New Mexico’s oil and gas industry is expected to keep growing at a record pace, resulting in more revenue for the state and billions of dollars in new infrastructure investments to get the commodities to market, according to a study commissioned by industry trade groups.
The predictions were outlined in a report presented to state lawmakers during a meeting Tuesday in Roswell. The report, compiled by a national consulting group, was commissioned by the New Mexico Oil and Gas Association and the American Petroleum Institute.
Analysts estimate it will take $174 billion of new infrastructure to keep pace with expected growth through 2030. That would include investments by the industry in new pipelines, access roads, well pad construction, processing plants and refineries.
With continued growth, the report estimates, production value in New Mexico would increase from $17 billion in 2017 to more than $72.6 billion in 2030, tripling the industry’s contribution to the state’s gross domestic product. Local and state revenues from the industry also would more than double.
(Excerpt) Read more at abqjournal.com ...
The state is #3 in oil and gas production and this year alone has $1.3 billion in surplus in the treasury and funds upwards of 35% of state government. The new far-left radical environmentalist governor, Michelle Lujan-Grisham, has declared war on the industry with new regulations and most recently an attempt to shut down new wells because they must flare methane until pipelines are available to move it. Natural gas is so cheap that some producers are paying to get it off the lease (oil is what brings in the $$).
And still, with gas so cheap, she and her Rat cronies who control all state government passed legislation that will require NM electric companies to rid themselves of fossil fuel generation by 2045 and instead rely only on solar and wind generated power. The cost to us poor consumers will be much greater. It remains to be seen how long the voters will put up with it when the bills get higher. And BTW, she is trying to get the next legislative session to change the way the electric industry is regulated - currently the commissioners are elected, she wants the power to appoint them. Does this sound anything like the way Venezuela started its downward spiral?
The predictions were outlined in a report presented to state lawmakers during a meeting Tuesday in Roswell. The report, compiled by a national consulting group, was commissioned by the New Mexico Oil and Gas Association and the American Petroleum Institute.
Analysts estimate it will take $174 billion of new infrastructure to keep pace with expected growth through 2030. That would include investments by the industry in new pipelines, access roads, well pad construction, processing plants and refineries.
With continued growth, the report estimates, production value in New Mexico would increase from $17 billion in 2017 to more than $72.6 billion in 2030, tripling the industry’s contribution to the state’s gross domestic product. Local and state revenues from the industry also would more than double.
(Excerpt) Read more at abqjournal.com ...
The state is #3 in oil and gas production and this year alone has $1.3 billion in surplus in the treasury and funds upwards of 35% of state government. The new far-left radical environmentalist governor, Michelle Lujan-Grisham, has declared war on the industry with new regulations and most recently an attempt to shut down new wells because they must flare methane until pipelines are available to move it. Natural gas is so cheap that some producers are paying to get it off the lease (oil is what brings in the $$).
And still, with gas so cheap, she and her Rat cronies who control all state government passed legislation that will require NM electric companies to rid themselves of fossil fuel generation by 2045 and instead rely only on solar and wind generated power. The cost to us poor consumers will be much greater. It remains to be seen how long the voters will put up with it when the bills get higher. And BTW, she is trying to get the next legislative session to change the way the electric industry is regulated - currently the commissioners are elected, she wants the power to appoint them. Does this sound anything like the way Venezuela started its downward spiral?
