC - "Oil layoffs could come back to haunt the industry"
"The fall to six-year lows in oil prices has been swift and unexpected. The pace of energy sector layoffs in recent weeks has been similarly quick, if not so surprising.
Job cuts are inevitable as oil and gas companies watch commodity prices tumble, but layoffs today could have significant ramifications for the sector tomorrow. For a variety of reasons specific to the industry, energy companies could find themselves in a situation later where skilled workers are hard to replace."
- 1758 - [Sptember 25, 2014] - arvard Business School and Harvard University Department of Economics, Thomas R. Covert - "Experiential and Social Learning in Firms: The Case of Hydraulic Fracturing in the Bakken Shale JOB MARKET PAPER"
"Learning how to utilize new technologies is a key step in innovation, yet little is known about how firms actually learn. This paper examines firms' learning behavior using data on their operational choices, prfits, and information sets. I study companies using hydraulic fracturing in North Dakota's Bakken Shale formation, where firms must learn the relationship between fracking input use and oil production. Using a new dataset that covers every well since the introduction of fracking to this formation, I find that firms made more pro table input choices over time, but did so slowly and incompletely, only capturing 67% of possible profits from fracking at the end of 2011."
- 1949 - [June 8, 2015] - The Washington Post, Jim Tankersley - "After plunge in oil prices, hope fades for group of long-beleaguered workers"
"The industry, after all, had offered the rare prospect of good-paying jobs to American men with no education beyond high school — men who spent two decades seeing economic opportunities battered by the twin forces of globalization and factory automation. Now, for many of these men, that prospect is fading.
“They’re going to have to take lower-paying jobs,” said Lynn Gray, director of economic research and analysis for the Oklahoma Economics Security Commission. “There’s going to be very few opportunities paying anywhere near what they’re making. That’s beginning to dawn on them.""
The plunge in oil prices has knocked more than half of the country’s oil and gas rigs offline, as companies shut down wells that can’t turn a profit at prices this low. Since November, 44,000 jobs in oil and gas drilling or supporting industries have vanished, according to the ADP Research Institute, which tracks private payrolls nationwide. Most were concentrated in the West and the South."