Apache Corp. will pay $4 million in penalties and spend more than $5 million on preventative measures to reduce emissions at its wells in the Permian Basin. Photo via Getty Images

A Houston company has reached a multimillion-dollar settlement with the federal government and the state of New Mexico to address air pollution concerns in the largest oil and gas producing region in the United States.

The agreement announced Tuesday with Apache Corp. calls for the company to pay $4 million in penalties and spend more than $5 million on preventative measures to reduce emissions at its wells in the Permian Basin, which spans parts of New Mexico and Texas.

Apache was accused in a civil lawsuit of failing to comply with federal and state requirements to capture and control emissions at some of its operations in the two states. Federal officials and regulators in New Mexico identified the alleged violations through field investigations and flyovers by helicopters outfitted with infrared cameras that can detect hydrocarbon vapors that are invisible to the naked eye.

Efforts by regulators to crack down on oil companies have ramped up in recent years through a combination of on-the-ground inspections, flyovers and now satellite imagery as they look for Clean Air Act violations across the Permian Basin and in other oil producing regions.

New Mexico Environment Secretary James Kenney said he's concerned about the compliance rate for companies operating in New Mexico, describing it as terrible.

“The ozone levels are rising, and you know, I think this is that moment where we have to hold up the mirror to industry and say, 'If you don’t like what you see, it’s a reflection of your own effort,” he said during an phone interview.

The civil complaint targeting Apache comes nearly a year after federal and state officials announced a similar agreement with another producer in the Permian Basin over violations. In 2022, an investigation by The Associated Press showed 533 oil and gas facilities in the region were emitting excessive amounts of methane.

Surveillance done by state and federal regulators in 2019, 2020 and 2022 turned up alleged violations at nearly two dozen of Apache’s sites.

The company said in an email that the consent decree announced Tuesday resolves alleged violations from years ago and that the company acted swiftly to remedy the issues. Changes have included modifications to allow for more measurement, monitoring and capture of emissions and increased site inspections and expedited maintenance timelines.

“Moving forward, the consent decree represents our commitment to continuous improvement across our facilities in the Permian Basin," the company said. "We also continue to collaborate with industry partners through organizations such as the Environmental Partnership and the U.N.’s Oil and Gas Methane Partnership in striving toward a more sustainable future.”

The agreement covers 422 of Apache's oil and gas well pads in New Mexico and Texas, ensuring that they will comply with state and federal clean air regulations and that past illegal emissions will be offset.

State and federal officials estimate that compliance will result in annual reductions of 900 tons of methane and more than 9,650 tons of volatile organic compounds, which contribute to smog.

In all, state officials said the recent consent decrees with energy companies cover about 15% of oil and gas production in New Mexico and about 9% of the wells.

While many operators in the Permian are complying with existing regulations, Kenney warned those that are skirting the rules will spur even greater federal and state enforcement over the entire industry if ozone levels continue to rise.

“Simply stated, the message is ‘Do better,’" Kenney said.

Apache's plan calls for making design improvements and installing new tank pressure monitoring systems that will provide advance notice of potential emissions and allow for an immediate response. Regular reports also will be submitted to the state.

In a new partnership with Apache Corp., researchers at BRI and Texas Native Seeds will investigate methods to improve habitat restoration efforts in the Permian Basin. Photo via Getty Images

Houston company partners on well pad restoration project in the Permian Basin

sustainability collab

Apache Corp. and the Borderlands Research Institute (BRI) at Sul Ross State University in Alpine, Texas, have partnered to launch a well pad restoration research project.

Researchers at BRI and Texas Native Seeds will investigate methods to improve habitat restoration efforts in the Permian Basin. The goal is to publish a scientific best practices reclamation document for the Permian operators. Texas Native Seeds is a project of the Caesar Kleberg Wildlife Research Institute at Texas A&M Kingsville. BRI works mostly in the frontier of Texas and throughout the Southwest.

The BRI project aims to inform oil and gas industries in the Permian about how changes in the industry’s collaborative approach to restoring end-of-service well pads can benefit local biodiversity and reunite fragmented habitats.

At end of a well’s service life, when the well is plugged, equipment is removed, and the pad is reseeded, which allows it to gradually return to a natural condition. The project’s goal is to help accelerate a better return to nature by considering alternative soil preparation techniques. By adding biochar to improve soil fertility, and incorporating undesirable scrub brush as a vegetative cover to hold soil moisture and discourage grassland animals from foraging on the seeds before they germinate, researchers believe this could be done.

“We are honored to partner with the Borderlands Research Institute on this important effort, which aligns with our mission to meet the growing demand for energy and to do so in a cleaner, more sustainable way,” Jessica Jackson, Apache’s Vice President of Environment, Health and Safety, says in a news release. “For many years, Apache has worked to restore well pads to their habitat potential. To further our efforts to continuously improve, Apache is supporting scientific research at sites in the Permian Basin to study the efficacy of methods for habitat restoration.”

The project will also measure increases in soil carbon to passively sequester CO2 in healthy desert soils, which will support Sul Ross State University student research through BRI.

“We all depend on the energy produced in the Permian Basin to power our lives, and we look forward to bringing valuable science to the table to support enhanced restoration practices in the energy industry,” Dr. Louis Harveson, the Dan Allen Hughes, Jr. Endowed Director of Borderlands Research Institute adds in the release. “We appreciate the opportunity to partner with Apache on this important research and applaud their leadership on this issue.”

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Tesla unveils new Roadster sports car, which can thrust itself in the air

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Tesla has unveiled its new Roadster sports car, which can thrust itself in the air, among other engineering bells and whistles. But drivers shouldn't expect to take it for a spin anytime soon.

Elon Musk's electric car company rolled out its second-generation Roadster at a Thursday event, showing off a set of cold gas thrusters and a “multi-mode” suction system that can fling the car in the air for short spurts and spin the vehicle mid-flight.

“Turns out the future does have flying cars,” Musk, Tesla's CEO, wrote on his social media platform X shortly after.

That future could be a ways off, however, given the regulatory hurdles for flying vehicles and the tangle of state rules that still need to be met.

“I’m not sure every state is going to allow a driver in the middle of traffic to suddenly elevate himself and fly," said David Vladeck, a Georgetown Law professor and former director of the FTC’s Bureau of Consumer Protection. “There is going to be a long process to let anything like that on a road.”

Thursday's event was hosted at the Texas rocket testing and development center for SpaceX — Musk's publicly-traded rocket company — and Tesla's executives noted that they “borrowed” some SpaceX technology to get the new Roadster in the air. Beyond quick jumps and flips, Tesla also said the car can accelerate from zero to 60 miles (96.6 km) an hour in less than a second.

This launch arrived after years of delays and anticipation around the new Roadster — and Tesla shares climbed in morning trading on Friday before falling amid a sell-off in companies tied to artificial intelligence.

The wait isn't completely over. Musk said production for consumers won't begin until 2028. Tesla also didn't immediately set a price tag on its latest EV.

Tesla was taking reservations for Roadster “rocket” car purchases on its website Friday morning, though the fine print said there was no guarantee when the vehicle would be delivered — or whether it would be delivered at all.

Bryant Walker Smith, former vice chair of a Department of Transportation advisory group on innovation, was unimpressed — though he did note Musk's ability to keep Tesla's stock high.

“This was a demonstration of a one-off car using a technology around for many years and will not be coming to public roads in 2028," said Smith, a law professor at the University of South Carolina. “Tesla pretty uniquely has been able to sell itself on a future that is an order of magnitude greater than reality.”

Musk has repeatedly said that the future of driving will be autonomous — and Austin-based Tesla has focused much of its business on building out self-driving features for its vehicles and, more recently, launching its own (still limited) robotaxi business.

But the company maintains that the Roadster will be made to have humans behind the wheel, calling the EV the “best of the last human-driven cars.”

Thursday's demo was technically autonomous “to make sure we don’t kill anyone,” Musk noted. But long-term, he said, the new Roadster will be “the only manually driven car that Tesla makes.”

“This is not necessarily a safety-optimized car,” Musk later added, met by laughter from the audience. But “it takes the fun meter to 11 out of 10.”

Tesla's first Roadster was launched back in 2008. And in 2018, Musk went as far as placing one on a rocket — with a mannequin dubbed “Starman” in the driver's seat — and launching it into space.

Again, the second-generation Roadster isn't immediately hitting the market. And whether the ambitious new vehicle boosts the company's bottom line remains to be seen.

In second-quarter earnings reported over the summer, Tesla's profits fell as the company spent more on research and development for its robotaxi and robotics businesses — which cut into money made from an otherwise sharp increase in vehicle sales. Net income totaled $1.11 billion for the period, while revenue climbed to $28.24 billion.

TEX-E names New Climate Ventures as latest expert in residence

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Texas Exchange for Energy & Climate Entrepreneurship (TEX-E) has named its latest expert in residence.

The Houston-based energy transition nonprofit recently announced that New Climate Ventures will join the newly established program. The Expert-in-Residence partnership aims to connect TEX-E Fellows with "the people and organizations shaping the future of energy and entrepreneurship," the nonprofit previously announced.

Taylor Chapman, an investment principal at New Climate Ventures, sits on TEX-E's board of directors. New Climate Ventures invests in early-stage startups building next-gen technologies in the energy, materials and fuels sectors. The venture capital firm's portfolio includes Houston-based clean energy startups like Solidec, Syzygy Plasmonics and Rheom Materials.

“If you know me, you know that I'm passionate about ensuring that my beloved hometown, Houston, is the energy capital of the future — not just of the past," Chapman said in a LinkedIn post. "TEX-E is building a key piece to ensure that's the case: a strong pipeline of graduate and college students immersed [and] versed in the world of energy [and] climate entrepreneurship."

TEX-E says the partnership with New Climate Ventures will allow its fellows opportunities to learn from investors that work with emerging companies and understand how they evaluate new technologies.

TEX-E announced Houston-based geothermal unicorn Fervo Energy and venture capital firm Mercury Fund as its first experts in residence in August. At the time, it said the partnerships would allow its fellows to network and work with Tim Latimer, CEO of Fervo; Sarah Jewett, COO of Fervo; and Blair Garrou, managing partner of Mercury Fund.

The nonprofit was founded in 2022 through partnerships with MIT Martin Trust Center for Entrepreneurship and Greentown Labs. It works with university students from six schools: Rice University, University of Houston, Prairie View A&M University, The University of Texas at Austin, Texas A&M University and MIT.

Rice University spinouts named among 50 top cleantech companies to watch

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Two Rice University spinouts, Coflux Purification and DexMat, appear on a new list of the world’s 50 cleantech companies to watch.

Cleantech Group’s 2026 Cleantech 50 to Watch list recognizes early-stage companies “creating groundbreaking solutions to address some of the world’s most pressing environmental and sustainability challenges.”

Cleantech Group, a market research, consulting, and events company, selects the 50 honorees based on insights from analysts and early-stage innovators, along with public nominations.

Destroying “forever chemicals”

Coflux, founded in 2024, offers an onsite treatment system that captures and destroys manufactured “forever chemicals”—per- and polyfluoroalkyl substances—in water and wastewater. It’s a member of Greentown Houston.

Alec Ajnsztajn, CEO; Jeremy Daum, chief technology officer; and Dana Vazquez, chief commercial officer, co-founded Coflux. Ajnsztajn and Daum earned doctoral degrees from Rice, and Vazquez earned an MBA from the university.

Coflux spun out of Rice labs directed by professors Rafael Verduzco and Pulickel Ajayan.

Last year, Coflux received a $175,000 grant from the U.S. Food and Drug Administration’s National Institute of Food and Agriculture. The startup has also raised more than $500,000 in non-dilutive funding, including $80,000 awarded in 2024 by Rice’s One Small Step Grant program.

Promoting an alternative to copper

DexMat, founded in 2015, produces carbon nanotube products such as fibers, yarns, cables, and fabric. The company’s products address demand for materials that can reduce carbon emissions, according to CB Insights.

Its main product, Galvorn, is a copper alternative made of carbon nanotube fibers. CB Insights says Galvorn is engineered to be lighter and stronger than traditional conductive materials like carbon and steel. It’s used in industries such as energy, aerospace, defense, automotive, consumer electronics, and health care.

DexMat emerged from Matteo Pasquali’s Carbon Lab at Rice. Pasquali, co-founder of DexMat, co-invented the company’s technology with the late Nobel Prize-winning chemist Rick Smalley. Smalley was a professor of chemistry, physics, and astronomy at Rice.

Pasquali is a professor of chemical and biomolecular engineering, chemistry, materials science, and nanoengineering at Rice. He co-founded DexMat with Rice graduate Dmitri Tsentalovich, the company’s director of product innovation.

Earlier this year, DexMat raised $5 million in seed funding from Non Sibi Ventures, Governance Partners, Tailwind Futures, BetterWay, Capital Factory, and other investors. The company also secured $3 million in non-dilutive funding.

In 2023, DexMat raised $3 million in a pre-seed round led by Shell Ventures.