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Texas oil...it's a gusher

ketk
News

POSTED: Thursday, July 11, 2013 - 7:04pm

UPDATED: Saturday, July 13, 2013 - 10:54am

Texas old timers know, the oil business can be feast or famine.

Right now though, Texas is feasting on an oil boom that is the best in almost three decades.

The first written account of oil in Texas was 1534 when a Spanish explorer saw it floating in Galveston Bay.
300 years later in 1894, a water drilling company accidently struck oil near Corsicana and 5 years later, Magnolia Oil opened a refinery there.

Then in 1902 came the Spindletop strike near Beaumont. It was the beginning of the Texas oil industry and companies that are now household names like Texaco and Exxon. And for the state it has been boom or bust, but right now, it’s boom.

Just a few years ago, many were predicting that oil production had peaked, and we were on the downside of the production bell curve. But new techniques have doubled Texas oil output in less than 3 years.

If Texas were a member of OPEC, we would rank in the top 15 countries with Kuwait, Venezuela or Nigeria.
Texas production in the Spring reached a level not seen since 1984. More than a third of the 221 million barrels of crude produced in the US in April came from the Lone Star State.

The state is reaping huge profits from the industry, and as the BP spill proved, facing some huge risks.
But for the state of Texas, nearly 2 million jobs and billions of dollars in royalties make the risk worthwhile.

Comments News Comments

Check my story tonight on the price of gasoline. We don't get to keep our oil here in Texas. It goes onto the world market just like oil from everywhere else. The traders on the Chicago Mercantile have more influence on the price of oil than Washington right now.

If this written account is true and we are knee deep in oil in Texas like it says how come the price of gas just keeps going up and up.? Heck, we make the gas right here in our own backyard. Are we selling the gas overseas to keep the price jacked up here or what ? I travel around the country some and most of the time fuel is cheaper in other states then right here where we make it. Something going on is not right. Anyone care to step up and explain why we get the short end of the stick in TX?

Because our government is in the pocket of the oil companies. $237 million buys a lot of politicians. They pay 19 cents in Venezuela, 38 cents in Nigeria, 65 cents in Egypt, 78 cents in Kuwait. and 91 cents in Saudi Arabia. Here's a link on world gas prices.

http://money.cnn.com/pf/features/lists/global_gasprices/

Actually each citizen in Texas should get a royalty check every year the way they do in Alaska.

Old Grey Dude forgets to mention the ad valorum tax every well generates to the county. Taxed just as your home or business this is how local taxing authorities get their hooks into the boom.

Oil? Not if Obama has his way!

Truth to power and I sure wish we had some change.

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