The Independent Petroleum Association of America is pleased to share economic reports with our members, wider industry and the media.
In September 2025, the American Exploration & Production Council (AXPC) released a study analyzing the upstream oil and natural gas sector’s profound impact on the U.S. economy. The study, conducted by Rystad Energy and commissioned by AXPC, found that upstream, onshore independent producers supported 3.1 million jobs nationally, contributed to $277 billion in labor income, and paid $129 billion in taxes — accounting for 87% of the sector’s total economic contributions in 2024. As vital contributors to America’s energy security, independents accounted for over 85% of onshore crude and condensate production and over 90% of onshore gas production from 2022-2024. Click here to view a summary of the economic impact study. Click here to view the full study.
The AXPC and Rystad study is a follow-up to a study from IPAA and IHS Markit on The Economic Contributions of Independent Operators in the United States released in 2019.
Profile of Independent Producers
What is an independent producer?
The basic definition of Independents is a non-integrated company which receives nearly all of its revenues from production at the wellhead. They are exclusively in the exploration and production segment of the industry, with no marketing or refining within their operations. The tax definition published by the IRS, states that a firm is an Independent if its refining capacity is less than 75,000 barrels per day in any given day or their retail sales are less than $5 million for the year. Over the last decade, the number of independents (broad definition) has decreased from over 10,000 to approximately 7,000.
How Many People Work in the Industry?
The U.S. oil and gas industry employed 2,055,516 professionals in 2024, which represented a net increase of 10,694 direct jobs compared to 2023, subject to revisions. When incorporating direct, indirect, and induced multipliers for employment at the national level, the industry supported 22,625,187 million jobs last year. There were 384,187 direct U.S. upstream sector jobs in 2024, a net increase of 1,259 jobs compared to 2023. (TIPRO)
According to a new study from AXPC and Rystad, in 2024 onshore independent producers supported 3,172,000 jobs nationwide, including nearly 1.1 million direct jobs.
How Much Oil and Natural Gas is Produced in the United States?
In 2024 U.S. crude production averaged 13.2 million barrels per day (b/d). In 2024, increases in natural gas production were essential to fulfilling rising energy demand within the U.S. Thanks to record natural gas production averaging 113 bcf/d, domestic demand was met, and natural gas continued to supply affordable and reliable power to thousands of U.S. homes.