Why It Matters

New Mexico is home to hundreds of unplugged oil and gas wells, many with no clear plan—or money—for plugging. Without vital updates to oil and gas rules, the state could be left with billions in costs, while polluted lands and waters threaten our health and future.

While many oil and gas corporations follow the laws that require them to plug wells when they are done producing, some do not, leaving the state to pick up the tab. The job isn’t done until all wells are plugged. Every day a well sits unplugged, it can pollute the air, land and water, harming New Mexicans’ health.

We’re calling on state leaders to modernize outdated bonding rules that ensure there is money from oil and gas corporations to clean up the messes they leave behind. Oil and gas corporations are already throwing their weight around to try to stop these common-sense changes. The only way we can get these updates across the finish line is if you join us in our fight! Your voice matters – help us push decision-makers to support needed safeguards to care for and protect New Mexicans’ health and the air, lands, waters, and cultural resources we depend on.

What’s the Problem?

The current bonding system allows corporations to post as little as $250,000 for hundreds—or thousands—of wells. That’s not enough. The state’s own data show it would cost up to $1.6 billion to plug all abandoned and soon-to-be-abandoned wells in New Mexico.

The state’s data show there are at least 600 abandoned oil and gas wells in New Mexico and the New Mexico Oil Conservation Division expects 4,400 to be abandoned soon without adequate funding to plug them.

We need the right amount of money set aside to address cleanup. Big Oil says that since the state used federal grants to fund well plugging and kept state money in reserve, we shouldn’t require adequate bonding yet. That’s corporate hogwash. President Trump froze the federal program early in 2025, making it even more important to require oil and gas bonding that will cover plugging costs. We cannot afford to underfund risk, especially when the cost of inaction falls on our communities.

The state estimates the cost to safely plug all these oil and gas wells at up to $1.6 billion—but current laws only require a fraction of that from oil and gas corporations—despite leases and the law requiring plugging. Some corporations have as little as $105 per well set aside. If we don’t act, the state and communities will be forced to pay.

Meanwhile, big oil corporations take record profits back to their Houston executives while local communities face local pollution and future risk.

Why This Matters

• Unplugged wells leak harmful methane and contaminate soil and water.
• The public—not polluters—too often ends up paying for cleanup.
• Outdated rules put New Mexico’s health, economy, and environment at risk.
• 89% of New Mexicans support requiring oil and gas corporations, rather than the state, to pay for all of the clean-up and land restoration costs after drilling is finished.
• Plugging wells can create more jobs in the oil and gas fields for displaced workers.

For decades, producers have operated under minimal bonding rules—posting as little as $250,000 to cover hundreds or even thousands of wells. That’s not enough. It’s time for a system that matches today’s realities. The state can—and should—scale bonding based on risk and size. Right now, even large producers pay less than it would cost to clean up their wells. The public should not subsidize bad business models.

The Solution

We’re calling for updates to New Mexico’s bonding rules that:

• Require corporations to fully cover the cost of plugging high-risk wells, not pass that huge financial burden on to the public.
• Require oil and gas operators to promptly plug their wells when the wells are no longer producing.
• Ensure transparency and enforceability, so responsible operators can thrive and bad actors are held accountable.

A Fair Deal for New Mexicans

This isn’t about punishing business—it’s about fairness. Communities shouldn’t continue to bear the cost of pollution they didn’t create. The New Mexico Oil Conservation Commission has the opportunity to modernize rules to ensure oil and gas development happens responsibly, and that our land and water are protected for the present and the future.

Out-of-state oil and gas corporations are already unduly pressuring decision-makers to stop our work toward more fairness. Join us and let’s work together to keep New Mexico enchanting by updating rules to ensure oil and gas corporations pay to clean up their own messes.

Take Action

📢 Add your voice. Urge lawmakers to support oil and gas bonding reform. [Sign the Petition]
📚 Learn more. Read the full proposal and see how it affects your community.