So far, the State Land Office has issued an emergency rule allowing oil and gas companies to voluntarily shut in, or close, their wells without penalty, and regulators said many companies are doing so because they can’t ship their oil anywhere.
Yet Land Commissioner Stephanie Garcia Richard suggested the state should go even further.
“If there was a way for the state to have more flexibility in terms of authorizing production cuts, that would benefit us,” Garcia Richard said.
I can store some Diesel for, say, a buck a gallon/month.
ping.
Thought it might it might interest you
So, if they do this, who would have guessed that it would be Texas to be the first openly communist State and adopt & implement standard Soviet and chicom dogma...
And Trump stays silent.
We’ve been cutting back production for some time now. When oil went below 25 many started shutting down high cost low producing wells. I’ve turned off 18 of the 72 wells here on the ranch, only thing running is my plunger lifts, my AJAX pumping wells and my flowing wells. I haven’t sold any oil this month. My tanks are reaching capacity. We’re still selling all the gas we can.
Low demand causing low prices and lack of storage will force shut-ins. No government actions needed.
My first thought was let’s build more storage for SPR and fill it up. Who knows what the future holds, so it would help to have more backup for our nation.
Since I know so little about the subject, I read a little on Wikipedia and found this:
Richton, Mississippi: This facility, if built as planned, would have had a capacity of 160 million barrels (25,000,000 m3) with a drawdown capacity of 1 million barrels (160,000 m3) per day. Former Secretary of Energy Samuel Bodman announced the creation of this site in February 2007.
As of 2008, this site was facing some opposition.According to the DOE: “Activities towards the goal of expansion of the SPR to one billion barrels, as directed by Congress in the 2005 Act, were cancelled in 2011 after Congress rescinded all remaining expansion funds.”
link: https://en.wikipedia.org/wiki/Strategic_Petroleum_Reserve_(United_States)
Let the market do its job. If the government didn’t constantly interfere, the economy wouldn’t be imploding
I want the politically dictatorial Democrat regime to collapse in New Mexico (Lujan/Grisham, the Castro Brothers and their Marxist La Raza founding mother, the Marxist organizations in Albuquerque and Santa Fe, etc.
Only then can the Republicans take back the state and clean it up.
Sorry folks. I’ve worked on cleaning up the environment of New Mexico but the Democrats are more dangerous than any uranium mine in my legal work.
I continue to be stunned that we don’t ban the foreign import of oil.
NM ping list.
There is some kind of irony in an American Economy where:
1) Oil producers lament the loss of Arab Cartel price-fixing that helped the Arabs fund Al Quida muzzy terrorists to kill Americans.
2) American workers pine for the 60-hour work-weeks so they could pay into an insolvent Ponzi scheme of unfundable Federal Entitlements, received in majority part by a demographic under threat from a Chinese made virus released to kill them.
3) Federal taxes also collected from the poor schlubs in 2) are given by America’s bloated Federal “health care” to that same China to develope the virus.
Did I miss any of the irony?
Big difference in Texas and New Mexico. In Texas, 99% of the time the oil is being pumped from private property where the owner has mineral rights. This is rarely true anywhere else on earth and in half the USA.
The State cannot easily order a stop to pumping lest it be a “taking”.
In New Mexico you are almost always pumping from State or BLM land and they get a bigger say.
When “Texas” cuts production, that generally means Texas producers.
“Garcia Richard earned her BA in political science from Barnard College (1996) of Columbia University and her teaching certificate from University of California, Los Angeles.”
THAT is who is chiming in on oil drilling policy in New Mexico. A school teacher with a poli-sci degree.