New Mexico assets capture attention of oil and gas giants

The Albuquerque Journal ^ | April 18, 2017 | Susan Montoya Bryan, AP

[CedarDave]

ALBUQUERQUE, N.M. — As New Mexico’s elected leaders wrangle over raising taxes to plug a budget shortfall, major multinational energy companies have quietly spent more than $13 billion in recent months on assets in the state’s oil and gas hot spots.

The new wave of investment bodes well for the industry being able to generate much-needed revenues for the struggling state over the long haul, analysts said.

The interest from companies such as Texas-based EOG Resources, ExxonMobil and Marathon Oil started last fall and is carrying into this year despite prices remaining around $50 a barrel.

New Mexico also led the nation last week in the number of new rigs added to the count, and state officials have been pulling in record earnings during monthly lease sales.

[CedarDave]

Good news in an otherwise bleak economic outlook for New Mexico as oil and gas income funds one-third of the state budget. However, if the state elects a left-leaning governor next year who does not support the industry but instead is in the pocket of the angry anti-fossil fuel environmentalists, new restrictions on drilling and production will put a damper on the industry. Especially true as the major hydrocarbon-bearing formations are along our border with Texas and that state would pick up the slack if rules are too stringent to allow profitable production.

[AndyTheBear]

New Mexico assets capture attention of oil and gas giants

The planet Jupiter has noticed the state of New Mexico???

[Eric in the Ozarks]

I still do a bit of business with Artesia and Cinizia refineries.
They are tea kettles compared to other plants...

[AZLiberty]

Santa Fe legislators will find it hard to resist oil money. After the next election, NM will be helping Make America Great Again.

If NM won’t drill, perhaps Texas will do some extracurricular horizontal drilling.

[Mister Baredog]

The planet Jupiter has noticed the state of New Mexico???

I see what you did there lol!

[CedarDave]

Bumper sticker on pickup:

EARTH FIRST!
(We can drill the other planets later.)

[CedarDave]

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