Thousands of new jobs could be generated if natural gas potential in New York State is exploited, it has been claimed.

According to a new report on the subject, drilling in the area is "essential" to its economic recovery, with 300 wells possibly providing 37,500 employment opportunities per year.

Compiled by a subsidiary of the Business Council of New York State, the study highlighted the levels of private sector expansion seen in northern Pennsylvania as a result of similar development.

The Public Policy Institute concluded the southern tier of New York State could benefit substantially from such activity as it would generate high-paying positions.

Heather Briccetti, Business Council of New York State acting-president and chief executive, explained: "The report stresses that a balanced approach to natural gas extraction in the Marcellus Shale will lead to thousands of new jobs, real property tax benefits and increased tax revenue."

Figures from the Bureau of Labor Statistics recently showed that there was a 0.2 per cent increase in real average hourly earnings for all workers in the country between May and June 2011.

Posted by Fiona Summers