Over recent years Tulsa has seen a lot of changes in the local economy. Not long ago we saw the departure of public utilities such as SM Energy and Newfield. While this may feel like cause for concern with such big companies leaving the area, the Tulsa economy is holding strong, and even seeing some incredible growth. This is great news for Tulsa homeowners, and anyone looking to sell or buy property here. You may wonder how is it that our economy has held out; one reason is the strong growth of Oil Patch Entrepreneurs, small, locally owned oil companies such as the one owned by Don Burdock, Oliphant Oil.
These smaller companies have had a big impact on the Tulsa economy. With over 40 companies in our region alone, each with 10-25 employees and managing between $150-$700 million budgets, these innovative businesses are helping to drive our community toward the future. This is a $12 billion industry being run by Tulsans, not out-of-state corporations, but local community members.
The success of the Oil Patch Entrepreneur is reflected in the Tulsa real estate market as well. At a grass-roots level, one would expect to see a decrease in housing values and an exodus away from the area as big energy companies move out. We are past the time of losses in the Tulsa economy. We aren’t sitting with empty homes on the market for months at a time. Average sale prices are up, and homes are moving fast in Tulsa and Broken Arrow neighborhoods, for example.
With the rise in Oil Patch Entrepreneur companies, concerns have been raised over the impact of drilling practices such as fracking, or hydraulic fracturing, in particular, the increased seismic activity the Tulsa region has experienced over recent years. Don shared his insight and expertise on the subject to help clarify just what fracking is, and what’s really been causing many of our tremors, as well as the solution to limit them once again.
Fracking is the term used for pushing large amounts of water and sand into drilling holes in the attempt to crack rock 100 feet above and below the drilling holes, with the goal of releasing oil held within the deep earth–on average 2 miles deep as Don explained. The increase in earthquake activity is not due to fracking itself, but rather has come from the need to return expelled water from drill holes, which is too toxic to use, back into the earth where it came from. Unfortunately, some of the return tracks made were near fault lines. The pressure generated by the returning water triggered seismic activity.
Now that this has been confirmed, the solution is quite simple–find different tracts of land from which to return the water, away from faults. Since this began, seismic activity has significantly decreased. The key to the success of this situation rested upon the team work of our local oil companies and regulatory agencies seeking better ways to deal with the processes, without severely damaging the place we call home.
The above situation is an excellent example of how the Oil Patch Entrepreneurs are working in support of Tulsa’s economy and community at large. If you’re thinking of buyer or selling, now is a great time to be in Tulsa.
For real estate questions, contact The Baskin Real Estate Specialists of eXp Realty at 918-732-9732 or darrylbaskin.com