Utah oil and gas production surges with $17B economic impact in 2024

The recent meeting of the Public Utilities, Energy, and Technology Interim Committee highlighted significant developments in Utah's oil and gas industry, which continues to thrive despite national trends. In 2024, Utah produced over 65 million barrels of oil, marking an increase of approximately 12 to 13 million barrels from the previous year. This growth positions Utah as a rising player in the national energy landscape, with the state aiming to break into the top ten for oil production.

Natural gas production also saw a substantial rise, exceeding 39.4 billion cubic feet in 2024, up from 37.4 billion cubic feet in 2023. The oil and gas sector is estimated to contribute around $17 billion to Utah's economy in 2024, underscoring its vital role in the state's financial health.

Coal remains a significant energy source, providing about 47% of Utah's electrical power, while natural gas accounts for approximately 35%. As the state looks to diversify its energy portfolio with future sources like nuclear and geothermal, the existing infrastructure for natural gas and coal is seen as essential for meeting immediate energy demands. Natural gas, in particular, is highlighted for its flexibility in energy production, making it a suitable option for supporting new developments, such as data centers.

The discussions at the committee meeting reflect a commitment to balancing energy needs with economic growth, as Utah navigates its role in the evolving energy sector. As the state continues to expand its oil and gas capabilities, residents can expect ongoing developments that will impact both the economy and energy availability in their communities.