Oil company withdraws application for New Mexico pipeline

By The Associated Press

The Bureau of Land Management says an oil company with plans to build a pipeline in New Mexico capable of moving 50,000 barrels of crude oil a day has withdrawn its application for the project.

 

FARMINGTON, N.M. (AP) — The Bureau of Land Management says an oil company with plans to build a pipeline in New Mexico capable of moving 50,000 barrels of crude oil a day has withdrawn its application for the project.

Saddle Butte San Juan, LLC, sent a letter to the agency saying that market conditions led to the decision to withdraw the right of way application for the Pinon pipeline system.

The project would have been be made up of smaller pipelines that would gather oil at well pads and other points. A larger pipeline would have moved the oil south to a distribution center near Interstate 40 in western New Mexico.

Environmentalists had voiced concerned that the pipeline would open the door to an exponential increase in production in the San Juan Basin.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...

Reduce Engineering Project Complexity

Engineering document management presents unique and complex challenges. A solution based in Enter...

Revolutionizing Asset Management in the Electric Power Industry

With the arrival of the Industrial Internet of Things, data is growing and becoming more accessib...

Latest PennEnergy Jobs

PennEnergy Oil & Gas Jobs