It is well-established that oil and natural gas development has been an economic boon for New Mexico. But critics of the industry remain undeterred in trying to manufacture narratives that contradict reality.

The recently released short documentary, “The Land of Sacrifice: The Burden of New Mexico’s Oil and Gas Extraction,” pushes the kind of agenda-driven story we’ve come to expect from opponents of American energy development. Relying on selective storytelling and exaggerated claims, the film misinforms viewers about energy development and the oil and gas industry in New Mexico.

Let’s dive in and unpack some of the more egregious claims in the film.

Claim: “[The oil and gas industry’s] business model is to privatize the profits and then socialize the losses… to stick the cleanup bill to the New Mexican taxpayers. This is their ‘take the money and run’ approach.” – Justin Mikulka, Oilfield Witness (16:22)

Fact: New Mexico’s oil and gas industry contributes billions of dollars annually in state and local revenue, supports hundreds of thousands of family-sustaining jobs for New Mexicans, and directly supports the state’s education and health systems.

Claiming the oil and gas industry is taking all the profits and leaving New Mexicans with the tab could not be further from the truth.

From FY2018 to FY2024, oil and gas revenues to the state quintupled, growing from $2.6 billion to $13 billion. In FY2025, oil and natural gas generated more than $13.1 billion in state and local revenues. Of that total, $2.4 billion went directly to education, supporting more than 400 schools, 305,000 students and 9,363 teachers within the state. These same revenues supported over $2.5 billion in health programs including Medicaid, providing vital care for 878,000 New Mexicans.

Additionally, in FY2025, oil and gas revenues contributed $532 million to local infrastructure projects and $1.3 billion in direct distributions to cities, counties, and municipalities, allowing local legislative bodies to address community needs.

The oil and natural gas industry also employs over 100,000 New Mexicans. According to 2024 data from the New Mexico Workforce Solutions Department, the average annual wage for an individual in oil and gas production is $142,249 and $88,555 for those working in supporting industries. By comparison, the median wage for all New Mexico occupations was around $45,000 in 2024.

Claim: “Every fracking site in our state is granted with no consideration for the environment or public health.” – Gail Evans, Center for Biological Diversity (3:41)

Fact: The energy industry in New Mexico is highly-regulated and is reducing emissions while providing affordable, reliable energy.

New Mexico has established methane standards that far exceed federal regulations. In 2022, New Mexico adopted a rule that requires operators to capture 98 percent of produced natural gas by December 2026, one of the most ambitious targets in the country.

And the industry is reducing its emissions.

According to a recent S&P Global analysis, the methane emissions intensity of upstream oil and gas operations in the Permian Basin was 0.44 percent per barrel of oil equivalent in 2024, representing a 29 percent reduction from the previous year. Absolute annual 2024 methane emissions decreased by 21.3 billion cubic feet (bcf), representing a 22 percent decline from the previous year. Since the end of 2022, absolute emissions have declined by 55.2 bcf. This decline is equivalent to 28.8 million metric tons (MMT) of carbon dioxide emissions avoided.

To put these numbers into perspective, this reduction in absolute methane emissions over a two-year period was:

• Greater than the greenhouse gas emissions from cooling and heating all the homes in California
• 15 percent greater than the emissions avoided by all electric vehicles sold in the United States and the European Union
• 50 percent greater than the total emissions reductions in the UK power sector
• Equal to 2.2 billion trash bags recycled instead of landfilled

Does that sound like there’s “no consideration for the environment or public health”? Of course not.

Claim: “The Industry doesn’t know what to do with all of this toxic liquid waste.” – Gail Evans, Center for Biological Diversity (9:56)

Fact: Industry has been proposing solutions for wastewater management that environmental groups have been blocking.

There are two issues here worth discussing: water usage and management of produced water.

The oil and gas industry uses less than 1 percent of freshwater for its operations – a striking ratio compared to the economic significant of the industry in New Mexico. Out of all surface and groundwater uses in the state, mining accounted for only 1.49 percent of all withdrawals. The largest users were irrigated agriculture and the public water supply.

Proponents of the oil and gas industry in New Mexico have also been fighting for legislative solutions to allow for better management of wastewater.

For example, in 2025, industry advocates supported the Strategic Water Supply Act, a bill that would enable the treatment and reuse of produced water to augment the state’s water supply. However, environmental groups such as New Energy Economy, WildEarth Guardians, Amigos Bravos, and the Sierra Club moved to strip the language related to produced water from the final bill.

The irony should not be lost on anyone: environmental groups, not the oil and gas industry, are blocking key progress that would help the state better manage produced water.

Through the New Mexico Produced Water Research Consortium, efforts are underway to enhance the regulatory framework and find innovative technologies and best practices to properly manage this water.

Claim: “Children who live within 1 mile of an unconventional gas well are 5-7 times more likely to develop lymphoma than unexposed children.” (17:10)

Fact: This claim is from a study that has been debunked. In fact, the study largely reaffirms that no linkage exists between fracking and adverse birth outcomes.

Energy In Depth debunked this study in 2023, pointing out that, “while the study does attempt to link natural gas development and incidence of asthma and lymphoma, it’s important to understand that the study, like so many before it, failed to gather specific emissions measurements, relied on overly broad or small sample sizes, and arrived at conclusions that run contrary to common sense.”

The documentary cites this finding as an undisputed fact. It’s not.

Claim: In reference to a New Mexico Court of Appeals decision, “New Mexicans amended our constitution 50 years ago to protect our residents from pollution. With this terrible ruling, the court has eviscerated our constitutionally protected rights.” – Gail Evans, Center for Biological Diversity (24:45)

Fact: The Court dismissed this case to protect the necessary separation of powers, and the lawsuit itself would have slashed funding for public services across New Mexico.

This lawsuit was transparently flawed. Activists were literally demanding that the state should stop issuing oil and gas permits, which, by the way, is protected in the very same clause of the New Mexico Constitution that they argued the state was violating. No wonder the case got dismissed!

The clause reads, “The protection of the state’s beautiful and healthful environment is hereby declared to be of fundamental importance to the public interest, health, safety and the general welfare. The legislature shall provide for control of pollution and control of despoilment of the air, water and other natural resources of this state, consistent with the use and development of these resources for the maximum benefit of the people.” (emphasis added)

Ending new oil and gas permitting in New Mexico would have a devastating impact on the state budget and the availability of a range of public services, yet the environmental activists who brought the case acted as if the decision upended the status quo.

Missi Currier, president and CEO of the New Mexico Oil and Gas Association, said it best:

“This decision affirms the importance of maintaining a clear, constitutional separation between policymaking and judicial interpretation. Our state’s oil and gas industry remains committed to responsible development, environmental stewardship, and economic opportunity for all New Mexicans. We believe that meaningful progress on climate and energy must come from collaboration, innovation, and respect for the rule of law. [This] ruling reinforces that principle.”

Conclusion

The oil and gas industry in New Mexico fuels economic growth and improved quality of life in all corners of the state. Even for the most committed anti-fossil fuel groups, the data points that support those facts are impossible to dispute. That’s why documentaries like these rely on half-truths and outright falsehoods.

If we all follow the same data, the conclusion is a picture far different than what this documentary has painted.

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