Oklahoma energy explorers busy in New Mexico’s share of the Permian Basin will soon be faced with new and stricter venting and flaring rules, all in the name of reducing greenhouse gas emissions.
The New Mexico Oil Conservation Commission voted unanimously last week in support of a final rule to eliminate routine venting and flaring from drilling operations. Instead, the new regulations require drillers to capture at least 98% of the gas produced by their wells.
It is considered a major step toward reduction of air pollution and climate emissions from the oil and gas industry, especially the extensive drilling in southeast New Mexico where the Permian is located.
The Commission made it clear that companies who fail to meet the new 98% capture rate could see drilling permits yanked from them. It took two years to develop the new rules that had the support of the New Mexico Oil and Gas Association and environmentalists.
As part of the rules, oil and gas companies will also face future requirements of retrofitting old storage tanks as well as newer technology and monitoring systems in their infrastructure.
“The 98% capture is an ambitious target that will secure significant methane waste reductions that will directly benefit New Mexico’s environment,” said Sarah Cottrell Propst, head of the New Mexico’s Energy, Minerals and Natural Resources Department.
She said since oil and gas operations make up the biggest part of greenhouse gas emissions in the state, the new rules will lead to reductions starting in 2022.
Source: Look West