Tap Rock Operating, LLC has been involved in several accidents and is the subject of regulatory violations in New Mexico, according to crowdsourced reports.
Activists on social media and elsewhere have detailed serious accidents and potential regulatory violations at multiple New Mexico oil and gas facilities managed by the Golden, Colo.-based oil and gas company.
Tap Rock Operating, LLC engages in exploration and production activities in the Delaware Basin of New Mexico. It is backed by NGP Energy Capital, a Dallas-based private equity firm, led by managing partner Chris G. Carter.
Screensot from Hunter Swan's video showing flames and thick black smoke at a Tap Rock facility.
In early August, an environmental activist posted a picture of what appeared to be a significant oil spill at one of Tap Rock’s facilities.
“Can anyone confirm a major spill near Jal, NM today?” the user tweeted.
According to the New Mexico Oil Conservation Division, an oil spill did occur at Tap Rock’s “Money Graham” location around the time the activist snapped the picture.
Hunter Swan, who works in damage prevention for Bolin Enterprises, posted a video in mid August showing what appears to be an oil and gas facility’s flare stack engulfed in flame and burning down at ground level.
“On today’s episode of how f---ed up is too f---ed up?” Swan posted on Facebook.
Swan said the location of his video was taken “off 128 by Vaca Lln.” Others on the social media post identified the site as Tap Rock’s “Hyperion” location.
Video taken by a worker at another Tap Rock location shows black smoke from unusually excessive and potentially unsafe flaring of methane gas at the company’s “Mobile Man Hands” facility.
Other companies in the oil and gas industry generally recognize the presence of a high amount of black smoke during the flaring process as an indication of a poorly run or inefficient operation.
Environmental regulations call for the minimization of smoky flaring.
Both “Money Graham” and “Hyperion A” are currently listed under the EPA’s enforcement and compliance history as “high priority violation(s)” with significant violations for at least the last four quarters.
According to the EPA, over half of Tap Rock Operating’s 26 facilities in New Mexico (14) are in violation of EPA regulations, four of which — “Money Graham”, “Plinty”, “Hyperion A”, and “Poseidon A” — are listed with “Significant Violations.”
A recent Southeast Texas Record report of a lawsuit involving Tap Rock Operating details several claims charging misuse and manipulation of equipment and safety sensors have led to several instances of “health, safety, and pollution issues” at many of the company’s New Mexico locations.
According to court documents, “unsafe practices” at a Tap Rock location caused a flare stack to combust and “burn to the ground.” In another instance, the documents claim that Tap Rock tampered with sensors and inappropriately installed fans to stop hydrogen sulfide gas alarms from triggering creating “serious health and safety hazards.”
Tap Rock Operating also raised $500 million recently via a Sept. 22 issuing of corporate bonds held by JP Morgan, Bank of America, Citigroup, and others.
Tap Rock did not respond to an interview request by press time.
The EPA violations at Tap Rock's facilities can be found here.