Workers with Shebester-Bechtel at an American Energy Woodford rig site in Payne County, Okla.
Tax revenues from oil and natural gas production in March dropped to their lowest level since September 2002, a collapse that’s driving a slide in total revenues used to fund state government, new data show.
Total collections in March 2015 were almost $28 million less than last year, State Treasurer Ken Miller said Monday when the new numbers were released. The period reflected in the data is based on a January average oil price of $47.66 a barrel — now above $51 — and, despite a rash of recent layoffs, the state’s energy industry might soon rebound, The Oklahoman‘s Rick Green reports:
Miller said that he met with Continental Resources Chairman and CEO Harold Hamm and Devon Executive Chairman Larry Nichols and both predicted oil prices would rebound next year.
A prospective deal with Iran to lift some international sanctions could lead to more crude oil on the market, further clouding the picture for the oil industry, but Miller said the ramp-up time for such production means that this would not be an immediate concern.
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