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Energy Capital of the World Home > Energy Capital of the World


One-third of Exxon’s campus in Springwoods Village is now up and running


Energy

Houston known as a world capital of the oil and gas industry with over 5000 energy firms doing business in the region. Historically, Houston has had several growth spurts (and some devastating economic recessions) related to the oil industry. The discovery of oil near Houston in 1901 led to its first growth spurt — by the 1920s, Houston had grown to almost 140,000 people. The city is a leading domestic and international center for virtually every segment of the oil and gas industry - exploration, production, transmission, marketing, service, supply, offshore drilling, and technology. Houston dominates U.S. oil and gas exploration and production. The city remains unrivaled as a center for the American energy industry. In January 2005, the Houston Primary Metropolitan Statistical Areas (PMSA) accounted for: 31% of all U.S. jobs in oil and gas extraction (38,300 of 123,400), and 14% of all U.S. jobs in support activities for mining (28,100 of 200,900). Houston is headquarters for 17 energy-related Fortune 500 companies and is home to more than 3,600 energy-related establishments. Houston is home to 13 of the nation’s 20 largest natural gas transmission companies, 600 exploration and production firms and more than 170 pipeline operators.


The Offshore Technology Conference held yearly in Houston presents the latest exploration and development technology in the energy industry to more than 50,000 attendees.


Houston is a member of the World Energy Cities Partnership, a collaboration between 13 energy focused cities around the world.


Mining which includes mostly oil and gas exploration and production in Houston accounts for 11 percent the region's GAP—down from 21 percent as recently as 1985. The reduced role of oil and gas in Houston's GAP reflects the rapid growth of other sectors—such as engineering services, health services, and manufacturing. Oil and gas exploration and production, however, has increased in reaction to high energy prices and a reduced worldwide surplus oil production capacity.


Members of the oil and gas industry are representatives of most of the boards of Houston's arts bodies, charities, and museums. The energy companies spent funds in order to make Houston a more attractive community for their employees to live in.


Petrochemicals
Houston is one of the world’s largest manufacturing centers for petrochemicals, and the $15 billion petrochemical complex at the Houston Ship Channel is the largest in the country. Supporting the industry is a complex of several thousand miles of pipeline connecting 200 chemical plants, refinery, salt domes and fractionation plants along the Texas Gulf Coast, which allows transfer of feedstocks, fuel and chemical products among plants, storage terminals and transportation facilities. Houston has more than 400 chemical manufacturing establishments with more than 35,000 employees. Houston has two of four largest U.S. refineries. ExxonMobil’s complex in Baytown is one of the oldest in the area and one of the largest of its kind in the world.


More than 235 establishments in the Houston metro area manufacture plastic and rubber products.  Houston dominates the U.S. production of three major resins: polyethylene (38.7% of U.S. capacity); polyvinyl chloride (35.9% of U.S. capacity) and polypropylene (48.4% of U.S. capacity).


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