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Advanced Leak and Repair Monitoring (ALARM) Announcement

Operators in the Permian and San Juan Basins can now utilize ChampionX's services to fulfill the state's regulatory requirements regarding methane emissions. They can also earn additional credits for methane reductions achieved through ChampionX's technology.

In 2021, the Energy, Minerals, and Natural Resources Department (EMNRD) finalized new rules aimed at reducing fugitive methane emissions in New Mexico and limiting venting and flaring in oil fields. These rules established an ambitious 98% gas capture target for all oil and gas operations within the state. Furthermore, they created a pathway for companies using innovative ALARM technology to obtain credits for additional emission reductions.

Customers who use our technology for ALARM credits via quarterly helicopter surveys may be eligible for a 60% credit on the gas that escapes into the atmosphere under the NM flaring rule. It's essential to remember that using our technology alone does not automatically grant credits. Operators must submit a credit application for approval.

We are proud to share that we have conducted over 2000 helicopter surveys across the United States. As a certified ALARM technology provider, ChampionX offers oil and gas operators in New Mexico timely and cost-effective access to actionable data related to significant methane emissions. This streamlines the compliance process with New Mexico's gas capture targets, providing greater efficiency for companies operating in the state.

Our SOOFIE®, drone, and fixed-wing aerial surveys are in the process to be integrated into ALARM certification. This advancement will provide even greater efficiency for companies operating in New Mexico, aligning with the state's ambitious gas capture targets.

As we move forward, we remain committed to supporting regulators' initiatives to reduce methane emissions. Together, we can drive positive change and environmental responsibility in our industry.

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