NM oil and gas bonds inadequate for cleanup yahoo.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from yahoo.com Daily Mail and Mail on Sunday newspapers.
New Mexico is short about $8 billion in financing from oil and gas companies to fund the cost of closing and cleaning up wells throughout the state.
A study released Thursday conducted by the Center for Applied Research and commissioned by the New Mexico State Land Office reported the discrepancy created a liability for state taxpayers and limited the ability of regulators to ensure adequate clean up is conducted when oil and gas wells are no longer used.
The State has about $201 million in financial assurances, the report read, paid through bonding by operators when wells are drilled and used if they go bankrupt or abandon a well.