By Kalu Emmanuel Chidubem
The US energy sector is seeing significant increases in support activities for mining.
While mining employment remained relatively unchanged for the month of September (oil and gas extraction declined by 500 jobs), support activities for mining (which includes oilfield services) gained 6,000 jobs, according to data released Oct. 5 from the U.S. Bureau of Labor Statistics.
This makes an addition of 53,000 jobs in support activities for mining this year.
August’s jobs report showed an increase of 6,300 support jobs.
Despite the gains in support activities, optimism in the oilfield service sector is waning.
The Dallas Fed’s third quarter energy survey released earlier this week looks at the business activity index for E&P companies and oilfield service companies in Texas, northern Louisiana and southern New Mexico.
The index dropped from 54.2 in second quarter to 45.9 in the third quarter.
Dallas Fed’s senior economist Michael D. Plante said results of the energy survey point to a “modest deceleration” in the oilfield service sector.
