Texas oil production for October, the last full month for which data are available, was down 10 percent from the previous month, state data show.

The Railroad Commission of Texas, the state's energy regulator, said total October production was 74.7 million barrels of oil. The preliminary report for the month said daily production averaged 2.4 million barrels, up about 8.7 percent, or 200,000 barrels per day, more than October 2014.

The commission reported crude oil production for September at 83.3 million barrels, which was down 8 percent from the month prior. October's decline marked the third straight month for a drop in output.

Last month, the commission issued 687 new drilling permits against the 1,508 issued last year. Of those, the bulk of original permits were for oil or gas, with about a quarter going specifically for oil.

Lower crude oil prices are forcing energy companies to spend less on exploration and productivity, a trend reflected in the decline in drilling activity. Despite the steady month-to-month declines, Texas oil production is higher than it was at this point in 2014.

Sector weakness in 2015 has resulted in widespread layoffs in the oil and natural gas sector. The Dallas Federal Reserve, however, said diversity in the Texas economy means employment is holding steady because of expansion in industries outside the oil sector.

The bank said the employment index is steady, with a full-year 1.3 percent growth rate expected for 2015. In total, about 150,500 jobs will be added in Texas for the year, despite widespread layoffs in the oil and gas sector.

Texas is the No. 1 oil producer in the nation. The commission reported the state produced just over 1 million barrels of crude oil during the last 12 months. Data does not include condensate, an ultra-light form of crude oil found in some U.S. shale basins.