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UTSA presents economic impact of the Eagle Ford Shale in Mexico

March, 2014

The University of Texas at San Antonio Institute for Economic Development (IED) was invited by the Chamber of the Transformation Industry of Nuevo León (CAINTRA) to present on the economic impact of the Eagle Ford Shale (EFS) on Feb. 27. As Mexico reforms its energy sector policies, there is a great interest by industry to learn from the shale development experience in Texas. UTSA discussed economic impact studies, supply chain, and community development perspectives.


The Eagle Ford Shale formation extends into northern Mexico's Burgos Basin where it is known as the Boquillas formation. Mexico is on the verge of an EFS type boom, with approximately 10% of the world’s shale resources.


“Mexican imports of natural gas have been on the rise. For example, in 2012 Mexico imported over 600 billion cubic feet of natural gas from the U.S., up from just 333 billion cubic feet two years earlier in 2010,” said Thomas Tunstall, UTSA IED Research Director. “Mexico has significant untapped shale oil and gas deposits within its own borders and has the potential to have significant economic impact.”  


UTSA serves as a leader on the economic impact of the EFS, and has conducted annual studies to measure growth. Highlights of UTSA's most recent Eagle Ford Shale economic impact study concluded that shale development:

·       generated $61 billion and 116,000 jobs for the 20-county region in 2012

·       will generate $89 billion and 127,000 jobs for the 20-county region in 2022

·       added more than $1 billion in total local government revenue in 2012

·       provided $1.2 billion in estimated State revenue in 2012


“Unconventional shale oil and gas exploration is having a significant impact on global markets,” said Tunstall. “The U.S. now produces more oil than it imports for the first time since 1995. Texas has produced more crude oil recently than it has in 30 years. This is largely the result of increased production coming from South and West Texas in the Eagle Ford Shale and Permian Basin.”


Businesses and producers in the EFS are in a prime position to take advantage of the shale boom in Mexico. It is expected that there will be opportunities for stakeholders on both sides of the border to benefit.

“Energy reform in Mexico has the potential to transform domestic oil and gas production by liberalizing rules for foreign investment and enabling the deployment of new technologies,” expressed Tunstall.


UTSA Panel:

Ricardo Romo, President of The University of Texas at San Antonio

Robert McKinley, Associate Vice President for the UTSA Institute for Economic Development

Thomas Tunstall, UTSA Institute for Economic Development Research Director


Impacto del Sector Energético en el Sur de Texas

“El Caso Texas Eagle Ford Shale”

Industrial Club - Grand Salon, Monterrey, Mexico


Connect online with the Institute for Economic Development at or


About the IED

The University of Texas at San Antonio’s Institute for Economic Development is dedicated to creating jobs, growing businesses and fostering economic development. Our 12 centers and programs provide professional business advising, technical training, research, and strategic planning for entrepreneurs, business owners and community leaders. Our programs serve San Antonio, the Texas-Mexico border area as well as regional, national and international stakeholders. Together with federal, state and local governments, and private businesses, the UTSA Institute for Economic Development fosters economic and community development in support of UTSA’s community engagement mission.

About UTSA

The University of Texas at San Antonio (UTSA) is an emerging Tier One research institution specializing in health, energy, security, sustainability, and human and social development. With nearly 29,000 students, it is the largest university in the San Antonio metropolitan region. UTSA advances knowledge through research and discovery, teaching and learning, community engagement and public service. The university embraces multicultural traditions and serves as a center for intellectual and creative resources as well as a catalyst for socioeconomic development and the commercialization of intellectual property – for Texas, the nation and the world.


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