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New Mexico

US offers oil and gas drilling rights in first auction since Biden’s IRA

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US offers oil and gas drilling rights in first auction since Biden’s IRA


May 25 (Reuters) – The U.S. on Thursday will hold its first sale of oil and gas drilling rights on federal lands since passage of President Joe Biden’s landmark climate change law, with more than 10,000 acres (40.5 square kilometers) on offer in New Mexico and Kansas.

The federal lease auction is just the second to be held in New Mexico, the nation’s second-largest oil-producing state, since Biden became president in 2021.

Biden’s Interior Department had attempted to suspend federal oil and gas leasing to study its environmental and climate impacts, but the Inflation Reduction Act that passed last year requires some oil and gas auctions if federal rights of way are offered for renewable energy projects.

It is a modest sale, by historical standards, with just 19 parcels on offer on 3,300 acres in New Mexico’s portion of the Permian basin. The auction will include an additional 26 parcels on 6,800 acres in Cheyenne County, Kansas.

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New Mexico crude oil production was about 20 times higher than that of Kansas last year, according to the U.S. Energy Information Administration.

The sale will be conducted by online auction platform EnergyNet beginning at 9:00 am CDT (1400 GMT).

Terms of the sale will reflect new IRA requirements including royalty rates of 16.67%, up from a prior 12.5%, and bids starting at $10 an acre compared with $2 an acre before passage of the law.

The development potential of the parcels in Kansas is estimated to be 1.53 million barrels of oil and 16.66 thousand cubic feet (mcf) of natural gas, according to a U.S. Bureau of Land Management (BLM) sale document.

In New Mexico, the acreage is projected to produce 3.2 million barrels of oil and 18.61 mcf of gas.

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Several environmental groups filed protests that sought cancellation of the sale by BLM. Among other concerns, they said the Biden administration had failed to analyze mitigation efforts to address the impact of greenhouse gas emissions from development of the parcels.

An Interior Department spokesperson would not comment on the protests.

Reporting by Nichola Groom
Editing by Marguerita Choy

Our Standards: The Thomson Reuters Trust Principles.



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New Mexico

Albuquerque Fire Rescue talks about flooding in Metro

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Albuquerque Fire Rescue talks about flooding in Metro


ALBUQUERQUE, N.M. (KRQE) – On Sunday, authorities spoke about how flash flooding affected the Albuquerque Metro.

Bernalillo County experienced power outages and severe flash flooding on Saturday evening. Along with standing water on major roads, rescues were also reported.

Around 10:30 a.m., Albuquerque Fire Rescue and the mayor held a press conference to discuss the weather events.

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New Mexico

Severe weather hits urban New Mexico

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Severe weather hits urban New Mexico


NEW MEXICO (KRQE) – Dangerous weather has been impacting The Metro, as well as other areas in The Rio Grande River Valley. Active weather in the form of flooding thunderstorms, with a few of them severe, have been roaring through with high winds. Additionally, temperatures have taken a dive in areas that have rained.

Earlier today, parts of the South Fork burn-scar received at least a few inches of rain with flash flooding in and around the Ruidoso area. Now, a few of the storms have produced some potentially damaging hail in addition to the heavy rain and gusty winds around Albuquerque as most of the storms are moving relatively quickly from south to north. While some communities closer to the border were sitting in the low triple digits with rain-free conditions, most areas in the Gila National Forest, the Sacramento Mountains, around the urban areas of The Rio Grande, and along the New Mexico-Colorado border are now sitting in the 60’s and low 70s! Thunderstorms got their fuel from the afternoon warmth, the ample moisture present in the atmosphere, and even some help from the arrival of a backdoor cold front. Eventually, as the storms lose their steam tonight while they move to the northern part of the region, the northeastern mountain canyons may experience even gustier east-northeasterly winds early as rain-cooled air will continue to spread.

The high pressure system to the east will keep funneling in Gulf of Mexico and Pacific Ocean moisture as rounds of storms will likely be in store until 4th of July.

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New Mexico

Flooding threat looms over New Mexico burn scar areas

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Flooding threat looms over New Mexico burn scar areas


New evacuations were ordered Saturday with the possibility of flooding near the burn scar.

RUIDOSO, N.M. – New evacuations were ordered Saturday with the possibility of flooding near New Mexico burn scars.

Ruidoso Emergency Management has issued a critical evacuation notice for the Upper Canyon Area due to the heightened risk of unstable soil conditions and life-threatening floodwaters. Residents and visitors are urged to seek higher ground immediately.

Video showed flooding near Ruidoso, near the Gavilan Canyon Softball Field. Video also showed a steady stream of black sludge making its way through town.

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Two years later, and communities in that part of the state are still dealing with the fallout of the Calf Canyon/Hermits Peak burn scar. It was already hit hard by floodwaters last weekend.

Sandbags are being handed out in preparation for more monsoon storms.

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