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information & issues

Welcome to IPANM’s Information & Issues webpage!

IPANM is not afraid to take strong stances on many current issues threatening our industry. We have to! Seemingly minor changes to regulations or rules can have a major impact on the financial solvency of our small oil & gas producers. While we will never compromise on our duties to protect human health, fresh water and the environment in our daily activities, we will fight unnecessary government overreach when new regulatory proposals are not based on sound science and do little to protect the environment.

Below, we’ve identified serious issues facing our producers. Please click on the corresponding button to learn more about each issue and IPANM’s stance on the issue. (Note: Some of this content may be restricted for members only. To access this exclusive content, please join our association!)

RECENT NEWS: All Issues

Natural Gas Intelligence (Jan. 11, 2021) - Permian Basin natural gas processor Lucid Energy Group has been given the green
Albuquerque Journal (January 8, 2022) - For Randy Pacheco, the CEO of A-Plus Well Service out of Farmington, starting to
Santa Fe New Mexican (January 7, 2022) - A new climate change bureau, a boost in drinking water oversight and
E&E News (Jan. 5, 2022) - One year after President Biden took office, federal agencies are facing pressure to carry
IPAA (Jan. 5, 2022) - Thanks to the shale revolution, the United States went from energy scarcity to energy dominance.
Forbes (Jan. 4, 2022) - Finally, the European Union has admitted the obvious: if decarbonization is the goal, natural gas
Texas Standard (January 3, 2022) - The Railroad Commission of Texas, the agency that regulates oil and gas production in
The Verge (Dec. 29, 2021) - This year, the clean energy sector finally started grappling in earnest with one of
Forbes (Dec. 23, 2021) - The energy revolution, accelerated by the pandemic, is changing the DNA of the oil and
Carlsbad Current Argus (December 21, 2021) - New federal environmental standards for vehicle fuels were adopted by the U.S. Environmental

Natural Gas Intelligence (Jan. 11, 2021) – Permian Basin natural gas processor Lucid Energy Group has been given the green light to advance a carbon sequestration project at its Red Hills Complex in Lea County, NM.

Lucid, sponsored by entities of Riverstone Holdings LLC and Goldman Sachs Asset Management, said the Environmental Protection Agency approved its monitoring, reporting and verification (MRV) plan to store carbon dioxide (CO2) from the Delaware sub-basin complex.

Once it gains approval from the Internal Revenue Service to use CO2 sequestration tax credits under Section 45Q, the Dallas-based firm said the carbon capture and sequestration (CCS) project would permanently store emissions in existing and permitted disposal wells.

“Since our entry to the Delaware Basin five years ago, Lucid has targeted investments in large-scale gas treating assets, which empower our customers to develop highly economic drilling locations” with associated gas, CEO Mike Latchem said. The company is “the perfect candidate” to develop the project in the Permian “by simply modifying and expanding our existing operations.”

Lucid Advancing CCS Project for Permian Natural Gas Processing

Albuquerque Journal (January 8, 2022) – For Randy Pacheco, the CEO of A-Plus Well Service out of Farmington, starting to plug an old oil or natural gas well is like stepping into an abandoned house – you never know what you’re going to find.  “Every well is unique,” Pacheco said. “You can get one that’s very, very easy to plug and the one right next to it could be complicated because the casing is rotted out or it’s falling apart.”

Relief Funds to “Supersize” NM Well Plugging

NM To Seek Federal Funds For Cleaning Up Abandoned Oil & Gas Wells

Santa Fe New Mexican (January 7, 2022) – A new climate change bureau, a boost in drinking water oversight and an expanded hemp and cannabis agency would be paid for by a hefty funding increase Gov. Michelle Lujan Grisham is proposing for the state Environment Department.  In all, the agency would see a 48.7 percent bump in its budget if lawmakers approve it in the 30-day legislative session set to begin Jan. 18.

Governor Proposes 49% Increase in Environment Dept. Funding

E&E News (Jan. 5, 2022) – One year after President Biden took office, federal agencies are facing pressure to carry out his administration’s energy and climate policies while navigating political calculations ahead of critical midterm elections.

The Department of Energy, the Department of the Interior and the Federal Energy Regulatory Commission are expected to implement new programs and policies included in the $1.2 trillion infrastructure bill signed into law last year as well as respond to executive orders aimed at accelerating the energy transition. With another major clean energy bill, the “Build Back Better Act,” facing an uncertain fate, the three agencies could play an outsize role this year when it comes to advancing the administration’s agenda.

“It’s no secret that the federal government has been unable to act on climate issues, or hardly at all, because of the makeup of Congress, so it’s really been left to the agencies to get work done,” said Christine Powell, deputy managing attorney of the Clean Energy Program at Earthjustice.

Even so, environmental groups and others have been frustrated by what they see as a slow pace of change at the agencies, due in part to vacant positions or legal setbacks to some of the White House’s more controversial plans. Still, observers expect a flurry of activity in 2022 across energy agencies that could be pivotal in determining whether Biden’s energy agenda — and planned emissions cuts — comes to fruition.

DOE, for example, has control over tens of billions in infrastructure funds, but it will have to fill critical leadership vacancies, create major new offices and lay out plans to incorporate environmental justice into its spending.

Interior, meanwhile, is planning to reform its oil and gas program and deploying renewable energy on public lands, efforts that could reset drilling practices — and kick up controversy.

Biden Set To Jam Through Oil & Gas Reforms in 2022

 

IPAA (Jan. 5, 2022) – Thanks to the shale revolution, the United States went from energy scarcity to energy dominance. An abundance of natural gas produced domestically allowed the country to begin exporting liquefied natural gas (LNG) from the lower-48 in 2016 and within a few short years become a global LNG exporter.

As 2021 came to close, data show that the United States just became the world’s biggest exporter of LNG for the first time in history after a rapid rise the past five years.

According to Bloomberg:  “Output from American facilities edged above Qatar in December due largely to a jump in exports from the Sabine Pass and Freeport facilities, according to ship-tracking data compiled by Bloomberg. Cheniere Energy Inc. said last month that it achieved its first cargo from a new production unit at its Sabine Pass plant.”

Energy In-Depth:  #1 in LNG Exports

Forbes (Jan. 4, 2022) – Finally, the European Union has admitted the obvious: if decarbonization is the goal, natural gas and nuclear must be a big part of the continent’s energy mix. On Saturday, the European Commission released a statement which said “there is a role for natural gas and nuclear as a means to facilitate the transition towards a predominantly renewable-based future.” The move means that gas and nuclear could be classified as “sustainable investments” under certain conditions.

This is good news and a tacit acknowledgment by European policymakers of the energy disaster that is now shaking the region. But it’s also far too late in coming. Indeed, my immediate response was to ask: what the heck took them so long? If decarbonization is the goal, then natural gas and nuclear are the obvious ways forward. I have been making that point for more than a decade.

EU Finally Admits Natural Gas Is Key To Decarbonization

 

The Verge (Dec. 29, 2021) – This year, the clean energy sector finally started grappling in earnest with one of its biggest challenges: how to get enough minerals to build solar panels, wind turbines, and big batteries for electric vehicles and energy storage. Figuring that out will be critical for escaping fossil-fueled ecological disaster. It’ll also be crucial for policymakers and industry to move forward without throwing certain communities under the bus in the transition to clean energy.

Instead of cutting through landscapes with oil and gas wells and pipelines, clean energy industries and their suppliers will open up the Earth to hunt for critical minerals like lithium, cobalt, and copper. Compared to a gas-fired power plant, an onshore wind turbine requires nine times more mineral resources, according to the International Energy Agency. Building an EV requires six times more minerals than a gas-powered car.

It’s about time to scrutinize what that hunger for minerals might cause, given the recent boom in pledges from countries and companies alike to reach net zero greenhouse gas emissions. Digging up the necessary minerals is already proving to be a minefield. Protests are popping up at proposed mines that no one really wants in their backyard. The conflicts that cropped up in 2021 are just the beginning of a challenging road ahead.

Clean Energy Creating Its Own Environmental Disaster

Forbes (Dec. 23, 2021) – The energy revolution, accelerated by the pandemic, is changing the DNA of the oil and gas industry at its core.

In a recent interview Glynn Williams, CEO of Silixa — a company that provides fiber optic-powered data solutions for the oil and gas sector (as well as several others) — reveals something of the emerging recognition that the oil and gas industry can make a strong contribution to the renewables sector:

“Many people and entire states depend on the prosperity and well-being of independent oil and gas companies (IOCs) and their suppliers, but they are still being cast unfairly as the villains of climate change and the renewables revolution. In reality, they have been fully engaged in the huge undertaking of transitioning their businesses and practices toward the renewables sector. So, far from being its enemies, they are increasingly its facilitators.”

How Oil Companies Are Facilitating The Renewable Revolution

 

Carlsbad Current Argus (December 21, 2021) – New federal environmental standards for vehicle fuels were adopted by the U.S. Environmental Protection Agency and applauded by New Mexico Gov. Michelle Lujan Grisham as the state aims to enact its own similar requirements.  But the move was criticized by New Mexican Republicans who argued tougher regulations on manufacturers of cars and trucks could translate to higher costs for motorists.

NM Gov. Lujan Grisham Draws Criticism For Support Of Federal Greenhouse Gas Rules