Cheap gas prices good for drivers, bad for energy industry

All of us found a mini cost war waging in Saint. Bernard Parish, with the selling price at the pump at some channels running as low as $2. 02 per gallon.

"We required the break down here, inch said driver Al Mackles. "Finally, it's looking like we will get it. I hope it can are a while. People down right here can actually use it, you know. inches

"I go to school and i also have to get back and forth, and I proceed and pick up my grandbabies, so for me to be preserving the extra money on fuel is very helpful, " stated driver Cynthia Shepherd.

Whilst consumers are enjoying this price tag break at the pump, a few say they feel just a little guilty because the low price associated with oil is causing several cutbacks and layoffs from your oil and gas industry.

"I perform feel for them, but every thing we save is good for all of us, " said driver Eddie McCaleb.

Shell and Quarter recently announced job slashes in Louisiana. Local essential oil production was already down through 600 jobs last month.

"That's what we're seeing regionally, " GNO, Inc Leader Michael Hecht said. "We're seeing the same thing in Lafayette where they've lost regarding 600 jobs. The issue right now is how long will this cut last. "

Louisiana's condition budget is pegged in $62 per barrel regarding oil. Right now, prices tend to be hovering just below $40.

Which means state budget cuts could be emerging if oil prices avoid rebound.

"We originally believed we were going to end up from 55, 60, even 67 at the end of the year, " Hecht said. "I think right now if we're at forty five or 50 we're going to become happy. "

Chevron introduced in late July it will get rid of 1, 500 jobs globally to cut costs. Shell is actually expecting layoff 6, five hundred worldwide.

It's unclear the number of workers from either organization will lose their jobs in the brand new Orleans area.

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