Gas Plants to Upgrade Pollution Control Equipment

Associated Press - January 9, 2010 6:05 PM ET

SANTA FE, N.M. (AP) - Three southeastern New Mexico natural gas plants will spend more than $33 million to upgrade pollution control equipment under a settlement with state regulators.

Targa Midstream Services and Versado Gas Processors also will pay about $1.5 million in penalties for air pollution violations at their Eunice, Monument and Saunders plants.

The settlement announced by the state Environment Department on Friday requires cuts in carbon dioxide, sulfur dioxide and other pollutants.

The companies will drill acid gas injection wells at the Eunice and Monument plants to cut flaring of toxic gases in all but emergency situations.

Environment Department Secretary Ron Curry says 8 of the state's 13 sour gas plants now operate under agreements requiring installation of new pollution control equipment.