New Mexico upstream and midstream operators have until 2026 to reduce routine natural gas flaring and venting by 98% under rules enacted Thursday.

Permian flaring

The Oil Conservation Commission (OCC) completed the two-year rulemaking process to update gas capture regulations. The undertaking followed months of testimony and virtual public hearings, with the oil and gas industry pledging its support.

The state is one of the leading oil producers in the country, fueled mostly by the Permian Basin, with considerable production from the San Juan Basin. In 2019, state operators vented and flared an estimated 36 Bcf of gas, according to the Oil Conservation Division (OCD).

OCD director Adrienne Sandoval said the updated rules signal “a huge day for New Mexico.” 

The rulemaking process,...