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Turnaround continues for Texas oil producers

Eddie Seal
/
San Antonio Express News

Texas oil production is on an upward trend, reports the San Antonio Express News, and oil and gas producers in the Lone Star State are hoping the upswing will continue into 2017.

Oil and gas prices have experienced a nationwide resurgence in the wake of OPEC’s November decision to curb production. And now, over half of the firms that responded to a quarterly energy survey by the Federal Reserve Bank of Dallas reported increased business activity. Just under half also reported rising expenditures.

Compare that with a year ago, when over half of Texas producers said business was declining and 60 percent were reducing capital expenditures.

Despite the turnaround, almost 60 percent of respondents said they doubted OPEC’s commitment to ramping down production would be enforced.