The data shows the biggest leaks are in the Permian basin of Texas and New Mexico. Photo via Getty Images

American oil and natural gas wells, pipelines and compressors are spewing three times the amount of the potent heat-trapping gas methane as the government thinks, causing $9.3 billion in yearly climate damage, a new comprehensive study calculates.

But because more than half of these methane emissions are coming from a tiny number of oil and gas sites, 1% or less, this means the problem is both worse than the government thought but also fairly fixable, said the lead author of a study in Wednesday's journal Nature.

The same issue is happening globally. Large methane emissions events around the world detected by satellites grew 50% in 2023 compared to 2022 with more than 5 million metric tons spotted in major fossil fuel leaks, the International Energy Agency reported Wednesday in their Global Methane Tracker 2024. World methane emissions rose slightly in 2023 to 120 million metric tons, the report said.

“This is really an opportunity to cut emissions quite rapidly with targeted efforts at these highest emitting sites,” said lead author Evan Sherwin, an energy and policy analyst at the U.S. Department of Energy's Lawrence Berkeley National Lab who wrote the study while at Stanford University. “If we can get this roughly 1% of sites under control, then we're halfway there because that's about half of the emissions in most cases.”

Sherwin said the fugitive emissions come throughout the oil and gas production and delivery system, starting with gas flaring. That's when firms release natural gas to the air or burn it instead of capturing the gas that comes out of energy extraction. There's also substantial leaks throughout the rest of the system, including tanks, compressors and pipelines, he said.

“It's actually straightforward to fix,” Sherwin said.

In general about 3% of the U.S. gas produced goes wasted into the air, compared to the Environmental Protection Agency figures of 1%, the study found. Sherwin said that's a substantial amount, about 6.2 million tons per hour in leaks measured over the daytime. It could be lower at night, but they don't have those measurements.

The study gets that figure using one million anonymized measurements from airplanes that flew over 52% of American oil wells and 29% of gas production and delivery system sites over a decade. Sherwin said the 3% leak figure is the average for the six regions they looked at and they did not calculate a national average.

Methane over a two-decade period traps about 80 times more heat than carbon dioxide, but only lasts in the atmosphere for about a decade instead of hundreds of years like carbon dioxide, according to the EPA.

About 30% of the world's warming since pre-industrial times comes from methane emissions, said IEA energy supply unit head Christophe McGlade. The United States is the No. 1 oil and gas production methane emitter, with China polluting even more methane from coal, he said.

Last December, the Biden administration issued a new rule forcing the U.S. oil and natural gas industry to cut its methane emissions. At the same time at the United Nations climate negotiations in Dubai, 50 oil companies around the world pledged to reach near zero methane emissions and end routine flaring in operations by 2030. That Dubai agreement would trim about one-tenth of a degree Celsius, nearly two-tenths of a degree Fahrenheit, from future warming, a prominent climate scientist told The Associated Press.

Monitoring methane from above, instead of at the sites or relying on company estimates, is a growing trend. Earlier this month the market-based Environmental Defense Fund and others launched MethaneSAT into orbit. For energy companies, the lost methane is valuable with Sherwin's study estimate it is worth about $1 billion a year.

About 40% of the global methane emissions from oil, gas and coal could have been avoided at no extra cost, which is “a massive missed opportunity,” IEA's McGlade said. The IEA report said if countries do what they promised in Dubai they could cut half of the global methane pollution by 2030, but actions put in place so far only would trim 20% instead, “a very large gap between emissions and actions,” McGlade said.

“It is critical to reduce methane emissions if the world is to meet climate targets,” said Cornell University methane researcher Robert Horwath, who wasn't part of Sherwin's study.

“Their analysis makes sense and is the most comprehensive study by far out there on the topic,” said Howarth, who is updating figures in a forthcoming study to incorporate the new data.

The overflight data shows the biggest leaks are in the Permian basin of Texas and New Mexico.

“It's a region of rapid growth, primarily driven by oil production,” Sherwin said. “So when the drilling happens, both oil and gas comes out, but the main thing that the companies want to sell in most cases was the oil. And there wasn't enough pipeline capacity to take the gas away” so it spewed into the air instead.

Contrast that with tiny leak rates found in drilling in the Denver region and the Pennsylvania area. Denver leaks are so low because of local strictly enforced regulations and Pennsylvania is more gas-oriented, Sherwin said.

This shows a real problem with what National Oceanic and Atmospheric Association methane-monitoring scientist Gabrielle Petron calls “super-emitters."

“Reliably detecting and fixing super-emitters is a low hanging fruit to reduce real life greenhouse gas emissions,” Petron, who wasn't part of Sherwin's study, said. “This is very important because these super-emitter emissions are ignored by most ‘official’ accounting.”

Stanford University climate scientist Rob Jackson, who also wasn't part of the study, said, “a few facilities are poisoning the air for everyone.”

“For more than a decade, we’ve been showing that the industry emits far more methane than they or government agencies admit," Jackson said. “This study is capstone evidence. And yet nothing changes.”

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Micro-nuclear reactor to launch next year at Texas A&M innovation campus

nuclear pilot

The Texas A&M University System and Last Energy plan to launch a micro-nuclear reactor pilot project next summer at the Texas A&M-RELLIS technology and innovation campus in Bryan.

Washington, D.C.-based Last Energy will build a 5-megawatt reactor that’s a scaled-down version of its 20-megawatt reactor. The micro-reactor initially will aim to demonstrate safety and stability, and test the ability to generate electricity for the grid.

The U.S. Department of Energy (DOE) fast-tracked the project under its New Reactor Pilot Program. The project will mark Last Energy’s first installation of a nuclear reactor in the U.S.

Private funds are paying for the project, which Robert Albritton, chairman of the Texas A&M system’s board of regents, said is “an example of what’s possible when we try to meet the needs of the state and tap into the latest technologies.”

Glenn Hegar, chancellor of the Texas A&M system, said the 5-megawatt reactor is the kind of project the system had in mind when it built the 2,400-acre Texas A&M-RELLIS campus.

The project is “bold, it’s forward-looking, and it brings together private innovation and public research to solve today’s energy challenges,” Hegar said.

As it gears up to build the reactor, Last Energy has secured a land lease at Texas A&M-RELLIS, obtained uranium fuel, and signed an agreement with DOE. Founder and CEO Bret Kugelmass said the project will usher in “the next atomic era.”

In February, John Sharp, chancellor of Texas A&M’s flagship campus, said the university had offered land at Texas A&M-RELLIS to four companies to build small modular nuclear reactors. Power generated by reactors at Texas A&M-RELLIS may someday be supplied to the Electric Reliability Council of Texas (ERCOT) grid.

Also in February, Last Energy announced plans to develop 30 micro-nuclear reactors at a 200-acre site about halfway between Lubbock and Fort Worth.

Rice University partners with Australian co. to boost mineral processing, battery innovation

critical mineral partnership

Rice University and Australian mineral exploration company Locksley Resources have joined together in a research partnership to accelerate the development of antimony processing in the U.S. Antimony is a critical mineral used for defense systems, electronics and battery storage.

Rice and Locksley will work together to develop scalable methods for extracting and utilizing antimony. Currently, the U.S. relies on imports for nearly all refined antimony, according to Rice.

Locksley will fund the research and provide antimony-rich feedstocks and rare earth elements from a project in the Mojave Desert. The research will explore less invasive hydrometallurgical techniques for antimony extraction and explore antimony-based materials for use in batteries and other energy storage applications.

“This strategic collaboration with Rice marks a pivotal step in executing Locksley’s U.S. strategy,” Nathan Lude, chairman of Locksley Resources, said in a news release. “By fast-tracking our research program, we are helping rebuild downstream capacity through materials innovation that the country urgently requires.”

Pulickel Ajayan, the Benjamin M. and Mary Greenwood Anderson Professor of Materials Science and Nanoengineering at Rice, is the principal investigator of the project.

“Developing scalable, domestic pathways for antimony processing is not only a scientific and engineering challenge but also a national strategic priority,” Ajayan said in the news release. “By combining Rice’s expertise in advanced materials with Locksley’s resources, we can address a critical supply chain gap and build collaborations that strengthen U.S. energy resilience.”

The Rice Advanced Materials Institute (RAMI) will play a major role in supporting the advancement of technology and energy-storage applications.

“This partnership aligns with our mission to lead in materials innovations that address national priorities,” Lane Martin, director of RAMI, said in a news release. “By working with Locksley, we are helping to build a robust domestic supply chain for critical materials and support the advancement of next-generation energy technologies.”

Expert examines how far Texas has come in energy efficiency

Guest Column

Texas leads the nation in energy production, providing about one-fourth of the country’s domestically produced primary energy. It is also the largest energy-consuming state, accounting for about one-seventh of the nation’s total energy use, and ranks sixth among the states in per capita energy consumption.

However, because Texas produces significantly more energy than it consumes, it stands as the nation’s largest net energy supplier. October marked National Energy Awareness Month, so this is an ideal time to reflect on how far Texas has come in improving energy efficiency.

Progress in Clean Energy and Grid Resilience

Texas continues to lead the nation in clean energy adoption and grid modernization, particularly in wind and solar power. With over 39,000 MW of wind capacity, Texas ranks first in the country in wind-powered electricity generation, now supplying more than 10% of the state’s total electricity.

This growth was significantly driven by the Renewable Portfolio Standard (RPS), which requires utility companies to produce new renewable energy in proportion to their market share. Initially, the RPS aimed to generate 10,000 MW of renewable energy capacity by 2025. Thanks to aggressive capacity building, this ambitious target was reached much earlier than anticipated.

Solar energy is also expanding rapidly, with Texas reaching 16 GW of solar capacity as of April 2024. The state has invested heavily in large-scale solar farms and supportive policies, contributing to a cleaner energy mix.

Texas is working to integrate both wind and solar to create a more resilient and cost-effective grid. Efforts to strengthen the grid also include regulatory changes, winterization mandates, and the deployment of renewable storage solutions.

While progress is evident, experts stress the need for continued improvements to ensure grid reliability during extreme weather events, when we can’t rely on the necessities for these types of energy sources to thrive. To put it simply, the sun doesn’t always shine, and the wind doesn’t always blow.

Federal Funding Boosts Energy Efficiency

In 2024, Texas received $22.4 million, the largest share of a $66 million federal award, from the U.S. Department of Energy’s Energy Efficiency Revolving Loan Fund Capitalization Grant Program.

The goal of this funding is to channel federal dollars into local communities to support energy-efficiency projects through state-based loans and grants. According to the DOE, these funds can be used by local businesses, homeowners, and public institutions for energy audits, upgrades, and retrofits that reduce energy consumption.

The award will help establish a new Texas-based revolving loan fund modeled after the state’s existing LoanSTAR program, which already supports cost-effective energy retrofits for public facilities and municipalities. According to the Texas Comptroller, as of 2023, the LoanSTAR program had awarded more than 337 loans totaling over $600 million.

In addition to expanding the revolving loan model, the state plans to use a portion of the DOE funds to offer free energy audit services to the public. The grant program is currently under development.

Building on this momentum, in early 2025, Texas secured an additional $689 million in federal funding to implement the Home Energy Performance-Based, Whole House (HOMES) rebate program and the Home Electrification and Application Rebate (HEAR) program.

This investment is more than five times the state’s usual energy efficiency spending. Texas’s eight private Transmission and Distribution Utilities typically spend about $110 million annually on such measures. The state will have multiple years to roll out both the revolving loan and rebate programs.

However, valuable federal tax incentives for energy-efficient home improvements are set to expire on December 31, 2025, including:

  • The Energy Efficiency Home Improvement Credit allows homeowners to claim up to $3,200 per year in federal income tax credits, covering 30% of the cost of eligible upgrades, such as insulation, windows, doors, and high-efficiency heating and cooling systems.
  • The Residential Clean Energy Credit provides a 30% income tax credit for the installation of qualifying clean energy systems, including rooftop solar panels, wind turbines, geothermal heat pumps, and battery storage systems.

As these incentives wind down, the urgency grows for Texas to build on the positive gains from the past several years despite reduced federal funding. The state has already made remarkable strides in clean energy production, grid modernization, and energy-efficiency investments, but the path forward requires a strategic and inclusive approach to energy planning. Through ongoing state-federal collaboration, community-driven initiatives, and forward-looking policy reforms, Texas can continue its progress, ensuring that future energy challenges are met with sustainable and resilient solutions.

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Sam Luna is director at BKV Energy, where he oversees brand and go-to-market strategy, customer experience, marketing execution, and more.