Adrian Hedden
Carlsbad Current-Argus

Fossil fuel industry says its ready to respond to results

Helicopters will take to the skies of southeast New Mexico and West Texas as the federal government evaluates the extent of air pollution caused by oil and gas production in the booming Permian Basin.

The Environmental Protection Agency announced a new round of flyover analysis throughout the Permian Basin on Aug. 6. The region spans southeast New Mexico and West Texas, producing about 6 million barrels of oil per day, according to the Energy Information Administration.

But all that oil could produce pollutants vented into the air or burned via flaring.

The EPA said it planned to study the impacts of fossil fuel production on local air quality affected by the release of greenhouse gasses like methane and volatile organic compounds (VOCs), which are known to create ground-level ozone, or smog, when interacting with sunlight.

Long-term exposure to smog can cause breathing problems like asthma or cancers, the EPA reported.

Facilities out of compliance with federal air quality law will be referred to the Department of Justice, read a news release, and enforcement actions could include fines, penalties, orders for corrective action and required monitoring to ensure sites come into compliance.

The EPA reported it issued 48 enforcement actions in the Permian Basin in the last five years, with penalties totaling $4.9 million and several operators required to install “enhanced monitoring systems” while reevaluating permits and submitting federal reports to verify compliance.

Such work reduced 94 million pounds of emissions, read the report, about 20 million pounds of VOCs and 74 million pounds of methane.

EPA Region 6 Administrator Earthea Nance said the work was intended to protect public safety and the environment as energy production expands in the region.

The EPA was considering listing the Permian in both states in violation or “non-attainment” of the National Ambient Air Quality Standard (NAAQS) for ozone as elevated levels were found in both and Eddy and Lea counties in recent years.

A non-attainment designation could slow air permitting for the oil and gas and other industries.

“EPA is taking to the skies to protect the people who live and work in the Permian Basin from pollution that contributes to climate change and smog,” Nance said. “By focusing on the largest leaks in the basin, our efforts can make a big difference in improving air quality and public health as we ensure that oil and gas facilities return to compliance as quickly as possible.”

Oil and gas industry ‘working with regulators’

Missi Currier, president with the New Mexico Oil and Gas Association said the industry would await any findings from the EPA’s latest flyover studies and would act accordingly to limit air pollution emissions in the Permian Basin.

“Our members make every effort to comply with federal and state regulations to help protect the communities in which we operate,” Currier said. “The continued efforts of flyovers by the regulators and identification of any findings will continue to be addressed by our members who are dedicated to correcting mistakes and working with the regulators.”

The EPA’s announcement came on the heels of a report showing the extent of the damage was four-times higher nationwide than the agency’s previous estimate, according to the Environmental Defense Fund (EDF).

Highest total emissions were found in the Permian Basin, read the study, followed by the Appalachian and Haynesville Shale regions in the southeast U.S.

The EDF study was conducted using 30 flights between June and October of last year, over 70 percent of U.S. oil and gas production in the lower 48 states of the U.S.

Are more regulations needed to address air quality in Permian?

The EDF advocated for stronger federal oversight in the wake of its study, pointing to recent regulations enacted by the EPA in May.

Those rules sought to reduce methane emissions by increasing monitoring of extraction facilities, requiring new gas capture technologies in new and existing sources of emissions and imposing an a “waste emissions charge,” calling for oil and gas facilities to pay a rate on wasted natural gas. The charge was proposed in January and was being considered by the agency.

“EDF’s recently released MethaneAIR data suggests that methane pollution from the Permian Basin far outpaces any other basin in the country, said Nini Gu, EDF regulatory and legislative manager. “New Mexico should continue to demonstrate leadership by developing a state plan to implement the EPA Methane Rule in early 2025.”

Gu said the State of New Mexico should bring about its own stronger rules to follow the EPA’s and reduce air pollution from the state’s nation-leading energy industry.

“An effective state plan would include tighter venting restrictions, fully phasing out natural gas emitting pneumatic devices on an accelerated timeline, and a super emitter program to ensure large emissions observed by third parties are addressed,” Gu said.

Meanwhile, industry-led initiative the Environmental Partnership reported oil companies in 2023 reduced flare intensity – the amount of methane emitted per the number of flares – by 6.6 percent, while cutting total flare volumes by 10 percent from the year before.

The Partnership said it represents more than 100 companies in the U.S. oil and gas industry, representing about 70 percent of U.S. onshore oil and gas production.

The report also showed members reduced reported flare volumes by 75 percent since 2019.

“The Environmental Partnership’s member companies have proven, once again, that collaboration, innovation and commitment to a shared goal of reducing emissions are achieving meaningful and lasting environmental results, said Todd Staples, president of the Texas Oil and Gas Association. “TXOGA applauds not only their ongoing success, but the continuing growth of the Partnership and its impact.”

Adrian Hedden can be reached at 734-972-6855, achedden@currentargus.com or @AdrianHedden on the social media platform X.