ALBUQUERQUE, N.M. (AP) – New Mexico’s oil and gas industry is expected to keep growing at a record pace, resulting in more revenue for the state and billions of dollars in new infrastructure investments to get the commodities to market.
The predictions were presented to state lawmakers Tuesday. The New Mexico Oil and Gas Association and the American Petroleum Institute commissioned the study.
Analysts estimate it will take $174 billion of new infrastructure to keep pace with expected growth through 2030. That infrastructure would range from new pipelines and access roads to well construction, processing plants and refineries.
Ryan Flynn with the oil and gas association says he doesn’t see it as an infrastructure challenge but rather natural growth in investment that will come from production hitting new highs in the Permian Basin.