Fact Brief

Has North Dakota experienced an economic boom through fracking in the last 25 years?

$Has North Dakota experienced an economic boom through fracking in the last 25 years?$

Yes.

North Dakota has experienced a significant economic boom tied to hydraulic fracturing and development of the Bakken Formation over the past 25 years.

The North Dakota News Cooperative is partnering with Gigafact to produce timely fact briefs, which are quick, evidence-based fact checks about trending claims relevant to North Dakota.

Advances in horizontal drilling and hydraulic fracturing beginning in the mid-to-late 2000s drove rapid growth in oil production, making North Dakota one of the nation’s top oil-producing states by the early 2010s.

The expansion contributed to low unemployment, higher wages in energy-producing regions, population growth in western communities, and major increases in state revenue. Oil and gas taxes and royalties generated billions of dollars for public use, supporting infrastructure, education, tax relief, and the state’s Legacy Fund.

State and academic research shows the oil and gas sector has produced tens of billions of dollars in annual economic activity and supported tens of thousands of direct and indirect jobs.

While production and drilling activity fluctuate with global oil prices and some companies have paused new drilling, oil and gas development remains a central driver of North Dakota’s economy.

This fact brief is responsive to conversations such as this one.

Sources:

Wikipedia: North Dakota oil boom

Office of the Governor of North Dakota: Studies underscore oil and gas industry’s significant impact on North Dakota’s economy and communities

Office of the Governor of North Dakota: Armstrong helps highlight study showing positive economic impact of oil and gas industry in ND

North Dakota State University: NDSU researcher highlights oil and gas industry’s $48.8 billion economic impact

Federal Reserve Bank of Minneapolis: The Bakken Oil Patch

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