Effects of oil prices not felt everywhere

SAN ANTONIO -- Low oil prices means cheap gas. The average in San Antonio today: A buck-eighty.

While that's a really good deal, it's also a big problem for those who make their living in the oil industry.

Lower gas prices mean employees of Allgayer Inc in El Campo, Texas are shifting gears at the oil transportation company. Working less now they said because of less demand.

"They gotta stay home until a job comes up and it is gonna hurt them. It is gonna hurt everybody," said Jeff Allgayer, business owner of Allgayer Inc.

The company said 50 trucks were at work just a few weeks ago, all of them on the road.

Now all but five of them are at work.

"I started telling all my buddies. It is about to crash. When it crashes it is not just gonna be in El Campo. It is not just gonna be us oil and gas guys, it is gonna be everybody," said Allgayer.

In the Eagle Ford Shale area there are more than 200 active operators in the 30-county area.

In Wilson county Steve Smith, a Construction supervisor of Murphy Exploration and Production, said nothing's changed on the job. He's still busy building roads and paths for oil rigs.

"It seems to be. At the moment, I mean, we've been real busy. I haven't slowed down. It's good for the economy, it's old boom like the rest. It has the highs and lows," said Smith.

And some stretches of Texas are feeling the lows more.

"You don't go to Walmart. You don't go shopping. Cut your spending all that you can. You just hope that you've got enough to get on to the next time," said oil industry worker Gilbert Vela.

"I don't think that people understand that it is going to affect Dairy Queen, it is gonna affect HEB, it is gonna affect Walmart, it is gonna affect Ford. It is all a matter of time. If they don't see the big picture then they are just not looking," said oil industry employee David Themis.


JOIN THE CONVERSATION

To find out more about Facebook commenting please read the
Conversation Guidelines and FAQs

Leave a Comment