The Roaring ‘20s were a time of unprecedented economic prosperity in America. A century has since passed. Can Louisiana and its oil and gas industry experience roaring economic prosperity once more?
Let’s take a look. One hundred years later, our nation’s economy is booming. Unemployment is at record lows, the stock market is at record highs, and it seems that everywhere you look, President Donald Trump’s business acumen has acted like a shot of adrenaline for America, writes Louisiana Oil & Gas Association President Gifford Briggs in a special column for 10/12 Industry Report.
Energy producers are no exception. Reforms of rules and regulations that had previously hindered industry growth have expanded offshore drilling, streamlined the pipeline permitting process, and made the U.S. an oil and gas powerhouse once again. But is that federal leadership enough to usher in a roaring ‘20s decade for our state?
Considering our natural blessings, we are well-positioned for prosperity. Louisiana’s trifecta of oil and gas assets are a case in point. First is Louisiana’s natural gas giant: The Haynesville Shale. Recently Louisiana’s northwest formation had the second-highest new-well gas production per rig in the nation. Our abundant resources don’t stop there—we are also home to assets in the Gulf of Mexico and vast resources ready to be tapped in south Louisiana.
Secondly, the Bayou State has a strong and expansive pipeline infrastructure. Pipelines are the safest, most secure way to transport product across vast distances. New York is now facing pricing, employment, and development woes simply because they do not have the pipeline capacity or willingness to move resources.
Finally, our LNG export capacity is a strength unique to our state: instead of simply refining natural gas, we now liquefy and export it all over the globe. LSU’s Center for Energy Studies estimates that Louisiana’s LNG projects could total nearly $100 billion in capital investment, potentially ushering in 20,000 construction jobs and 1,500 full-time jobs at Louisiana terminals once completed. Read Brigg’s full opinion piece about the future of Louisiana’s oil and gas industry.
