ADVANCING THE POSSIBILITIES
When it comes to job creation and economic growth, oil and natural gas are advancing the possibilities
The oil and gas industry is one of the largest single basic-sector industries in the state, contributing more than $40.2 billion to North Dakota’s economy annually and supporting more than 59,100 jobs and careers in 2019. This economic impact permeates into every industry in North Dakota, ranging from agriculture to professional and social services, supporting local businesses and tax revenues.
DIRECT ECONOMIC IMPACT
Oil and Natural Gas Impact by Sector
Oil and natural gas requires products and services from a multitude of businesses, and its employees spend money in our state and local economies. In addition to the $31.4 billion* contributed through mining, oil and gas reverberates through all other economic sectors, including:
$2.73 billion in manufacturing
$577 million in construction
$754 million in real estate and rental
$914 million in finance and insurance
$278 million in utilities
$549 million in transportation and warehousing
$517 million in wholesale trade
$16 million in health and social services
$645 million in professional, scientific & technical services
$255 million in retail trade
$235 million company management
$173 million accommodation and food service
$199 million in other services
$173 billion in information
$205 million in administrative and waste services
$101 million in government
$34 million in arts, entertainment and recreation
$441 million in educational services
$7 million in ag, forestry, fish and hunting
*According to the study “Petroleum Industry’s Economic Contribution to North Daktoa in 2019,” conducted by the North Dakota State University Department of Agribusiness and Applied Economics and Center for Social Research
Oil and natural gas support jobs in every sector
North Dakota’s oil and natural gas industry doesn’t just support jobs for engineers, geologists and drillers. It supports jobs across a huge variety of fields, from accountants who oversee company financials to loggers who track on-site data, ensuring the drilling operation is running as efficiently as possible. The oil and gas industry accounts for 16.8% of private employment in North Dakota with a $4.5 billion total payroll.
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Enhancing our Energy Security
The oil and natural gas found right here in North Dakota is getting us closer to energy independence, allowing the U.S. to lessen dependence on foreign energy sources. North Dakota produces on average about 1.16 million barrels of oil per day, making it the number two oil producer in the U.S.
North Dakota’s rise as a leader in oil production has helped the country as a whole become the world’s No. 1 producer in both, strengthening the nation’s energy security. In fact, the United States’ reliance on petroleum imports fell from 60% in 2005 to just 3% in 2019—the lowest it’s been since 1954.
Energy security also allow an additional $400 billion to stay in the U.S. economy each year.