More cost effective than petroleum-base fuel for end users and producers alike…
End users: You only need to go to the gas pump to see the benefits of purchasing a CNG vehicle – the average cost of a gas gallon equivalent of CNG is $2.00/gallon. Natural gas is a cheap commodity in comparison to oil, which makes producing, selling, and using CNG cost effective from any aspect. “O” Ring CNG Fuel Systems can help you realize the benefits as either a NGV operator or CNG producer and fuel station. Contact us to find out how!
Producers: In fact, the average cost of developing one MMBtu of gas from shale reservoirs is about $4, while the average cost of developing one MMBtu of oil from shale is two to three times that amount. Natural gas is still a bargain compared to oil at $30 per barrel. It is clear that it is much cheaper to produce gas than oil using horizontal drilling and hydraulic fracturing.
Good pay for American workers . . .
America’s natural gas exploration and production workers — the men and women on the ground — earn excellent wages, often double the national average. For example, the Pennsylvania Department of Labor reports that natural gas workers in that state earn an average of $73,000 a year.
Those exploration and production jobs help employ other Americans in a variety of businesses — including automobile manufacturing, housing, construction, manufacturing, retail sales and more. The more we continue to promote CNG, the more jobs for our own economy we can help create and keep our hard-earned American dollars within our own borders.
The natural gas industry employs nearly 3 million Americans — and provides a huge economic boost to the American economy. The natural gas industry employs 622,000 people directly and helps create over 2.2 million more American jobs.
1 million new jobs new jobs possible in 7 years from natural gas and oil drilling.
In October 2012, IHS released America’s New Energy Future: The Unconventional Oil and Gas Revolution and the US Economy, which finds that employment related solely to natural gas development is expected to grow from more than 900,000 workers in 2012 to exceed 1.6 million workers by 2020. The report also notes that valued-added contribution to the nation’s gross domestic product made by unconventional natural gas activity is estimated at over $121 billion in 2012, growing to $225 billion in 2020, with revenues to federal, state & local governments forecasted to grow from more than $61 billion in 2012 to $111 billion in 2020. See more on economic contributions in individual states, as well as this related press release from NGSA.
400,000 new jobs possible nationwide from shale natural gas development.
In March, 2011, the American Chemistry Council released a report titled, Shale Gas and New Petrochemicals Investment: Benefits for the Economy, Jobs, and US Manufacturing. It says that a modest increase in natural gas supply from shale deposits would generate more than 400,000 new jobs in the United States, more than $132 billion in U.S. economic output and $4.4 billion in new annual tax revenues.
States earning money from production. . .
In 2007 state governments received $1.1 billion from royalties and other payments from the natural gas and oil industries. In 2008, state governments received over $1.4 billion from natural gas companies. Again, who wouldn’t want to keep those American dollars in the pockets of American workers?
Paying into the Federal Treasury . . .
In 2007, over $2.9 billion non-tax dollars went to the U.S. Treasury from royalties, rents and bonuses from natural gas development and production. In 2008, with higher energy prices, that number more than doubled to more more than $7.2 billion. If we can continue to promote CNG and decrease foreign oil spending, we have a chance to take control of America’s energy future, decrease the Federal deficit, and increase our economic stability as a nation.
CNG is a win-win-win option for producers, sellers, and users – the cost benefits of using an indigenous fuel to produce American energy are undeniable. CNG is the energy of the future.
(*adapted from Naturalgas.org)