Bakken Oil Economy is Settling Down as Oil Prices Recover

The Bakken created an oil boom in North Dakota and eastern Montana for the last several years. Many oil workers and families moved to the region to find work. Now, they no longer have employment as oil prices drop and jobs disappear. The price of oil is still recovering causing some hope for the return of the oil boom. Unemployment and increased crime still remain in the region.

As drilling sites close, there has been some vandalism and damage from workers that retaliate when left without income. Some individuals relocated their families to towns like Williston and Dickinson and now are looking at having to move again.

Employers dislike having to reduce jobs. But, as the manager of Bob's Oil Field Service in Belfield says, it gives them time to work on infrastructure as the price of oil recovers.

Residents of the area are still positive about their local economy. There are people coming into the region and other economic growth. Also, as oil prices stabilize, the Bakken still has plenty of oil available. Peter Elzi, a principal with THKAssociates in Denver reminds people in the Billings Gazette:

"People forget the most valuable oil that an oil company owns is still in the ground. It’s a bank for them. It’s there when prices recover."

The boom in the Bakken not only benefits the economy in North Dakota, but trickles down into the entire region. All businesses and communities affected watch the Bakken and oil prices to see what will come next.

Contact us if you need help resolving any workers compensation issues connected to the oil field industry or in the Bakken area.