The Strategist

US shale companies to invest $ 100 million in New Mexico and Texas

11/19/2018 - 14:19

Business will allocate funds to solve problems of health, education and civil infrastructure in regions experiencing a "shale boom."

US shale companies to invest $ 100 million in New Mexico and Texas
More than a dozen mining companies agreed to help the US states where the shale boom is taking place. According to Reuters, among them are Chevron, EOG Resources, Exxon Mobil and Royal Dutch Shell. They are part of a consortium that supports the Permian strategic partnership.

According to the agency, the funds will be used to address the shortage of labor and housing, as well as road congestion caused by companies operating in the Permian Basin, the country's largest oil field, where billions of dollars in oil and gas are planned for the next few decades.

"This is a significant amount of money, but it is also a huge problem," commented Don Evans, the former US Secretary of Commerce. “We do not have enough teachers. We do not have enough doctors,” he added.

The consortium will work with regional and federal officials, as well as non-profit groups, companies and educators in Texas and New Mexico.

Now the group is making plans to hold meetings in communities throughout the region, so "everyone has a voice." However, while there is no schedule or plan for the expenditure of the initial payment.

In the past decade, the region’s numerous oil reserves and low production costs have led to the real gold rush in the Permian Basin. According to the US Energy Information Administration, companies are investing in personnel and equipment at oil fields, which are expected to produce 3.7 million barrels of oil per day by December, which is four times higher than in 2010.