New Mexico regulators fined Enterprise Field Services $90,000 for failing to report a fire and condensate spill at a Permian Basin facility.
The Energy, Minerals and Natural Resources Department’s Oil
Conservation Division announced that it has settled a notice of violation issued to Enterprise Field Services, LLC of Houston, Texas for failing to give timely notice and to submit proper documentation for the closure of a release at the Oxy Sand Dunes North Compressor Station.
To settle the alleged violations Enterprise agreed to pay a civil penalty of $90,000 and to take actions to prevent the violations from occurring again.
The notice of violation alleged that in August 2020, a fire occurred at Enterprise’s Oxy Station in Eddy County, New Mexico. During the fire, the Oxy Station released approximately 250 barrels of
condensate liquid. Because the incident involved an unauthorized release caused by a fire and released more than 25 barrels of condensate liquid, the release is considered to be a major
release for which Enterprise was required to give notice to the OCD within 24 hours.
The state agency said Enterprise failed to provide the 24 hour notice until December 14, 2020, or 134 days later. Rules required the company to file a notice in writing within 15 days but it did not file the notice until Feb. 4, 2021 or 171 dates late.
“The settlement with Enterprise holds the operator accountable and establishes a path to ensuring compliance moving forward,” said OCD Director Adrienne Sandoval. “The reestablishment of OCD’s ability to assess civil penalties was a crucial step to ensure companies are operating responsibly in New Mexico.”
Source: Agency release