Texas’ direct upstream natural gas and oil industry job count was 194,900 in June, translating into a 6,100-job gain from May, the Texas Independent Producers and Royalty Owners Association (TIPRO) reported last week.

“As expected, the dip in May upstream employment appeared to be an anomaly, and June numbers reflect continued demand for talent and increasing exploration and production activities in the Texas oil and natural gas industry,” said TIPRO’s President Ed Longanecker.

TIPRO, which obtains its employment data from the U.S. Bureau of Labor Statistics, also noted that Texas’ June upstream job count represents a 31,000 year/year increase. The oilfield services (OFS) sector accounted for 22,700 of those new jobs, with the remaining 8,300 ascribed to oil and gas extraction, the trade group added.

[Decision Maker: A real-time news service focused on the North American natural gas and LNG markets, NGI’s All News Access is the industry’s go-to resource for need-to-know information. Learn more.]

The 31,000-job gain occurred in tandem with a 55% year/year increase in statewide drilling permits issued by the Railroad Commission of Texas.

TIPRO reported that the Houston metropolitan area, Texas’ largest region for oil and gas employment, added 2,000 upstream jobs from May to June to hit 67,000 direct positions. 

The trade group noted the June Houston metro upstream job count reflects a 10,000-position year/year increase, with 5,600 of those jobs in OFS and 4,400 in extraction-related roles.

BKR In The Lead

OFS companies accounted for the top three spots in TIPRO’s June ranking of unique job postings statewide. Taking the lead was OFS giant Baker Hughes Co. (BKR) with 1,073 listings, followed by KBR Inc. with 490 and Halliburton Co. with 436.

“Of the top 10 companies listed by unique job postings last month, six companies were in the services sector, followed by two companies in midstream and two in oil and natural gas extracting,” said TIPRO.

Statewide, the organization observed 12,391 active unique job postings across Texas’ upstream, midstream and downstream oil and gas sectors in June – up 6% month/month.

The top three cities by number of listings were Houston, with 4,594 postings, and Permian Basin hubs Midland (1,199) and Odessa (520), TIPRO said.

The association, which analyzes Texas’ oil and gas industry across 14 specific sectors, said support activities for oil and gas operations showed 3,247 unique job listings in June – the most for any category. Oil and gas field machinery and equipment took the second-highest spot with 1,547 postings, followed by crude petroleum extraction with 1,431 listings.

June’s most commonly listed industry occupation was heavy tractor-trailer truck driver, with 627 postings, TIPRO said. Software developers and software quality assurance analysts and testers took second place, with 335 listings, followed by personal service managers with 313. 

Since hitting a low point in September 2020, Texas upstream employment has added 37,900 jobs at an average rate of 1,805 jobs/month, noted the Texas Oil and Gas Association (TXOGA).

“The Texas oil and natural gas industry continues to respond to meet the energy needs of Americans and allies across the globe,” said TXOGA’s President Todd Staples. “Demand for oil is forecasted to continue growing in 2022 and into 2023, so our nation must support certainty and consistent opportunities for domestic production, pipelines and processing of the products our nation and the world depend upon.”

Texas’ upstream direct employment increase last month broke the previous state record of 5,600 jobs gained month/month in June 2011, TXOGA added.

June’s 6,100-job upstream increase also represents a 7% share of the 82,500 total nonfarm jobs gained statewide that the Texas Workforce Commission (TWC) reported for the month.

“Texas set a new all-time employment record in June by adding 82,500 jobs, the highest monthly jobs increase this year,” said TWC’s Chairman Bryan Daniel. 

According to TWC, Texas’ June nonfarm employment count of about 13.4 million jobs reflects a 778,700-position gain year/year.

Texas’ total civilian labor force exceeds 14.5 million people, and the state’s seasonally adjusted unemployment rate for June was 4.1%, reported TWC.