No fast recovery for energy industry

Don’t expect a quick turnaround in the oil and gas industry, which has been battered by a drop in prices, Bill Rodier, St. Landry Economic Development executive director said.
“It is not going to turnaround overnight,” he said Tuesday. “I don’t think anybody knows if we have seen the bottom of the oil and gas market with the price the way it is.”
Rodier was referencing remarks during a St. Landry Economic Development board meeting by Loren Scott, a Louisiana economist.
“In summary, his projection is we aren’t out of this,” Rodier said.
Scott predicted oil prices would be $50 a barrel in 2016 and rise to $60 a barrel in 2017, Rodier said.
“We are roughly half as dependent on oil and gas as a region from a job perspective and from our industry investment perspective as what we were in the early 1980s,” Rodier said.
“Is it affecting people’s lives? Yeah. If you are the one losing your job, absolutely,” he said.
Rodier said the downturn is normal for the oil and gas industry.
“It is our job to focus on the bigger picture, stay positive and not get drawn into the negative ... there is always going to be challenges,” he said.
LSUE’s new chancellor, Kimberly Russell, is scheduled to speak to the board at its November meeting.
In a monthly report to the board, Rodier stated he has had discussions with Russell.
“These discussions have been very productive and we anticipate a growing number of good things through this partnership, including potentially having a designated workforce development position at the university. This position would be focused on meeting the needs of business in the area with the program offerings by the university.”
LSUE Students in Community Engagement also are scheduled to attend the board’s November meeting, he said.
The board approved a resolution involving the $400 million Hazelwood Energy Group storage and blending facility near Port Barre.
Rodier said St. Landry Economic Development would seek funding from the Hazelwood development for a proposed event center and economic development operations.
The process would be similar to what happened when the Wal-Mart Distribution Center located in St. Landry Parish, he said.