Why California’s oil boom is slowing down

The state’s oil and gas boom is finally slowing down.

California’s booming oil and natural gas industry, which includes companies such as Exxon Mobil Corp. and Chevron Corp., is generating $3.2 trillion in income for the state.

But the oil and minerals industry has been experiencing a steep decline.

Oil and gas production has plunged by 50 percent from the peak in 2015, when California had more than 2 million rigs, to just about 800 today, according to a report released last week by the California Energy Commission.

In its latest quarterly report, the commission found that oil and mineral extraction from the state’s wells and onshore fields declined by more than 10 percent from a year earlier.

The decline has occurred because the state has been hit by the worst drought in at least 50 years, the report said.

The decline has led to the closure of more than 100 coal mines and mines that have been operating in the state, the California Oil and Gas Association said.