US EPA sees 'significant' air emissions reduction from Permian Basin company settlement

The US Environmental Protection Agency sees "significant" air emissions reductions as a result of a consent agreement and final order issued to Permian Resources aimed at reducing emissions from the company's tanks, flares and other equipment at its Permian Basin operations in West Texas, the agency said March 3.

The settlement addresses violations of air regulations the EPA identified from its flyover of the Permian Basin in 2020. The company failed to comply with requirements for flares, tanks, and a combustor as well as general requirements of the federally approved Texas State Implementation Plan.

Permian Resources, formerly known as Centennial Resource Development, will perform corrective actions at nine of the company's oil and gas facilities in the West Texas Permian, resulting in a projected reduction of 729,000 pounds of volatile organic compound emissions, the EPA said.

The agency said it identified the emissions using a helicopter equipped with a special infrared camera that detects hydrocarbon leaks.

Permian Resources did not immediately respond to requests for comment.

The EPA said there are also climate-change benefits that come through the settlement: 2.6 million lb in reductions of methane emissions, which are a potent climate pollutant that also affects human health.

"EPA developed an innovative way to detect potential violations from oil and gas facilities across the vast Permian Basin area, and now our enforcement team is following through with tough penalties and actions that reduce emissions," Regional Administrator Dr. Earthea Nance, said. "Companies must uphold their obligations to follow the Clean Air Act or expect to be held accountable when they don't."

The corrective actions required by the consent agreement and final order include site-specific inspections, equipment upgrades, permitting and operations reviews and design assessments.

In addition, Permian Resources must also pay a $610,000 penalty to resolve the violations.

The settlement also orders the company to conduct monthly optical gas imaging inspections, tank pressure monitoring, and site-specific combustion control device monitoring to ensure future compliance.