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The Threat to Otero Mesa: Oil & Gas Development

Instead, they offered a new alternative that would open much of the fragile grasslands in Otero Mesa to a roving 5% drilling scheme. This bait and switch tactic, reminiscent of actions recently taken with Alaska's Arctic National Wildlife Refuge is designed to convince the general public that small amounts of land would be impacted. But in the Greater Otero Mesa Area hundreds of leases may be realized, drilling could occur in a critical 116,000-acre stretch 5% at a time. Once the companies make an attempt at reclamation, they can then proceed to the next 5%. Sadly, little science is available that speaks to reclamation success in the dry harsh climate of the Chihuanuan Desert. Even less scientific study answers the question of what effect fragmentation will have on the many species that call this land home. Outside of the 116,000-acre grassland unit, drilling could proceed with little or no stipulations.

In late February, the BLM Resource Advisory Council (RAC) held hearings to better understand the BLM's decision and hear from the effected parties. It was clear that both industry and the conservation community were not happy with the decision. Steve Yates of HEYCO, expressed frustration that any limits were being placed on development. Mr. Yates was also quick to say that directional drilling was not an option due to cost, geology and the inability to find targets as a result of the 5% regulation. The BLM Resource Advisory Council voted for changing the final alternative and trying to find a compromise.

This past January during the last New Mexico State Legislature session, State Senator Terry Marquardt of Alamogordo, introduced House Bill 437, that would have the state appropriate $50,000 to study the feasibility of building at state expense, a gas fired power plant in the Greater Otero Mesa Area. This despite the fact that Duke Energy is currently building 4 new power plants in New Mexico, with 3 more in the planning stages. New Mexico currently enjoys a glut of power and if the 7 plants already under construction or planning were built, New Mexico would enjoy over 2,200 megawatt of excess power by the year 2007. Making construction of another power plant at taxpayer expense frankly irresponsible.

Two natural gas wells have been drilled in the Greater Otero Mesa Area. One well has produced 4.4 million cubic feet per day. By industry standards this is a commercial success. They were however forced to drill down to 7100 feet in order to reach the Orogrande Basin.

Yates continues to say that directional drilling is not an option due to cost, geology and the inability to find real targets because of potential no-surface occupancy regulations.

 

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