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N.M. regulators stir debate over fracking water | Arkansas Democrat Gazette

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N.M. regulators stir debate over fracking water | Arkansas Democrat Gazette


SANTA FE, N.M. — Environmental officials in New Mexico took initial steps last week toward regulating the treatment and reuse of oil industry fracking water as the state grapples with scarce water supplies and fossil fuel producers confront shrinking opportunities for wastewater disposal.

A state water quality commission opened a weeklong series of hearings as the nation’s No. 2 state for petroleum production begins to build out a series of rules that initially prohibit the release after treatment of so-called produced water from oil and gas production while still opening the way for pilot projects.

“The rule is prohibitive when it comes to any type of release of any type of produced water, whether treated or untreated,” said Andrew Knight, assistant general counsel to the state Environment Department, in opening statements. “At this point, we couldn’t even tell you what testing would be needed to determine that a certain treatment technology or combination of technologies would be protective.”

He said the agency’s initial rule would be “as protective as possible while still allowing the science to advance through pilot and then demonstration projects.”

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The proposal is generating public protests that give voice to fears of undisclosed contaminants used in the oil- and gas-drilling process. At the same time, oil producers and at least one water service provider say the regulations don’t provide specific water quality standards that might help effective treatment projects move forward.

The Environment Department “apparently wants a regulation to be able to deny a permit based on the source of the water, not its quality,” said Liz Newlin Taylor, an attorney for Select Water Solutions, a Houston-based water-management company for energy producers with operations in Carlsbad. “New Mexico certainly needs additional sources of water, and treated produced water could be part of this solution. These proposed regulations, however, failed.”

Several environmental groups are urging the Environment Department to strike definitions that refer to the reuse of treated water in agriculture, recreational fields, rangeland and potable water.

“The public, understandably, is concerned that the rule allows land application of produced water, and that produced water will infiltrate and pollute groundwater,” said Tannis Fox, an attorney representing environmental groups Amigos Bravos and The Sierra Club. “This is not what the rule says, but it is what members of the public are concerned about.”

New Mexico Gov. Michelle Lujan Grisham has pitched plans for the state to underwrite a strategic new source of water by buying and selling treated water that originates from the used, salty byproducts of oil and natural gas drilling. Related legislation stalled at the Legislature in February without a House or Senate floor vote, but the governor has said she’ll persist.

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Several dozen protesters gathered recently outside the state Capitol to condemn the oil wastewater rule.

They included the lead plaintiff in a lawsuit alleging the state has failed to meet constitutional provisions for protecting against oil and gas pollution.

Another protester, Reyes DeVore, of Jemez Pueblo and the Native American environmental rights group Pueblo Action Alliance, said, “We collectively stand in opposition to the reuse of toxic oil and gas wastewater outside of the oil field.”

“The strategic water supply that Gov. Grisham announced, it’s not a real solution,” she said.

Expert testimony submitted by the New Mexico Oil and Gas Association paints a dire portrait of competition in New Mexico for water resources among cities, farms, industry and wildlife — even as oil-industry water demands grow for fracking.

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“Over the next 50 years, New Mexico will have approximately 25% less water available in rivers and aquifers,” said John D’Antonio, who previously served as New Mexico’s top water regulator — the state engineer. “It impacts everything from municipal planning to population growth to economic activity.”

Other expert testimony from the association notes that oil companies have more and more produced water to dispose of as they increase drilling activity — with decreasing capacity for disposal because of concerns including earthquakes linked to high-pressure injection wells.

The industry generates four or five barrels of wastewater for every barrel of oil produced, said Robert Balch of the Petroleum Research Recovery Center at New Mexico Tech in Socorro.

    Members of the New Mexico Water Quality Control Commission, including Chairman Bruce Thomson, center, gather in Santa Fe, N.M., Monday, May 13, 2024. Environmental officials in the nation’s No. 2 state for petroleum production are taking initial steps toward regulating the treatment and reuse of oil-industry fracking water. New Mexico has been grappling with scarce water supplies, and fossil fuel producers are confronting shrinking opportunities for water disposal. (AP Photo/Morgan Lee)
 
 
  photo  Protesters gather outside the New Mexico Statehouse to denounce a proposed rule for the treatment and recycling of oil-industry fracking water, Monday, May 6, 2024, in Santa Fe, N.M. Environmental officials in the nation’s No. 2 state for petroleum production are taking initial steps toward regulating the treatment and reuse of oil-industry fracking water. New Mexico has been grappling with scarce water supplies, and fossil fuel producers are confronting shrinking opportunities for water disposal. The state’s Water Quality Control Commission opened a weeklong series of hearings on Monday, May 13. (AP Photos/Morgan Lee)
 
 
  photo  Andrew Knight, an attorney for the New Mexico Environment Department, introduces proposed rules for regulating the treatment and reuse of oil industry fracking water in Santa Fe, N.M., Monday, May 13, 2024. New Mexico has been grappling with scarce water supplies, and fossil fuel producers are confronting shrinking opportunities for water disposal. The state’s Water Quality Control Commission opened a weeklong series of hearings on Monday. (AP Photo/Morgan Lee)
 
 
  photo  Members of the New Mexico Water Quality Control Commission, including Chairman Bruce Thomson, second from left, gather in Santa Fe, N.M., Monday, May 13, 2024. Environmental officials in the nation’s No. 2 state for petroleum production are taking initial steps toward regulating the treatment and reuse of oil-industry fracking water. New Mexico has been grappling with scarce water supplies, and fossil fuel producers are confronting shrinking opportunities for water disposal. (AP Photo/Morgan Lee)
 
 



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New Mexico sues Kalshi over allegedly allowing unlawful sports betting

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New Mexico sues Kalshi over allegedly allowing unlawful sports betting


SANTA FE, N.M. — The New Mexico Department of Justice is now suing online prediction market platform, Kalshi, after four of the state’s tribes sued the platform in May.

The NMDOJ, led by state Attorney General Raul Torrez, is alleging Kalshi unlawfully offers online sports betting in the state by allowing people to place wagers on sporting events on its online platform.

In New Mexico, sports betting is legal but is limited to in-person wagering at tribal casinos. The NMDOJ cited this framework as the basis for suing Kalshi, accusing the platform of trying to skirt state gaming laws and regulations.

“New Mexico has a longstanding and carefully balanced system for regulating gaming that protects consumers, ensures accountability and respects tribal sovereignty,” Torrez said. “The only lawful gaming in New Mexico operates either under tribal-state gaming compacts or under strict state regulations to ensure honest gaming free from corruption and licenses gaming operators only after they explain how they plan to address compulsive gambling. Kalshi has ignored that framework entirely while offering online sports betting within the state.

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“We are filing this lawsuit to protect the integrity of our laws, our regulatory system and, most importantly, consumers.”

The NMDOJ accused Kalshi of using “event contracts” to effectively make online sports betting happen in the state. They alleged these contracts function in the same way as traditional sports bets and operate in the state without any gaming license.

NMDOJ also pointed out Kalshi operates with a minimum betting age of 18 years old, three years younger than the minimum age at the state’s tribal casinos.

In May, the Sandia, Isleta and Pojoaque Pueblos and the Mescalero Apache Tribe filed their own lawsuit, pointing out the minimum age and alleging people are using it on their lands in violation of their exclusive rights to offer betting services.

In its lawsuit, NMDOJ is looking to halt Kalshi’s operations in New Mexico and prevent the company from continuing to offer sports-related wagering through its platform.

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KOB has yet to receive a statement from Kalshi on either lawsuit.

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South Valley business estimates $1M in damages after recycling plant fire

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South Valley business estimates M in damages after recycling plant fire


ALBUQUERQUE, N.M. – A local business owner estimates he suffered about $1 million in damages as the result of yet another fire at a South Valley recycling plant.

Town Recycling on Broadway Blvd. SE has witnessed two fires in a span of less than two weeks with the first happening May 23rd and the second occurring Tuesday of this week.

Khalil Samaha, who owns Samcar, Inc. and Cedar’s Construction next door, says his businesses escaped without serious damage from the first fire, but the second one led to the loss of his main building, inventory he sells including trucks, construction equipment, computers, records, and much more.

“It’s a total mess.  Everything is on the ground with water and insulation. It’s a total loss,” he said.

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He gave KOB 4 a tour of his damaged property Wednesday and says that county officials have condemned the main office and won’t let him back inside.

“You can see all the glass is popped,” he said pointing to the windows. “I don’t know if the firefighters broke them or they exploded.”

A spokesperson for Bernalillo County Fire and Rescue issued a statement saying that, based on witness accounts, both fires may have started in a “bale of cardboard” at the recycling facility.

As of Wednesday evening, Broadway between Prosperity and Rio Bravo remained closed.

Samaha says firefighters attempted to battle the second fire from a different area than the first and the wind may have made conditions tougher.

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“This time, the wind didn’t help,” he said. “So, it was blowing in my direction and took the building and some equipment in the back.”

Having seen two fires at the neighboring recycling facility in a span of about 11 days, he wonders if this will finally be the end of it.

“I hope it’s the last time. But, worried? Yes, we are worried,” he said. “We are close to them, and the materials are close to the fence. We share the fence together, so it’s always in the back of your mind.”

And now he lives with the memory of how quickly everything can change – just like it did earlier this week.

“It was very quick.  From the smoke to the flame to the fire, it was very, very quick.”

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A representative of Town Recycling declined our request for an interview.



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New Mexico Highlands University president sues school

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New Mexico Highlands University president sues school


LAS VEGAS, N.M. – New Mexico Highlands University President Niel Woolf has sued the school, claiming leaders pushed him to redirect a $600,000 contract to a chairman’s friend.

Woolf filed the lawsuit after the university placed him on administrative leave at the beginning of May.

He says Board of Regents Chair Frank Sanchez told him to cancel a $600,000 agreement with an out-of-state contractor and give it to a local contractor.

Woolf says that company is led by a friend of both Sanchez and his brother-in-law, Sen. Pete Campos, who represents Las Vegas.

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In the lawsuit, Woolf says Sanchez told him directing the funds to his friend would “go a long way towards securing money for the University from Senator Campos,” said Woolf.

Woolf is seeking damages and attorney’s fees under the New Mexico Whistleblower Protection Act.



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