Eagle Ford Shale is in an upswing, according to a University of Texas-San Antonio study that delved into the past three years.
Titled "The Economic Impact of Eagle Ford Shale, Business Opportunities and the New Normal," the study indicated the market bottomed out in 2016 and has now turned the corner.
Dr. Thomas Tunstall, Senior Research Director for UTSA's Center for Community and Business Research, released the results of the three-year study during the South Texas Energy & Economic Roundtable. Business leaders were told oil prices in 2017 are higher and rig counts have risen from their lows last year.
After enjoying several years of growth, Eagle Ford Shale declined when oil prices worldwide slumped. It was devastating to South Texas businesses.
Now, with the upswing, one of the biggest winners is the Port of Corpus Christi.
"The Port of Corpus Christi has benefited immensely from Eagle Ford Shale, and that's why you're seeing all these companies locate, is because of the availability of cost effective natural gas," said Omar Garcia of the South Texas Energy & Economic Roundtable.
With a newer, bigger Harbor Bridge on the way, and with the planned deepening of the port channel, the Port is on track to enjoy economic growth for some time to come.
However, when it comes to Eagle Ford Shale, the prosperity will not return to the way it was in the beginning.
While the rate of Eagle Ford Shale growth is expected to be steady, it will not be at the levels of 2011, although the UTSA study reveals "that particular type of growth" will be the new normal for some time to come.