NEW REPORT: Toxic Oil and Gas Spills Surge 400% in Q3 across Permian and Chaco – WildEarth Guardians

Report on Oil and Gas Waste Spills in New Mexico and Implications for Sustainable Development Goals (Q3 2025)

Executive Summary

Data from the third quarter of 2025 indicates a severe escalation in oil and gas industry waste spills in New Mexico, representing a nearly 400% increase. The incidents, primarily occurring on public lands, resulted in the release of over two million gallons of toxic waste. A significant number of these spills are linked to produced water “recycling” facilities, highlighting critical failures in waste management practices. These events directly undermine progress toward several key Sustainable Development Goals (SDGs), particularly those concerning clean water, terrestrial ecosystems, public health, and responsible production.

Key Findings and Data

The Q3 2025 Waste Watch report documents a significant environmental challenge with direct implications for sustainable development. The primary findings include:

• Spill Volume and Frequency: A total of 350 fluid spills were recorded between July 1 and September 30, 2025, releasing over 2 million gallons of contaminants into the environment.
• Source of Spills: Four of the five largest spills originated from produced water “recycling” or reuse facilities. The largest single incident involved a 1.6 million-gallon spill of produced water and 126,000 gallons of crude oil from an OXY USA facility on federal land.
• Geographic Concentration: The Permian Basin, specifically Eddy and Lea Counties, accounted for 89% of all reported incidents.
• Land Impact: Over 60% of all spills occurred on federal public lands, indicating a significant failure in the management of shared natural resources.
• Corporate Accountability: For the third consecutive quarter, Devon Energy and ExxonMobil’s XTO were identified as the top offending operators.
• Cumulative Impact: Across the first three quarters of 2025, more than 7.6 million gallons of oil and gas waste have been spilled in the state.

Impact on Sustainable Development Goals (SDGs)

The reported increase in toxic spills presents a direct threat to the achievement of multiple SDGs:

• SDG 6: Clean Water and Sanitation: The contamination of land and potential water sources with millions of gallons of toxic waste directly compromises the availability and sustainable management of water. A proposed rule to allow the discharge of treated produced water into the environment would further threaten this goal.
• SDG 15: Life on Land: With the majority of spills occurring on public lands, these incidents cause significant degradation to terrestrial ecosystems, halt biodiversity, and threaten the sustainable use of land resources.
• SDG 3: Good Health and Well-being: The release of toxic and often undisclosed chemicals poses a substantial risk to the health and well-being of local communities and industry workers.
• SDG 12: Responsible Consumption and Production: The data reveals unsustainable patterns of production within the oil and gas sector. The failure of “recycling” facilities to contain waste and the lack of penalties for repeat violators demonstrate a profound lack of responsible management of chemicals and wastes.
• SDG 16: Peace, Justice and Strong Institutions: The report suggests a failure of effective governance and enforcement by regulatory bodies such as the Bureau of Land Management (BLM) and the Environmental Protection Agency (EPA), undermining the development of accountable institutions.

Regulatory Failures and Policy Context

The surge in contamination events coincides with a proposal before the New Mexico Water Quality Control Commission (WQCC) to authorize the discharge of treated produced water into the environment. This proposal, backed by industry operators, seeks to reverse a recently established prohibition on such discharges. The data from Q3 2025, which shows that facilities handling this exact type of waste are a primary source of major spills, serves as critical evidence against relaxing environmental protections. Furthermore, a persistent lack of meaningful fines, coupled with trade-secret loopholes that prevent full chemical disclosure, exacerbates the risks and hinders effective regulatory oversight, directly conflicting with the principles of SDG 16.

Recommendations for Aligning with SDG Targets

To mitigate the environmental damage and realign state and federal policy with established Sustainable Development Goals, the following actions are recommended:

1. Strengthen Institutional Accountability (SDG 16): Federal and state regulators must issue significant fines for violations, deny new permits to repeat offenders, and publicly report all enforcement actions to ensure corporate accountability.
2. Protect Water and Ecosystems (SDG 6, SDG 14, SDG 15): The WQCC should reject any rule that permits the discharge of produced water into the environment, upholding the existing prohibition to safeguard water resources and terrestrial and aquatic ecosystems.
3. Ensure Public Health and Information Access (SDG 3): End the use of trade-secret loopholes to mandate the full public disclosure of all chemicals used in drilling, fracking, and waste treatment processes.
4. Promote Responsible Production (SDG 12): Re-evaluate oil and gas waste management by removing industry exemptions from key federal environmental laws, including the Resource Conservation and Recovery Act (RCRA), and classify produced water as hazardous waste to ensure it is managed with appropriate care.

Analysis of Sustainable Development Goals in the Article

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 3: Good Health and Well-being

  The article connects to SDG 3 by highlighting the health risks associated with oil and gas waste. The spills release “toxic fracking waste” and “toxic waste” into the environment, which can lead to illnesses from soil and water contamination. The text mentions that a lack of chemical disclosure makes “medical response far more difficult and dangerous,” directly linking the pollution to human health outcomes.

• SDG 6: Clean Water and Sanitation

  This is a central theme of the article. The contamination of land from “produced water” spills directly threatens groundwater and surface water quality. The debate over the WQCC rule to allow the discharge of this waste into the environment, potentially “into rivers,” is a direct threat to clean water resources and overall “water security.”

• SDG 12: Responsible Consumption and Production

  The article critiques the unsustainable production patterns of the oil and gas industry. It focuses on the mismanagement of waste (“produced water”) and the failure of so-called “recycling” facilities, which are shown to be major sources of pollution. This points to a failure to achieve environmentally sound management of waste throughout its life cycle.

• SDG 15: Life on Land

  SDG 15 is directly addressed as the article repeatedly states that the spills are “contaminating mostly public lands” and that “Over 60% of all spills occurred on federal lands.” This pollution degrades terrestrial ecosystems, particularly in the Permian Basin, turning these areas into “toxic waste zones.”

• SDG 16: Peace, Justice and Strong Institutions

  The article highlights significant institutional failures. It states that the “Bureau of Land Management (BLM) and EPA continue to fail in enforcement” and that “no major fines or penalties have been issued to repeat violators.” The call for regulators to deny permits and enforce laws points to a need for more effective, accountable, and transparent institutions to manage the environmental crisis.

2. What specific targets under those SDGs can be identified based on the article’s content?

1. Target 3.9: Substantially reduce deaths and illnesses from hazardous chemicals and pollution.

   The article’s focus on “toxic waste,” “toxic fracking waste,” and “contaminant ponds” directly relates to this target. The spills of over 7.6 million gallons of contaminants create a significant risk of soil and water pollution, which can lead to human illnesses.

2. Target 6.3: Improve water quality by reducing pollution and eliminating dumping.

   The 350 reported fluid spills represent a failure to control pollution. Furthermore, the proposal before the New Mexico Water Quality Control Commission (WQCC) to “allow the discharge of treated produced water into the environment” and “dump into rivers” is in direct opposition to this target’s goal of eliminating dumping and minimizing the release of hazardous materials.

3. Target 12.4: Achieve environmentally sound management of chemicals and all wastes.

   The article is a case study in the failure to meet this target. The fact that four of the five largest spills occurred at “produced water ‘recycling’ facilities” demonstrates a profound lack of environmentally sound management of this industrial waste stream. The call to end “trade-secret loopholes” for chemical disclosure also aligns with this target.

4. Target 15.1: Ensure the conservation and sustainable use of terrestrial and inland freshwater ecosystems.

   The contamination of vast areas of public and federal lands in the Permian Basin from millions of gallons of oil, crude oil, and produced water is a direct assault on the conservation of these terrestrial ecosystems.

5. Target 16.6: Develop effective, accountable and transparent institutions.

   The article’s criticism of the BLM and EPA for “lax enforcement” and the fact that “no major fines or penalties have been issued to repeat violators” points directly to a lack of institutional effectiveness and accountability, which this target aims to address.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

• Volume of pollutants released

  The article provides specific data that can serve as an indicator for targets 6.3 and 12.4. It quantifies the spills, stating “more than 2 million gallons of toxic waste ‘lost’ to the environment” in Q3 2025 and “more than 7.6 million gallons” across the first three quarters of the year. A reduction in this volume would indicate progress.

• Number of pollution incidents

  The report of “350 fluid spills between July 1 and September 30” is a direct indicator of the frequency of pollution events. Tracking this number over time would measure progress in preventing spills.

• Number and value of penalties for non-compliance

  The article implies an indicator for Target 16.6 by stating that “no major fines or penalties have been issued to repeat violators.” An increase in the number and value of fines issued would demonstrate improved institutional accountability and enforcement.

• Percentage of chemicals with public disclosure

  The demand to “End trade-secret loopholes and require public disclosure of all drilling and fracking chemicals” implies an indicator for Target 12.4. Progress could be measured by the percentage of chemicals used in operations that are publicly disclosed versus those hidden by trade-secret claims.

• Location of spills (Public vs. Private Land)

  The finding that “Over 60% of all spills occurred on federal lands” serves as an indicator for Target 15.1. This metric helps quantify the impact on public ecosystems and can be used to track whether protective measures for these specific lands are improving.

4. Table of SDGs, Targets, and Indicators

Source: wildearthguardians.org