Governor Launches Energy Rebound Program

Wyoming Governor Mark Gordon announced Tuesday that he will use CARES Act funding to assist Wyoming’s economic recovery and boost employment in the oil and gas industry. According to the Governor’s office, the Energy Rebound Program will utilize up to $15 million in CARES Act funding to provide business relief targeted towards drilled, but uncompleted oil and gas wells (DUCs), wells that were unable to be re-completed, and plugging and abandonment projects which could not be finished due to the impacts of the COVID-19 pandemic.

Governor Gordon said the funds will have a direct impact on Wyoming’s employment rate and put people back to work in the oil and gas sector,   which was impacted by COVID-19, as it will provide opportunities for employees who lost jobs when drilling ceased. Gordon added that the oil and gas industry is a huge contributor to Wyoming revenues, employment, and its overall economy, and these dollars will assist in our state’s economic rebound.  Wyoming is the 8th largest oil and gas producing state in the country and the economic impact of the pandemic on the industry was sudden and widespread. When global demand for oil plummeted due to COVID, work stopped almost immediately, with oil and gas companies conducting a few activities to safely stop ongoing drilling and reclamation activities. This left many projects in limbo, awaiting capital to continue.

The use of the funds will provide a stimulus to the economic recovery. Funds would be used to commence operations that would include the hiring of crews, many of whom would stay at hotels near the project, water acquisition, ordering of supplies and equipment for drilling and re-completions, and plugging and abandonment activities. The Wyoming Business Council will announce additional details of the program in the coming days.