For the state of Virginia, the oil and natural gas industry currently means:

• More than 128,000 statewide jobs provided or supported – with an average salary of $57,281 for non-gas station oil and natural gas employees.
• $6.5 billion contributed to state labor income.
• $11.6 billion contributed to the state’s economy.

With sensible energy development and sound tax policies, here’s what the oil and natural gas industry could mean to Virginia:

• 3,606 additional jobs created by 2015
• 16,401 additional jobs created by 2020
• An average of $77.7 million of new, additional revenue generated by the industry directly to the state every year through 2030. That’s enough to cover more than half of Virginia’s general fund contribution for the University of Virginia every year,... more »

Despite the administration's decision to ban offshore drilling in the Atlantic for at least seven years, many Virginia residents continue to look forward to the time when their portion of the Outer Continental Shelf (OCS) can produce energy as well as bring jobs and revenues to the Commonwealth.

There's no doubt that the economic benefits of offshore development would be welcomed throughout the Commonwealth, including in the seaside community of Norfolk.

A study by ICF International estimates that development in federal waters offshore Virginia could produce more than a half-billion barrels of oil and more than 2.5 trillion cubic feet of natural gas. That much natural gas could heat the equivalent of Virginia's 3.2 million households for more than 11 years. A half-billion barrels of oil i... more »

Interest is rising in a relatively new natural gas discovery called the Utica Shale. It lies beneath the Marcellus Shale and stretches from Canada's Quebec Province through Pennsylvania, eastern Ohio, western Virginia and into West Virginia.

Reuters reports that a few companies have drilled successful test wells that have yielded promising quantities of natural gas. Range Resources Corp. says it will release more details of its test results in coming months. "Even though it's still very early," Matt Pitzarella, a spokesman for Range, told Reuters, "the prospects are very good."

Although the Utica and other shale formations are not expected to contain as much natural gas as the Marcellus formation, Pennsylvania State geologist Terry Engelder says they are attractive to drillers because of... more »

In today's episode, I interview Erik Milito, API's group director of upstream and industry operations, about President Obama's plan to open areas on the Outer Continental Shelf for offshore drilling. Erik says this is a step in the right direction, and explains how opening even more areas offshore could benefit the economy.

Use the audio player below to listen to information about the article and follow along with the show notes. I hope you find the podcast informative.

00:17 Last week, President Obama announced that the United States will open certain areas of the Outer Continental Shelf (OCS) to oil and natural gas development. He explained that the nation will need more oil and natural gas while it develops new fuels for the future. To explain the possible i... more »

Virginia yesterday became the first East Coast state to win approval for the development of offshore oil and natural gas resources.

Gov. Bob McDonnell, who has stated that he wants Virginia to become the "Energy Capital of the East Coast," applauded President Obama's announcement and renewed his call for federal legislation that would allow Virginia to share in the royalties from oil and natural production.

In a statement, the governor said:

"...to fully participate in the positive impact of offshore energy development, the Commonwealth must be included in all royalty and revenue sharing arrangements, in a manner equivalent to what the Gulf Coast states currently receive."

Last week, Rep. Bob Goodlatte (R-VA) introduced legislation with bipartisan support that would provide for offshore... more »