AUSTIN, Texas, Oct. 27 (UPI) -- Oil output from Texas, the No. 1 producer in the country, for August, the last full month for which data are available, was higher than last year, data show.
The Railroad Commission of Texas, the state energy regulator, reported preliminary production of crude oil averaged 2.4 million barrels per day, about a half percent higher than the same time last year. So far over the past 12 months, Texas has produced about 1 billion barrels of crude oil.
Crude oil prices have recovered to the point that the economy for the state is showing signs of growth. During the summer, wages for hourly workers dropped below the national average for the first time in four years for Texas. High-wage jobs in the energy sector were vanishing.
A late September survey of business activity from the Federal Reserve Bank of Dallas found support for a general expansive sentiment for energy firms. Those companies tied to the exploration and production side of the energy sector showed contraction, but at a slower pace than previous quarters.
Generally speaking, the Dallas Fed said the oil and gas sector showed signs of recovery during the third quarter, but some companies tied to the industry said they were concerned about the negative pressure on crude oil prices that came as a result of an oversupplied market.
The Texas Railroad Commission also reported slight gains in daily production figures for July.
The Dallas Fed said that, in terms of stock values, there were increases posted for most Texas companies and permits for oil and gas wells increased. Oilfield services company Schlumberger, which has offices in Houston and is the largest company of its kind, said last week the oil market is in balance and recovery is on the way.
Schlumberger services the exploration and production side of the industry. Rig counts, which offer a loose metric to gauge exploration and production activity, moved higher for Texas last week when compared with the previous week, but were still lower year-on-year.