The Oil Boom

The Bakken formation ranks as one of the largest oil developments in the U.S. in the past 40 years. There has been many changs in and around my small hometown of Mohall, North Dakota since the recognition of how large the Bakken formation is and what opportunities it brings to everyone. Many of the articles that you have read about the Bakken formation has been about Williston and other areas closer to the western part of the state, but the effect of the boom is being felt farther out than that. I will discuss the changes that have been both helpful and hurtful in my hometown of Mohall.

The Bakken formation is a rock unit from the Devonian age under parts of Montana, North Dakota, Saskatchewan, and Manitoba. The Bakken formation has been producing oil since 1953. This is the first time a North Dakota well was drilled in the Bakken and at this time, the size was underestimated.
One of the ways the oil boom has helped is by creating new jobs for people. Unemployment has decreased and employment has increase since the oil boom moved into my hometown. For the month of March 2014, North Dakota had the lowest unemployment rate at 2.6% and it has been steadily decreasing since 2009. The chart to the left shows the United States unemployment rate for the month of March.
Another way the changes have helped is by raising the bar for wage expectations. Due to the oilfield paying so well, other businesses have to compete with their pay. Because the cost of living has gone up so much, people can live more comfortably with this raise in pay.
The discovery has helped bring in new revenue. New businesses have come into our area to help meet the demand for other products. A few of the new businesses are Can Elson Drilling Inc., Ham's Well Serv...

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...believe that the state should consider putting more money into repairing roads, both gravel and highway, so they are useable. Many of the people who do not live in town and use the gravel roads everyday could benefit tremendously from this.
For my second recommendation, in order to help with the problem with business having trouble with keeping employees motivated to work for them for longer, businesses should reward employees with bonuses if they stay for x amount of year(s). This will keep employees motivated to continue working at their place of employment and decrease turnover.

In many ways my hometown and surrounding areas have been affected by the boom. The job industry has been the most affected by it and it has been hurtful and helpful. Hopefully, in the next following years, we will be able to adjust better to the changes and take full advantage of them.