New Mexico leaders fear nuclear waste could endanger oil and gas in the Permian Basin

Adrian Hedden, Carlsbad Current-Argus, 23 June 23 https://www.currentargus.com/story/news/2023/06/23/new-mexico-leaders-fear-nuclear-waste-holtec-endanger-oil-gas-fossil-fuel-permian-basin/70338508007/
State land managers in New Mexico doubled down on their opposition to a proposed project to store spent nuclear fuel at a site near the border of Eddy and Lea counties amid the Permian Basin oilfield.
The New Mexico Land Office owns and oversees operations on State Trust land, largely consisting of fossil fuel extraction in southeast corner of the state, generating revenue used to fund public schools, hospitals and other public services.
Sunalei Stewart, deputy commissioner of operations at the office said it owns mineral rights beneath Holtec International’s proposed project location.
He added that means the agency has the right to oppose and block the project which Commissioner of Public Lands Stephanie Garcia Richard signaled disapproval of due to concerns nuclear waste storage could impact other nearby industries like oil and gas.
Stewart’s comments came before the June 15 meeting of the New Mexico Legislature’s interim Radioactive and Hazardous Material Committing in Santa Fe.
“One thing about Holtec that not everybody appreciates, is that the land, the mineral estate is actually owned by the State Land Office,” said Stewart. “The surface is where the project will occur, but we own all of the mineral rights.”
Holtec International recently received a license from the federal Nuclear Regulatory Commission to build and operate the site on about 1,000 acres owned by the Eddy-Lea Energy Alliance (ELEA), a consortium of the cities of Carlsbad and Hobbs and Eddy and Lea counties.
The project would see up to 100,000 metric tons of spent nuclear fuel rods shipped via rail into southeast New Mexico for storage at the surface on a 40-year license, potentially reprocessed for more fuel or sent to final disposal if such a facility becomes available.
The U.S. does not have a permanent repository for disposal of the waste, igniting fears from New Mexico leaders that the Holtec site could become the “de-facto” resting place for the waste.
Stewart said the Land Office has existing oil and gas leases targeting the minerals beneath Holtec’s proposed location, and that multiple analysis conducted by the NRC failed to account for extraction activities.
“We have expressed a lot of frustration and concern,” Stewart said before lawmakers. “The assumptions for the safety analysis, the environmental analysis, all assumed there would be no oil and gas activity at the site, there would be no potash mining at the site, so sand and gravel at the site. There would be no mineral activity at the site.
“We remained very concerned about the project and how it could impact State Trust land specifically.”
The Permian Basin region, which southeast New Mexico shares with West Texas, is the U.S.’ most productive oilfield, generating up to 5.7 million barrels per day, according to the Energy Information Administration (EIA).
That industry was estimated to generate almost half of New Mexico General Fund revenue in the last fiscal year, according to the most recent state budget analysis – about $7 billion.
That industry and its economic support of the state could be imperiled, Stewart said, by Holtec’s proposal.
“This is really in the heart of the Permian,” he said of the proposed site. “If there was an accident, if there was an incident, we could be in a lot of trouble in terms of other operations that are out there. There are active wells out there.”
Committee Chair Rep. Joanne Ferrary (D-37) said the project would draw waste from about 70 sites in 35 states, which could lead to dangers along the route on the U.S. rail system.
She pointed to Senate Bill 53, sponsored by the committee’s Vice Chair Jeff Steinborn (D-36), that barred New Mexico from issuing various permits the Holtec site would need to operate such as for wastewater discharge or air quality impacts.
“From back east, they’re coming to New Mexico. Most of the time, they would not have to come through New Mexico,” said Ferrary. “Hopefully we can head that off with our legislation.”
Sen. Brenda McKenna (D-9) also voiced concerns for the transportation of the waste, arguing any accidents along the route could imperil New Mexicans or any nearby community.
“They have had accidents,” she said of Holtec. “I hope we will succeed in block in entirely.”
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