Wed. Jun 12th, 2024

New Mexico Land Office considers emergency oil and gas rule

SANTA FE, N.M. (AP) — Land managers in New Mexico are now considering an emergency rule allowing oil and gas companies that lease state trust land to temporarily stop producing without penalty for at least 30 days, with a possible extension of up to 120 days.

According to the Associated Press, State Land Commissioner Stephanie Garcia Richard on Friday pointed to the effects of the global coronavirus pandemic as well as the price war between Russia and Saudi Arabia that has threatened America’s yearslong fracking boom.

“Here in New Mexico, the ripples of this situation hit hard, not only when thinking about the state budget, but within communities where people rely on the boom for jobs to support their families,” Garcia Richard said.

The State Land Office will be taking public comments on the proposed shut-in rule until April 17, when a tele-hearing is scheduled.

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