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As the voice of Independent producers in New Mexico, IPANM’s mission is protect, defend, and promote the work of our members and all of industry. New Mexico’s future and America’s future needs to be shaped by a policy of energy freedom. This “all of the above” approach is fundamental to ensuring all sources of energy–including fossil fuels–can compete to produce safe, reliant, and affordable energy to better the human condition. However, dangerous forces are pushing against energy freedom. Local, state, and federal governments are under the thumb of disingenuous environmental groups who want to pick-and-choose energy winners, under the guise of climate change. With governments already mobilized to kill the oil and gas industry in favor of unreliable and expensive renewable sources, New Mexico & America stand to lose jobs and domestic security. Furthermore, reducing fossil fuel supplies disproportionately hurts those in poverty (18% of New Mexicans). The “Green New Deal” and other progressive policies must be exposed for what they are: a pathway to self-inflicted, socio-economic suffering. With a weakened domestic energy landscape, Americans will beholden to nefarious foreign governments (such as Russia and China). As already demonstrated, these foreign powers do not have the best interests of the people or the planet at heart.

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Trump Wins; What It Means For Oil & Gas

Washington Post via City Desk ABQ (Nov. 6, 2024) - President-elect Donald Trump’s return to the White House could reverse

Setbacks: Decision Making Using Best Available Science (CTEH Report)

CTEH Report (Nov. 1, 2024) - CTEH has releases a report summarizing their findings of existing data and studies on

Lawmakers Discuss Oil, Gas Pollution in Southeastern New Mexico

Santa Fe New Mexico (Oct. 29, 2024) - Ozone pollution has been declining nationwide for decades. But there’s one location

State Land Office Pushes for Increased Royalty Rates — Again

Santa Fe New Mexican (Oct. 28, 2024) - The State Land Office wants to get top dollar for leasing prime

IPANM: BLM Leasing Rule Will Handcuff Production

IPANM (April 13, 2024) - In response to the April 12, 2024 formal release of the new Fluid Mineral Leases

Atencio v NM: Motion To Dismiss Hearing Concludes; No Ruling Yet

IPANM & SF New Mexican (April 12, 2024) - State officials asked a District Court judge in Santa Fe on

Biden Piling On 'Taxes" To Oil & Gas Industry

Carlsbad Current Argus (April 2, 2024) - Recently announced federal air pollution restrictions drew the ire of New Mexico oil

SEC Climate Disclosure Rule Facing Legal Entanglements

EXACT INFO ON WHAT MEMBERS NEED TO KNOW ON THE SEC CLIMATE DISCLOSURE LAW: HERE - Courtesy of Baker Hostetler

IPANM Granted Motion To Intervene in Atencio vs. New Mexico

IPANM (March 29, 2024) - On Friday, Judge Matthew Wilson of the 1st Judicial District Court granted IPANM's official Motion

16 Oil & Gas States Sue Biden's LNG Export Halt, Except NM

New York Times (March 22, 2024) - President Biden halted approvals for new exports of liquefied natural gas to study

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Independent Petroleum Association of New Mexico

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Independent Petroleum Association of New Mexico

IPANM Administrative Offices
P.O. Box 6101, Roswell, New Mexico, 88202
Phone 575-622-2566

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Website designed by Siarza Social Digital

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WTI Crude Oil

Washington Post via City Desk ABQ (Nov. 6, 2024) – President-elect Donald Trump’s return to the White House could reverse the gains the United States has made in fighting global warming, experts said, by cementing his plans to unleash domestic fossil fuel production, dismantle key environmental rules and scale back federal support for renewable energy and electric vehicles.

It has also raised fears amongU.S. allies and even some major energy executives who warn a U.S. exit from global climate efforts will hurt American industry as the rest of the world shiftsaway from fossil fuels.

Trump’s election creates “a very long pathway for fossil fuels,” Ben Cahill, an energy scholar at the University of Texas at Austin, said in a phone interview Wednesday. “Investors will feel the outlook is brighter. The industry will be under less pressure.”

While energy was not a focal point of a presidential campaign consumed by immigration, abortion and the future of democracy, it is a policy area where presidents have the authority to make sweeping changes.

Trump – who has dismissed climate change as a “hoax” and courted oil company executives throughout the campaign – has outlined plans that have the potential to boost oil and gas profits as well as greenhouse gas emissions that threaten the world’s climate goals.

Trump is expected to immediately take aim at the Paris climate accord. His plan to withdraw the United States from the pact – as he did during his first term – comes at a critical moment for the compact aimed at limiting warming to 1.5 degrees Celsius (2.7 degrees Fahrenheit)above preindustrial levels. Climate scientists are already warning the planet is on track to blow pastthat target: on Wednesday the European climate agency Copernicus announced that 2024 is assured to be the first calendar year where the global temperature rise has averaged 1.5 degrees Celsius.

Trump has planned a flurry of other actions to bolster U.S. oil and gas companies. He is expected to ease a suite of restrictions on the oil industry’s emissions of methane, a potent greenhouse gas. And he will probably cancel the Biden administration’s pause on permits for new liquefied natural gas export projects, clearing the way for the industry to build billions of dollars worth of infrastructure that could increase U.S. emissions and keep gas flowing to other nations for decades to come.

Oil companies welcome the radical policy shift. “Energy was on the ballot, and voters sent a clear signal that they want choices, not mandates, and an all-of-the-above approach that harnesses our nation’s resources and builds on the successes of his first term,” Mike Sommers, president of the American Petroleum Institute,said in a statement.

What Trump’s victory could mean for oil companies and climate change policy

CTEH Report (Nov. 1, 2024) – CTEH has releases a report summarizing their findings of existing data and studies on the health impacts of well production and whether setbacks are necessary or provide any measurable benefits. Here are some key conclusions:

Leveraging Best Available Science for New Mexico

Health outcome studies of assumed exposures are largely inconsistent, lack cohesiveness of
findings, and cannot be reliably used to show causal evidence that O&G emissions cause specific
adverse health outcomes.
Measured exposure data collected in communities near oil and gas development in NM and other
states, along with formal risk assessments, have shown chemicals NOT to been at levels of concern
for adverse health risks.
Performance of additional environmental measurement and risk assessment analysis in NM would
reduce scientific uncertainty and public concern for public health impacts.
A policy mandating a prescriptive, “one-size-fits-all” setback is NOT a public health policy based on
best available science.
A process using established frameworks would allow best available science to inform policy to
protect New Mexico citizens.

Setbacks: Decision Making Using Best Available Science (CTEH Report)

Water & Natural Resources Committee Handouts

Santa Fe New Mexico (Oct. 29, 2024) – Ozone pollution has been declining nationwide for decades. But there’s one location seeing an increase — and it’s here in New Mexico.

At a Monday meeting of the legislative Water and Natural Resources Committee, a Colorado researcher presented findings that Loving, in southeastern New Mexico’s oil and gas powerhouse Eddy County, has seen an increasing amount of ozone pollution. According to presenter Detlev Helmig, the ozone pollution was above National Ambient Air Quality Standards, and the village’s concentration of other pollutants was higher than that of comparison monitoring sites in Colorado. The average concentration of benzene was between nine and 11 times higher than the sites in Colorado, Helmig said.

According to the U.S. Centers for Disease Control and Prevention, long-term benzene exposure can damage bone marrow and decrease red blood cells, which can set off a cascade of symptoms. Ground-level ozone pollution can irritate asthma and other lung diseases.

The panel discussed the potential health benefits of adopting setbacks in the oil and gas industry from schools, homes and other structures. Jozee Zuniga, a 22-year-old Eddy County resident and daughter of an oil worker, pushed for setbacks from schools.

“Currently, there are only 800 wells within a mile of schools,” said Zuniga, who is an organizer for Youth United for Climate Crisis Action. “This is 800 wells out of about 70,000 productive wells in the state. We’re asking that the state prohibit all wells around schools and ask the new production to occur at least a mile from the schools. This is not a huge ask. It is a small ask but will do a lot to protect the health of the children in New Mexico.”

Not everyone who spoke Monday agreed. Michael Lumpkin, a toxicologist for Arkansas-based consulting company CTEH, said health outcome studies about oil and gas exposure were “inconsistent” and “thus unreliable to show causal evidence that oil and gas emissions cause specific adverse health outcomes in communities that have been studied.”

Lumpkin even said he would be comfortable living and raising his children near oil and gas production facilities. ”There’s an opportunity here now to leverage [the] best available science to inform the best setback distance policies for New Mexico,” Lumpkin said.

But Colin Cox, staff attorney for the Center for Biological Diversity, pointed to other studies that linked proximity to oil and gas production to low birth weights and cancer hospitalizations. ”They all show health risks from living too close to oil and gas production,” Cox said.

It’s the second time setbacks have been debated by a legislative committee in as many weeks. Last week, Legislative Finance Committee staff presented an analysis on the fiscal impact of proposed setbacks, which found the state would lose out on about $800 million by 2035.

But that doesn’t include existing health costs borne by New Mexicans, which by one estimate based on 2016 oil and gas production was between $624.4 million and $1.5 billion, although LFC staff said the amount paid by the state would likely be smaller. The study made waves last week as legislators debated how to balance the economic impact of the industry with public health.

On Monday, committee chairman Rep. Matthew McQueen, D-Galisteo, criticized the analysis focused on the costs and included very little on the potential benefits of setbacks. “I hear from both sides we need more information about the impact,” McQueen said. “I think [we] can’t just ignore the public health costs, [or] the public health benefits that will be included and realized by providing some level of protection to our students.”

Greg Bloom, assistant commissioner for mineral resources at the State Land Office, questioned if the expected fiscal impact on the state would be affected if different setback amounts were limited. Last year, State Land Commissioner Stephanie Garcia Richard issued a moratorium on new oil and gas leases within one mile of schools.

Lawmakers discuss oil, gas pollution in southeastern New Mexico

Santa Fe New Mexican (Oct. 28, 2024) – The State Land Office wants to get top dollar for leasing prime oil and gas land in New Mexico. If that sounds familiar, it’s probably because Monday marked the fourth time in recent years the agency has pushed for an increase in oil and gas royalties. Greg Bloom, assistant commissioner of mineral resources for the office, made the pitch once again Monday during a meeting of the Legislature’s Water and Natural Resources Committee in Mescalero.

Increasing rates for the best tracts is anticipated to increase state revenues by a billion dollars in a 25-year period, including providing additional millions for the State Land Office and the Legislative Finance Committee and adding between $1.5 billion and $2 billion to the Land Grant Permanent Fund — which helps fund education needs — by 2050. The office is proposing increasing the maximum rates from 20% to 25%, with the higher rates only applicable to new leases (Editor’s Note: Higher Royalty Rates would also apply to leases that SLO cancels and then relists for bid, which is a tactic the SLO is aggressively using.)

Currently, about 99% of the land likely to include high-value tracts has already been leased. “It’s difficult to put an exact number on the amount of land we are talking about, as new parcels become available as leases expire and other leases go into effect,” State Land Office spokesperson Joey Keefe wrote in an email to The New Mexican. “However … there are not many premium lands to be had.”The majority of state land lessees are out-of-state companies. Just 1% of the leaseholders are based in New Mexico, with Colorado, Texas and Oklahoma companies making up the rest.

The office could be missing out on one-time bonus payments as a result of the delay in leasing the best tracts, Keefe wrote. Tracts are “nominated” for oil and gas leasing by private companies. If the office decides those tracts are viable, they go out to bid.

The winning bidder pays a bonus payment that “typically can range from tens of thousands of dollars up to a few million dollars.” “Currently, we are withholding the tracts that are nominated by industry that we determine would attract a 25% royalty rate on the open market,” Keefe wrote.

He added, “By withholding premium tracts temporarily, we are missing out on some of those initial payments. But the Commissioner is willing to forgo a few million dollars now if it potentially means billions more for school kids in the long run.”

Sen. Joe Cervantes, D-Las Cruces, said more analysis is needed to determine whether that strategy will pay off.

“Holding back on these leases, waiting for the Legislature, increasing royalty rates … that makes some sense,” Cervantes said. He added, “On the other hand, while you’re setting those leases, you’re depriving yourself of revenue and business in, perhaps, a market condition that exists today. It may not exist next year … as prices fall.”

State Land Office Pushes for Increased Royalty Rates — Again

IPANM (April 13, 2024) – In response to the April 12, 2024 formal release of the new Fluid Mineral Leases and Leasing Rule, IPANM released the following statement:

“The Biden administration has created new leasing rules that are unreasonable and go beyond the the existing authority granted to the BLM. The new anti-oil and gas development policies will substantially handcuff production opportunities for small producers. The ultimate goal is clear, bureaucrats in Washington D.C. want to use this rule to prohibit oil and gas development on federal lands. As IPANM made clear in our prior comments, the new rule purposefully allows the administration to deny future leasing without adequate justification or explanation.”

–Jim Winchester, Executive Director, IPANM

IPANM & SF New Mexican (April 12, 2024) – State officials asked a District Court judge in Santa Fe on Friday to dismiss a lawsuit claiming they have violated a 1971 provision in the state constitution calling for the Legislature to control pollution and protect New Mexico’s “beautiful and healthful environment.”

Attorneys for the Legislature and Governor’s Office contend if the court intervenes, as the lawsuit requests, it would undercut lawmakers’ authority to determine environmental laws and, thus, violate the “separation of powers.”

“This would involve the court legislating in major areas of policy, both oil and gas regulation and pollution control, forever,” said attorney Elizabeth Radosevich, who represents the governor. “It is clear that the court, in doing so, would be sitting at the heart of legislative authority.”

A coalition of Indigenous people, youth, frontline community members and environmental groups filed the lawsuit in May 2023. Although the constitutional amendment has been around for a half-century, this is the first lawsuit based on this provision.

IPANM: Judge To Rule On Motion To Dismiss On A Later Date
SF New Mexican: Atencio v NM: Motion To Dismiss Hearing Concludes; No Ruling Yet

Carlsbad Current Argus (April 2, 2024) – Recently announced federal air pollution restrictions drew the ire of New Mexico oil and gas leaders arguing intensifying regulations intended to address climate change were unduly burdening fossil fuel producers.

The Environmental Protection Agency proposed its “waste emissions charge” rulemaking in January, and the New Mexico Oil and Gas Association joined onto a letter led by the American Petroleum Institute opposing the rule it described as a “tax on American energy.”

The proposal was intended to follow provisions of the 2022 Inflation Reduction Act to charge “high emitting” oil and gas facilities $900 per metric ton of methane emitting in 2024, increasing to $1,200 per ton in 2025 and $1,500 per ton in 2026, according to fact sheet published by the EPA.

In the March 26 letter to the EPA, NMOGA and API argued the rule would create regulations problematic to continued fossil fuel production in the U.S.

New Mexico shared the world’s most active oilfield the Permian Basin with Texas, producing about half of the U.S.’ crude oil at about 6.1 million barrels of oil per day (bopd), records show. That production could be put a risk, read the letter, through federal action driving up costs for oil companies.

And oil companies are taking steps to reduce emissions, the letter read, but higher costs would “disincentivize” such technologies.

More:EIA report: Permian Basin will produce 6.1 million barrels of oil per day by April

“This tax on American energy is a serious misstep that could jeopardize our nation’s energy advantage and weaken our energy security,” said API Senior Vice President Dustin Meyer. “U.S. oil and natural gas is innovating throughout its operations to reduce methane emissions while meeting growing energy demand. Yet this proposal creates an incoherent, confusing regulatory regime that will only stifle technology advancements and hamper energy development.”

Oil and gas restrictions coming from other federal agencies

Meanwhile, the Bureau of Land Management published the final version of its methane waste rule March 27, drawing support from conservation groups but similar concerns from energy industry leaders.

That rule added requirements for operators on federal and tribal land to adopt certain technologies to limit methane emissions, targeting capture of 100 percent of produced natural gas. Royalties would be charged for any waste gas, according to the new rule, and companies will be required to reduce gas flaring or venting except in emergencies.

The BLM said it could deny permits to drill for any company that does not comply with the rule. The agency estimated the rule will generate more than $50 million a year in royalty payments to the federal government.

“Strong Interior Department methane waste rules are integral for the United States to protect taxpayers from wasted energy resources,” said Jon Goldstein at the Environmental Defense Fund. “Taking action to limit methane waste on public lands offers a win-win-win for taxpayers, producers and communities harmed by this waste and associated pollution.”

President of the Western Energy Alliance Kathleen Sgamma said the industry does plan to reduce air pollution from operations. She said the BLM’s latest rule improved upon similar regulations during the administration of former-President Barrack Obama by add language to determine if gas is “unavoidably lost” and thus exempt from royalty payments.

“The oil and natural gas industry and the BLM share the goal of reducing waste of natural gas through venting, flaring, and leaks,” Sgamma said. “Western Energy Alliance appreciates that with the waste prevention rule, BLM is attempting to achieve clarity on how to classify waste gas as avoidably and unavoidably lost, and hence whether it bears royalties or not.”

The Obama-era rule was overturned by a Wyoming District Court, and Sgamma said the alliance was reviewing the new regulation to ensure they adjusted previously issues satisfactorily to the industry.

“Even without the rule, companies have joined together to reduce methane emissions, venting, and flaring, with every major basin showing significant declines,” Sgamma said. “Our industry is proud to continue that work with or without new rules.”

Industry defends feds permitting oil and gas drilling

The proposed rules came as more federal land was being leased by the BLM to the oil and gas industry in New Mexico and throughout the American West. Most recently, the agency announced a sale in June 2024, offering 19 parcels of land totaling in 3,128 acres in New Mexico and Kansas.

Federal oil and gas leases came under fire after the administration of President Joe Biden resumed the practice in 2022 following a halt on news leases imposed when Biden took office in January 2021. The first lease sale of the administration, including federal lands in New Mexico, was challenged in court but upheld in a March 22 verdict from the U.S. Court for the District of Columbia.

The court deemed the June 22 sale, including 520 acres in New Mexico, saw the BLM conduct proper environmental reviews, and found the impacts of oil production on the offered lands were within federal standards. The court also said the conservation groups challenging the leases could raise additional concerns when companies apply for drilling permits on the leased lands.

“Accordingly, the Court concludes that BLM did not violate its duty under the (Federal Land Policy and Management Act) to avoid “unnecessary and undue degradation” when authorizing the challenged lease sale,” read the decision.

Sgamma said the Western Energy Alliance successfully argued in court to support the leases, and that oil and gas production on federal land undergoes rigorous oversight to prevent damage to the environment.

“Oil and natural gas developed on federal lands is some of the most sustainably produced in the world, subject to many more environmental protections than nonfederal lands and especially in comparison to other major producing countries,” she said.

New Mexico oil and gas industry criticizes Biden ‘tax’ on oil drilling air emissions

EXACT INFO ON WHAT MEMBERS NEED TO KNOW ON THE SEC CLIMATE DISCLOSURE LAW: HERE – Courtesy of Baker Hostetler & HERE – Courtesy of the National Review

DEPA (April 1, 2024) – LATEST UPDATE

On March 21, nine lawsuits against the SEC on this rule, filed in six different circuits were consolidated and reassigned by lottery to the 8th Circuit in St. Louis, MO. This meant the 5th Circuit ruling in favor of Liberty Energy and Nomad Proppant Services request for a stay was vacated. Liberty Energy and Nomad Proppant Services have filed in the 8th Circuit already asking again for injunctive relief. Working with the Pacific Legal Foundation DEPA and The Texas Alliance of Energy Producers will also be filing suit again in the 8th Circuit over the damage the rule will do to domestic energy producers. At this time, while litigation gets sorted out, reporting will begin in 2026 for fiscal year 2025.

DEPA Driller Newsletter

GREENWIRE (March 24, 2025)| The Biden administration’s landmark climate reporting rule is back in effect.

Judges of the 5th U.S. Circuit Court of Appeals dissolved their stay against the Securities and Exchange Commission corporate disclosure requirements now that litigation over the regulation has been assigned to a different court.

The decision comes a week after the Louisiana-based 5th Circuit sided with two fracking companies that had asked for an emergency stay of the rule that aims to detail the risks U.S. corporations and their investors face from rising global temperatures. On Thursday, the Judicial Panel on Multidistrict Litigation determined through a lottery process that multiple lawsuits against the SEC rule will instead be consolidated in the 8th U.S. Circuit Court of Appeals in Missouri.

One 5th Circuit judge disagreed with the decision to revive the SEC rule. The court noted that Judge Edith Jones, a Reagan appointee, “believes the docket should stay as is pending transfer.”

____________________

The Hill (March 15, 2024) – A federal court on Friday halted a new federal rule that would require publicly traded companies to reveal climate change-related information.

A panel of Fifth Circuit Court of Appeals judges issued an order that pauses the rule as litigation against it plays out.

The order, from Judges Edith Jones, Stephen Higginson, and Cory Wilson — appointed by former Presidents Reagan, Obama and Trump respectively — did not detail the reasons for the pause.

It came after fracking companies Liberty Energy and Nomad Proppant Services sued over the rule. They asked the court to halt the rule in the meantime, arguing that they are likely to ultimately prevail and in the meantime, would face compliance costs.

The pause does not necessarily mean that their case will ultimately succeed or that the rule will be overturned — but, it is an indication that the judges are at least somewhat receptive to the arguments of its opponents.

The rule in question, from the Securities and Exchange Commission (SEC), requires companies to disclose what risks, if any, the changing climate poses for their business.

Court halts SEC climate disclosure rule

IPANM (March 29, 2024) – On Friday, Judge Matthew Wilson of the 1st Judicial District Court granted IPANM’s official Motion to Intervene in the Atencio vs. New Mexico lawsuit. This was a critical ruling that ensures IPANM will have a direct “seat at the table” throughout the lawsuit.

In addition to granting IPANM’s Motion to Intervene, Judge Wilson also granted a Motion to Intervene by the New Mexico Chamber of Commerce.

Due to the ongoing nature of the litigation, IPANM will not be commenting formally on today’s hearing. However, IPANM’s Legal Team will now move forward on the next phase of the case.

Additional motion hearings are set to resume in April.

IPANM Granted Motion To Intervene in Atencio vs. New Mexico

IPANM continues to fundraise for this major legal effort. To donate, please see IPANM’s Legal Fund Update.

New York Times (March 22, 2024) – President Biden halted approvals for new exports of liquefied natural gas to study its effect on the climate, national security and the economy. Major oil- and gas-producing states are angry.

Louisiana and 15 other Republican-led states sued the Biden administration on Thursday over its decision to temporarily stop approving new permits for facilities that export liquefied natural gas.

The lawsuit contends that the Biden administration acted illegally when it decided in January to pause the approvals so it could study how gas exports affect climate change, the economy and national security.

Filed in the United States District Court for the Western District of Louisiana, the lawsuit asks a judge to end the pause, arguing that the White House had flouted the regulatory process and instead taken action “by fiat.”

“There is no legal basis for the pause,” Elizabeth B. Murrill, the attorney general of Louisiana, which led the legal challenge, said in an interview.

Ms. Murrill, who referred to the pause as a ban, said halting permits for any amount of time would hurt states’ economies and would have significant long-term consequences abroad by restricting supplies of gas from the United States to Europe.

The United States is the world’s top exporter of natural gas. Liquefied natural gas is a gas that has been cooled to a liquid state to allow for shipping and storage. Even with the pause, the country is still on track to nearly double its export capacity by 2027 because of projects already permitted and under construction. But any expansions beyond that are now in doubt.

“I’m not sure the American people feel the pain of this particular decision yet, but it is part of a larger plan by this administration to destroy the fossil fuel industry,” Ms. Murrill said.

More: Sixteen States Sue Biden Administration Over Gas Permit Pause

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Oil and gas restrictions coming from other federal agencies

Industry defends feds permitting oil and gas drilling