March 2014

Minority and Female Employment in the Oil & Gas and Petrochemical Industries

An IHS Report

Prepared for:

 

 

     

Minority  and  Female  Employment  in  the     Oil  &  Gas  and  Petrochemical  Industries  

         

Prepared  for:  

American  Petroleum  Institute  

 

         

By:   IHS  Global  Inc.  

1150  Connecticut  Ave,  NW,  Suite  401   Washington,  D.C.  20036  

         

March  2014    

 

 

CONTACT INFORMATION JAMES  GILLULA   Managing  Director,  Consulting  Services   1150  Connecticut  Ave.,  NW,  Suite  401   Washington,  DC  20036   +1  202-­‐481-­‐9217   james.gillula@ihs.com   RICHARD  FULLENBAUM   Vice  President,  Consulting  Services   1150  Connecticut  Ave.,  NW    Suite  401   Washington,  DC  20036   +1  202-­‐481-­‐9212   richard.fullenbaum@ihsglobalinsight.com      

 

 

TABLE  OF  CONTENTS     EXECUTIVE SUMMARY ................................................................................................... 1   TOP OCCUPATIONS IN THE OIL & GAS AND RELATED INDUSTRIES ...................... 5   I. INTRODUCTION ........................................................................................................... 6   II. SOURCES AND METHODS OF EMPLOYMENT ESTIMATES .................................. 8  

DEFINITION OF INDUSTRY SEGMENTS ............................................................................................. 8   1. Upstream Oil and Gas Industry ......................................................................................................... 9   2. Midstream Oil and Gas Industry ....................................................................................................... 9   3. Downstream Oil and Gas Industry .................................................................................................. 10   4. Petrochemical Industry .................................................................................................................... 10   5. Capital Investment in the Petrochemical Industry ........................................................................... 11   6. Capital Investment in Oil & Gas Industry Transportation and Storage Infrastructure .................. 12  

OCCUPATIONAL CATEGORIES ...................................................................................................... 13   TRENDS IN MINORITY EMPLOYMENT GROWTH .............................................................................. 14   TRENDS IN FEMALE EMPLOYMENT ............................................................................................... 14   REPLACEMENT EMPLOYMENT ...................................................................................................... 17   DEFINITION OF REGIONS ............................................................................................................. 17  

III. MINORITY AND FEMALE EMPLOYMENT IN THE OIL & GAS AND PETROCHEMICAL INDUSTRIES IN 2010 ..................................................................... 19  

EMPLOYMENT BY INDUSTRY ........................................................................................................ 19   EMPLOYMENT BY GENDER .......................................................................................................... 20   EMPLOYMENT BY OCCUPATION .................................................................................................... 21   EMPLOYMENT BY REGION ........................................................................................................... 26  

IV.   ESTIMATED MINORITY AND FEMALE JOB GAINS TO 2030 IN THE OIL & GAS AND PETROCHEMICAL INDUSTRIES .......................................................................... 30  

OIL & GAS AND PETROCHEMICAL INDUSTRY OPERATIONS ............................................................. 32   REPLACEMENT EMPLOYMENT ...................................................................................................... 39   BASELINE PLUS REPLACEMENT EMPLOYMENT .............................................................................. 41   EMPLOYMENT IMPACTS OF CAPITAL INVESTMENT ......................................................................... 43   PRO-DEVELOPMENT POLICY FOR THE UPSTREAM OIL AND GAS INDUSTRY ..................................... 46  

V. SUMMARY .................................................................................................................. 47   APPENDIX A. UPSTREAM OIL & GAS INDUSTRY ..................................................... 49   APPENDIX B. MIDSTREAM OIL & GAS INDUSTRY ................................................... 56   APPENDIX C. DOWNSTREAM OIL & GAS INDUSTRY .............................................. 59   APPENDIX D. PETROCHEMICAL INDUSTRY ............................................................. 62   APPENDIX E. CAPITAL INVESTMENT IN OIL & GAS INDUSTRY INFRASTRUCTURE ....................................................................................................... 65   APPENDIX F. CAPITAL INVESTMENT IN THE PETROCHEMICAL INDUSTRY ........ 68   APPENDIX G. SELECTED OCCUPATION DESCRIPTIONS ....................................... 70  

     

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  DISCLAIMER:  THE  EMPLOYMENT  PROJECTIONS  ESTIMATED  HEREIN  ARE  BASED  UPON  PUBLIC  DATA  AND   IHS  GLOBAL  INSIGHT  DATA  AND  MODELS  AND  CONFORM  TO  ESTABLISHED  METHODOLOGY  CONSISTENT  

WITH   STANDARD   INDUSTRY   PRACTICES.     ALL   RESULTS   AND   OBSERVATIONS   ARE   BASED   UPON   INFORMATION   AVAILABLE   AT   THE   TIME   OF   THIS   REPORT.   TO   THE   EXTENT   THAT   ADDITIONAL   INFORMATION  BECOMES  AVAILABLE  OR  THE  FACTORS  UPON  WHICH  OUR  ANALYSIS  IS  BASED  CHANGE,   OUR  RESULTS  COULD  BE  SUBSEQUENTLY  AFFECTED.  NO  EXPRESS  GUARANTEE  OF  EMPLOYMENT,  EITHER   DIRECT  OR  INDIRECT,  IS  IMPLIED  BY  THESE  FORECASTS.  

 

1    

Executive Summary

This   report   examines   the   employment   outlook   of   African   American   and   Hispanic   workers   and   employment   by   gender   in   the   oil   and   natural   gas   and   petrochemical   industries  over  the  period  2010  to  2030.  Four  types  of  job  opportunities  are  considered:  

• New   jobs   that   are   projected   to   be   created   under   a   baseline   forecast   of   the   expected  growth  of  these  industries,  

• Job  opportunities  that  will  likely  be  created  due  to  the  need  to  replace  workers   who  retire  or  otherwise  leave  these  industries  over  this  period,    

• Jobs  created  by  projected  capital   investment   in   the   transportation  and  storage   infrastructure  of  the  oil  &  gas  industry  and  in  the  petrochemical  industry,  and  

• Jobs  that  would  be  created  under  a  scenario  for  more  accelerated  development   of  the  upstream  oil  and  gas  industry.  

  The   report   first   presents   data   on   employment   by   occupation,   race/ethnicity,   gender,   and   region   in   the   upstream,   midstream   and   downstream   segments   of   the   oil   &   gas   industry   and   in   the   petrochemical   industry   in   the   base   year   of   our   forecast   period   (2010).1  Principal  findings  of  this  analysis  are  as  follows:  

• The  three  segments  of  the  U.S.  oil  &  gas  industry  and  the  petrochemical  industry   together  employed  a  total  of  1.2  million  people  in  2010.        

• The  upstream  segment,  with  employment  of  721  thousand,  accounted  for  60%   of  the  total,  followed  by  the  downstream  segment  with  23%.          

• African   American   workers   held   98   thousand   jobs   in   these   industries   in   2010,   accounting