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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

Today, the New Mexico Environment Department announced that on Monday Sept 23rd, they will be holding a public comment period
Please find below a link to a Federal Register notice that was just brought to our attention. Our friends at
New Source Performance Standard SubPart 0000 of the Clean Air Act Review of New Sources and Modifications in Indian Country--Rule
If your company is intending to ask the EPA or an extension to use best available reporting methods (BAMM) under
Contact information for the experts who made presentations at the IPANM ONRR Training on June 24, 2013 and contact information
Presentations given by the experts at the IPANM ONRR Training on June 24, 2013 and presentations given by the government
The ONRR unbundling team has released the following notice regarding UCAs for the Val Verde Transportation System and Treatment Plant.
New Mexico, Colorado, Texas, Oklahoma, and Kansas have recently proposed a Five State Plan—developed by state wildlife officials—with the goal
Prosperity Project
Find Your Legislators

Today, the New Mexico Environment Department announced that on Monday Sept 23rd, they will be holding a public comment period wherein members of the oil and gas industry will be able to comment on the New General Construction Permit process for Oil and Gas storage Vessels. The proposed GCP-6 permit is attached to this email as well.
Please see the press release from Sept 19th below:

New Mexico Air Quality Bureau Hosting Open House On New General Construction Permit for Storage Vessels

Santa Fe, NM — The New Mexico Environment Department Air Quality Bureau (AQB) is developing a new General Construction Permit (GCP-6) for storage vessels used in the oil and gas industry. The AQB will host informal open houses next week to receive public comment and answer questions on the development of the GCP-6. The open house will be held on September 23, 2013 from 11:00AM to 2:00PM at the following locations:

NMED Air Quality Bureau
525 Camino de los Marquez, Suite 1A Santa Fe, New Mexico 87505

NMED District II Field Office 3400 Messina Drive, Room 105 Farmington, NM 87402

NMED District III Field Office 1914 W. Second Street, Roswell, NM 88201

The GCP-6 is a completely voluntary permit for the oil and gas industry to register new storage vessels. The storage vessels that would be registered under the permit typically do not require an air permit to operate. This permit was developed in response to a new federal regulation which requires the regulated community to install control devices on new storage vessels.
The draft GCP-6 may be viewed during regular business hours at the NMED Air Quality Bureau office, 525 Camino de los Marquez Suite 1, Santa Fe, New Mexico 87505. The draft GCP-6 is available by contacting Kathy Primm at (505) 476-5561 or Kathleen.Primm@state.nm.us, and the draft GCP-6 is posted on AQB’s website at:

www.nmenv.state.nm.us/aqb/permit/aqb_draft_permits.html.

Please find below a link to a Federal Register notice that was just brought to our attention. Our friends at the Office of Natural Resource Revenue, specifically Sarah Inderbitzen, are trying to change the method of service of notices to your companies. We know that often they date their ‘Dear Reporter’ letters and we do not receive them until several weeks later (e.g., The August 8 ‘Dear Reporter’ letter received by most companies on September 6th by regular mail).

This Federal Register notice is a “final rule” stating that the Agency may now use “(4) Any electronic method of delivery that keeps information secure and provides for a receipt of delivery or, if there is no receipt, the date of delivery otherwise documented.” This means that an email with a date may be sent to some random person at your company and that notice could get caught in a spam filter, or worse, if that person has left your employ, the notice will remain in their inbox. This could have devastating and very expensive repercussions on your company–particularly with the Enforcement Division threatening penalties of up to $25,000 per day, per violation. At the IPANM presentation, Ms. Inderbitzen made it very clear that if your company has received the notice and you do nothing to respond or address the situation with ONRR, you will face ‘knowing and willful’ penalties. It is completely foreseeable that the electronic service provision of this proposed rule will cause lapses in response to the agency.

If we file ‘adverse comments’ on the Federal Register by September 23rd, the notice states that they will withdraw this rule. Please read this notice and file something electronically on the federal register site.

The link to file is:
https://www.federalregister.gov/articles/2013/08/23/2013-20634/amendments-to-onrrs-service-of-official-correspondence.

Tthe FR notice is at the above link. The most expeditious way to file comments is at www.federalregister.gov on the correct page (link above). And, you will receive a receipt stating the government received your comments.

This is very important, please file comments today. IPANM will also file comments on Friday. It is also my hope that members of the Congressional delegation will also weigh in on this issue.

Thank you,
Karin V. Foster

New Source Performance Standard SubPart 0000 of the Clean Air Act
Review of New Sources and Modifications in Indian Country–Rule Highlights

If your company is intending to ask the EPA or an extension to use best available reporting methods (BAMM) under Sub Part W, that filing is due March 30th. You should have filed the NOI to do so by January 3rd in addition to having registered for the e-GGRT tool. A generic letter that you intend to use BAMM for reporting all sources from your well sites should be sufficient. However, be careful about wanting to use only the EPA tool for emissions reporting. I am hearing that BAMM formula is so expansive that almost everyone will be pulled into the 25,000 mt threshold. In fact, some operators have noted that as few as 14 wells in one basin will trigger reporting requirements. Also, the March 30th BAMM extension will only allow you to delay reporting to June 30th anyway.

If you did not file the NOI and therefore are not eligible for the BAMM extension, your company will need to file the whole application.

http://www.gpo.gov/fdsys/pkg/FR-2011-12-23/pdf/2011-31532.pdf Final rule SubPart A and W changes.

Also note that there will be an announcement on April 9th by the EPA as to which data elements reported under subpart W of Part 98 will be entities to confidential treatment under the Clean Air Act.

Click the link below for contact information for the experts who made presentations at the IPANM ONRR Training on June 24, 2013.
Expert Contact Information

Click the link below for contact information for the government representatives who made presentations at the IPANM ONRR Training on June 25, 2013.
Government Contact Information

Click on the link below for the presentations given by the experts at the IPANM ONRR Training on June 24, 2013.
Industry Expert Presentations

Click on the link below for the presentations given by the government representatives at the IPANM ONRR Training on June 25, 2013.
Government Presentations

July 2, 2013: ONRR UBT Updates Values;
The ONRR unbundling team has released the following notice regarding UCAs for the Val Verde Transportation System and Treatment Plant. As per our workshop discussion (IPANM ONRR Training, June 24-25, 2013), it would appear that any claims made between 2006 and 2010 will now need to be reversed and rebooked with the new numbers unless you have information in your files demonstrating a good faith basis for the deductibility percentages you used.

“On July 2nd, 2013, the Asset Valuation Unbundling Team (AVUT) updated the Unbundling Cost Allocations (UCAs) for the Val Verde Transportation System and Treatment Plant for calendar years 2006 through 2010. AVUT updated these values because the team received more accurate information concerning Val Verde. These UCAs are available at the Office of Natural Resources Revenue (ONRR) website, onrr.gov/unbundling, and relate to the allowable portion of contractual transportation and processing fees. AVUT modified all values for Val Verde with the exception of the Processing UCAs. AVUT added a new set of values to distinguish between the El Paso andTranswestern mainlines. If you need to see previously published values, or have any questions, please direct these inquiries to onrrunbundling@onrr.gov.”

June 28, 2013: ONRR Publishes Changes to Regulations;
Most notable is the removal of the definition for RIK from the regulations. In addition, the Department changed the timing of the determination of transportation allowances to give them more flexibility.

§ 1206.57 Determination of transportation allowances
*** * *?(c) * * *?(3) ONNR may establish reporting
dates for individual lessees different from those specified in this subpart in order to provide more effective administration. * * *
*** * *?[FR Doc. 2013–15691 Filed 6–27–13; 8:45 am]

Pertinent Language
Federal Register

Office of Senator Tom Udall (NM)
110 Hart Senate Office Building I Washington D.C. 20510
(202) 224-6621

New Mexico, Colorado, Texas, Oklahoma, and Kansas have recently proposed a Five State Plan—developed by state wildlife officials—with the goal of protecting the Lesser Prairie Chicken without listing it as a threatened species. This plan is inspired by and expands on New Mexico’s Candidate Conservation Agreements — where industry, government agencies and conservation groups came together to protect the Sand Dune Lizard, thereby enabling the Fish and Wildlife Service (FWS) to not list it as an endangered species. Senator Udall supported that plan for the Sand Dune Lizard and believes that the Five State Plan, if done correctly, can be a win-win solution resulting in habitat protection and regulatory certainty for the farmers, ranchers, and the oil and gas industry. Senator Udall continues to be engaged with the Administration to ensure the Five State Plan receives proper consideration and has every opportunity to succeed in its goal. On Friday, May 4th, the U.S. Fish and Wildlife Service (FWS) announced that it will reopen the comment period for an additional 45 days on the proposal to list the Lesser Prairie Chicken as a threatened species. Senator Udall encourages all New Mexicans with an interest in this decision to participate in the process by submitting comments to the FWS. Information on submitting an official comment to FWS can be found at the following link. http://www.fws.gov/southwest/es/LPC.html.

Click to see the seven page federal register notice.