Carlsbad City Council approves right-of-way easement for Matador Resource pipeline project

Mike Smith, Carlsbad Current-Argus
·2 min read

An easement for a new crude oil pipeline southeast of Carlsbad was approved May 10 by the Carlsbad City Council.

Matador Resources Company of Dallas sought installation of pipe, overhead electric lines, and new roads on City of Carlsbad property, outside the City Limits at Western Farms, read a memorandum written to City Council from City Administrator John Lowe.

“The City of Carlsbad owns property that is strategically for Matador and we have the ability to grant utility easements on that property,” said City of Carlsbad Deputy Administrator KC Cass.

Matador’s proposed location is near U.S. Refinery Road, according to City of Carlsbad documents.

A screen capture from the May 10, 2022 Carlsbad City Council meeting indicates an easement for a pipeline from Matador Resources.
A screen capture from the May 10, 2022 Carlsbad City Council meeting indicates an easement for a pipeline from Matador Resources.

Lowe said the easement would have a 50-foot width, a 30-foot permanent easement and a 20-foot temporary construction easement.

In the memorandum, he said Matador would use existing roads at the site along with building new ones.

Matador offered $176,000 compensation to the City of Carlsbad for the easement, Lowe wrote in the memo.

More: City Council approves easement and right-of-way agreement for pipeline project

The easement length should be 1,446 linear feet, Cass said.

Matador Resources has operations in Eddy County, Lea County and Loving County, Texas along with South Texas and Northwestern Louisiana, the company’s website indicated.

“The Permian Basin in Southeast New Mexico and West Texas is a mature exploration and production province with extensive developments in a wide variety of petroleum systems resulting in stacked target horizons in many areas,” the website stated.

Cass said the pipeline offered a safer and more efficient delivery method of crude oil from Eddy County.

More: Permian Basin natural gas pipelines expanding in response to fossil fuel market growth

The Current-Argus requested comment from Matador Resources but did not hear back.

Cass did not have a timeline on when construction might start on the new pipeline.

Mike Smith can be reached at 575-628-5546 or by email at MSmith@currentargus.com or @ArgusMichae on Twitter. 

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This article originally appeared on Carlsbad Current-Argus: City of Carlsbad approves pipeline easement for Matador Resources