NM
New Mexico House Bill HB361

New Mexico 2025 Regular Session

New Mexico House Bill HB361 Compare Versions

OldNewDifferences
1-HB 361
2-Page 1
1+underscored material = new
2+[bracketed material] = delete
33 1
44 2
55 3
66 4
77 5
88 6
99 7
1010 8
1111 9
1212 10
1313 11
1414 12
1515 13
1616 14
1717 15
1818 16
1919 17
2020 18
2121 19
2222 20
2323 21
2424 22
2525 23
2626 24
2727 25
28+HOUSE BILL 361
29+57
30+TH LEGISLATURE
31+-
32+
33+STATE
34+
35+OF
36+
37+NEW
38+
39+MEXICO
40+
41+-
42+ FIRST SESSION
43+,
44+
45+2025
46+INTRODUCED BY
47+Andrea Romero
2848 AN ACT
2949 RELATING TO NATURAL RESOURCES; PROVIDING THAT THE ENERGY,
3050 MINERALS AND NATURAL RESOURCES DEPARTMENT MAY AUTHORIZE THE
31-CONVERSION OF AN OIL OR GAS WELL INTO A FACILITY THAT
32-PROVIDES ENERGY STORAGE OR DEVELOPS GEOTHERMAL ENERGY.
51+CONVERSION OF AN OIL OR GAS WELL INTO A FACILITY THAT PROVIDES
52+ENERGY STORAGE OR DEVELOPS GEOTHERMAL ENERGY.
3353 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
3454 SECTION 1. A new section of Chapter 71 NMSA 1978 is
3555 enacted to read:
36-"SHORT TITLE.--This act may be cited as the "Well
37-Repurposing Act"."
56+"[NEW MATERIAL] SHORT TITLE.--This act may be cited as the
57+"Well Repurposing Act"."
3858 SECTION 2. A new section of Chapter 71 NMSA 1978 is
3959 enacted to read:
40-"DEFINITIONS.--As used in the Well Repurposing Act:
60+"[NEW MATERIAL] DEFINITIONS.--As used in the Well
61+Repurposing Act:
4162 A. "energy storage" means the ability to capture
42-energy sources at one time for use at a later time;
43-B. "geothermal energy development" means the
44-development of geothermal resources; and
45-C. "geothermal resources" means the natural heat
46-of the earth in excess of two hundred fifty degrees
47-Fahrenheit, or the energy, in whatever form, below the
48-surface of the earth present in, resulting from, created by
49-or that may be extracted from this natural heat in excess of
50-two hundred fifty degrees Fahrenheit, and all minerals in
51-solution or other products obtained from naturally heated HB 361
52-Page 2
63+.230125.1 underscored material = new
64+[bracketed material] = delete
5365 1
5466 2
5567 3
5668 4
5769 5
5870 6
5971 7
6072 8
6173 9
6274 10
6375 11
6476 12
6577 13
6678 14
6779 15
6880 16
6981 17
7082 18
7183 19
7284 20
7385 21
7486 22
7587 23
7688 24
7789 25
78-fluids, brines, associated gases and steam, in whatever form,
79-found below the surface of the earth, but excluding oil,
80-hydrocarbon gas and other hydrocarbon substances and
81-excluding the heating and cooling capacity of the earth not
82-resulting from the natural heat of the earth in excess of two
83-hundred fifty degrees Fahrenheit, as may be used for the
84-heating and cooling of buildings through an on-site
90+energy sources at one time for use at a later time;
91+B. "geothermal energy development" means the
92+development of geothermal resources; and
93+C. "geothermal resources" means the natural heat of
94+the earth in excess of two hundred fifty degrees Fahrenheit, or
95+the energy, in whatever form, below the surface of the earth
96+present in, resulting from, created by or that may be extracted
97+from this natural heat in excess of two hundred fifty degrees
98+Fahrenheit, and all minerals in solution or other products
99+obtained from naturally heated fluids, brines, associated gases
100+and steam, in whatever form, found below the surface of the
101+earth, but excluding oil, hydrocarbon gas and other hydrocarbon
102+substances and excluding the heating and cooling capacity of
103+the earth not resulting from the natural heat of the earth in
104+excess of two hundred fifty degrees Fahrenheit, as may be used
105+for the heating and cooling of buildings through an on-site
85106 geo-exchange heat pump or similar on-site system."
86107 SECTION 3. A new section of Chapter 71 NMSA 1978 is
87108 enacted to read:
88-"AUTHORIZATION OF OIL OR GAS WELL CONVERSION--ENERGY
89-STORAGE--GEOTHERMAL ENERGY DEVELOPMENT.--The energy, minerals
90-and natural resources department may authorize the conversion
91-of an oil or gas well into a facility that provides or
92-supports energy storage or geothermal energy development.
93-When authorizing such a conversion, the department may
94-establish fees and financial assurance requirements specific
95-to the energy storage or geothermal development uses."
96-SECTION 4. A new section of Chapter 71 NMSA 1978 is
97-enacted to read:
98-"WELL REPURPOSED FOR ENERGY STORAGE--BENEFICIAL USE.--
99-A. An oil or gas well that is authorized by the
100-energy, minerals and natural resources department pursuant to
101-the Well Repurposing Act to be used for energy storage and
102-that is actively operated for energy storage shall not be HB 361
103-Page 3
109+"[NEW MATERIAL] AUTHORIZATION OF OIL OR GAS WELL
110+CONVERSION--ENERGY STORAGE--GEOTHERMAL ENERGY DEVELOPMENT.--The
111+energy, minerals and natural resources department may authorize
112+the conversion of an oil or gas well into a facility that
113+provides or supports energy storage or geothermal energy
114+development. When authorizing such a conversion, the
115+.230125.1
116+- 2 - underscored material = new
117+[bracketed material] = delete
104118 1
105119 2
106120 3
107121 4
108122 5
109123 6
110124 7
111125 8
112126 9
113127 10
114128 11
115129 12
116130 13
117131 14
118132 15
119133 16
120134 17
121135 18
122136 19
123137 20
124138 21
125139 22
126140 23
127141 24
128142 25
129-considered an inactive or abandoned well and shall be
130-considered a well that is being used for beneficial purposes.
143+department may establish fees and financial assurance
144+requirements specific to the energy storage or geothermal
145+development uses."
146+SECTION 4. A new section of Chapter 71 NMSA 1978 is
147+enacted to read:
148+"[NEW MATERIAL] WELL REPURPOSED FOR ENERGY STORAGE--
149+BENEFICIAL USE.--
150+A. An oil or gas well that is authorized by the
151+energy, minerals and natural resources department pursuant to
152+the Well Repurposing Act to be used for energy storage and that
153+is actively operated for energy storage shall not be considered
154+an inactive or abandoned well and shall be considered a well
155+that is being used for beneficial purposes.
131156 B. If an oil or gas well authorized for energy
132-storage ceases storage operations for twelve months or
133-longer, the well shall be plugged and abandoned pursuant to
134-state law and rules issued by the oil conservation division
135-of the energy, minerals and natural resources department."
157+storage ceases storage operations for twelve months or longer,
158+the well shall be plugged and abandoned pursuant to state law
159+and rules issued by the oil conservation division of the
160+energy, minerals and natural resources department."
136161 SECTION 5. EFFECTIVE DATE.--The effective date of the
137162 provisions of this act is July 1, 2025.
163+- 3 -
164+.230125.1