{"id":95597,"date":"2019-02-15T16:05:45","date_gmt":"2019-02-15T23:05:45","guid":{"rendered":"https:\/\/dh.durangoherald.com\/tj\/new-mexico-nets-record-revenues-from-oil-production\/"},"modified":"2019-02-15T16:05:45","modified_gmt":"2019-02-15T23:05:45","slug":"new-mexico-nets-record-revenues-from-oil-production","status":"publish","type":"post","link":"https:\/\/dh.durangoherald.com\/tj\/new-mexico-nets-record-revenues-from-oil-production\/","title":{"rendered":"New Mexico nets record revenues from oil production"},"content":{"rendered":"
\"Pump
Pump jacks work in a field near Lovington, N.M. Oil production in New Mexico has surged, resulting in record revenues for government coffers and public education. Figures released Tuesday by an industry group show revenues and taxes from the oil and natural gas sector reached a high of $2.2 billion for the 2018 fiscal year.<\/span>Charlie Riedel\/Associated Press file<\/span><\/figcaption><\/figure>\n

New figures released by the New Mexico Oil and Gas Association show revenues, taxes and other fees related to the fossil fuels-producing sector reached a high of $2.2 billion for the 2018 fiscal year.<\/p>\n

That represents an increase of $465 million over the previous fiscal year and an additional $128 million specifically for education. Overall, the industry provided more than $1 billion for public schools and the state\u2019s universities during the period.<\/p>\n

The boom has been driven by production in the Permian Basin, which straddles southeastern New Mexico and West Texas. Competition remains fierce as both states and the federal government look to capitalize on the financial windfall that has come from the latest boom.<\/p>\n

The U.S. Bureau of Land Management recently touted the $1.1 billion that resulted last year from oil and gas lease sales on federally managed public land, and most of that came from New Mexico.<\/p>\n

The state also surpassed California and Oklahoma to become the third-largest producer in the country while still trailing Texas.<\/p>\n

Government forecasters also announced Tuesday that the United States \u2013 already the world\u2019s biggest oil producer \u2013 will pump progressively more barrels of oil per day in 2019 and 2020 to become a net exporter of crude and petroleum products. Most of the increase is expected to come from Texas and New Mexico.<\/p>\n

\u201cThe future is very bright for New Mexico, and we can expect these trends to hold for the foreseeable future if New Mexico remains a favorable place for oil and natural gas producers to do business,\u201d said Ryan Flynn, the association\u2019s executive director.<\/p>\n

\"Jacob
Jacob Ford\/Odessa American via AP, file<br><br>An oil rig and pump jack work along the roadside of FM 1788 in October in Midland, Texas. With more barrels of oil being pumped monthly from the Permian Basin, New Mexico is among the nation\u2019s top producing states.<\/span>du1-i-syn<\/span><\/figcaption><\/figure>\n<\/p>

One measure calls for increasing the royalty rate for the most productive oil and natural gas wells on state trust land, while another would impose a four-year moratorium on state-issued oil and gas permits that involve hydraulic fracturing. Because every well involves fracking to squeeze more oil and gas from shale formations, industry experts have said that could have devastating effects on development in New Mexico.<\/p>\n

Potential penalties against developers who flout oil well maintenance and cleanup regulations could also increase from $1,000 a day to $15,000 a day under another proposal being floated by Democratic lawmakers.<\/p>\n

Many of the bills are the result of a policy shift promised by Democrats as they swept top leadership posts across state government and expanded their majority in the Legislature during the midterm elections.<\/p>\n

If it weren\u2019t for the revenue boost provided by the oil and gas industry, Flynn said New Mexico lawmakers would not have as much flexibility as they chart out their spending priorities for the upcoming year. The extra revenue makes tax credits or rebates for other industries such as film or renewable energy possible while still balancing the budget, he said.<\/p>\n

According to the association, the oil and gas money represented nearly one-third of total recurring state general fund revenues last year. It trickled down to Albuquerque Public Schools and other districts around the state, while the University of New Mexico and New Mexico State University shared in more than $100 million.<\/p>\n

\u201cYou can\u2019t just ignore our industry when it comes to diversifying the economy or trying to go out and grow our state\u2019s economy,\u201d Flynn said. \u201cWe\u2019re the foundation. I feel like the better our industry is doing, the more opportunities policymakers have.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

jacks work in a field near Lovington, N.M. Oil production in New Mexico has surged, resulting in record revenues for government coffers and public education. Figures released Tuesday by an industry group show revenues and taxes from the oil and natural gas sector reached a high of $2.2 billion for the 2018 fiscal year.Charlie […]<\/p>\n","protected":false},"author":1,"featured_media":30603,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[5742,5735],"tags":[221,138],"naviga_topic":[],"class_list":["post-95597","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","category-news","tag-gas-and-oil","tag-new-mexico"],"acf":[],"author_name":"dh_admin","_links":{"self":[{"href":"https:\/\/dh.durangoherald.com\/tj\/wp-json\/wp\/v2\/posts\/95597","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dh.durangoherald.com\/tj\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dh.durangoherald.com\/tj\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dh.durangoherald.com\/tj\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dh.durangoherald.com\/tj\/wp-json\/wp\/v2\/comments?post=95597"}],"version-history":[{"count":0,"href":"https:\/\/dh.durangoherald.com\/tj\/wp-json\/wp\/v2\/posts\/95597\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dh.durangoherald.com\/tj\/wp-json\/wp\/v2\/media\/30603"}],"wp:attachment":[{"href":"https:\/\/dh.durangoherald.com\/tj\/wp-json\/wp\/v2\/media?parent=95597"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dh.durangoherald.com\/tj\/wp-json\/wp\/v2\/categories?post=95597"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dh.durangoherald.com\/tj\/wp-json\/wp\/v2\/tags?post=95597"},{"taxonomy":"naviga_topic","embeddable":true,"href":"https:\/\/dh.durangoherald.com\/tj\/wp-json\/wp\/v2\/naviga_topic?post=95597"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}