It was a strong second quarter in Midland and Odessa, thanks to recovery in the oil and gas industry.
“We’ve got job growth, we’ve got spending growth, we’ve got record home building, record home sales. This is just an extraordinary set of events.” said Economist Karr Ingham, who authored the Midland-Odessa Regional Economic Index.
After a recession due to lower crude oil prices, said Ingham, the Midland and Odessa economies are on the uptick.
“It’s been a period of growth for six or eight months now in the general Midland-Odessa economy and that growth picked up momentum in the second quarter.”
Ingham said sharp double-digit expansion year-on-year is not something you see everyday.
“Well, you would wonder what in the world is going on out there to drive growth like that, that is really unlike numbers you would see anywhere in any other Texas metro area. Well, that is what’s going on… a sharp oil and gas recovery that’s taking, as I said, the general economy up with it.”
In the Permian Basin, the June rig count has grown nearly 150% compared to last year. Drilling permits are up 77%.
The basin accounts for two thirds of Texas oil and gas production.