EPA v. Chevron U.S.A. Inc-Multiple Facilities-2024 Onsite Inspection-CAFO With Inj Relief_FY2026

Case summary

On-site inspections at the Facilities at issue in this CAFO were conducted on April10 and April 11, 2024, using Optical Gas Imaging (OGI) technology. EPA considered information provided by Respondent to determine whether violations occurred at the Facilities. EPA has conducted a review of the facility-specific information gathered based upon observations made from on-site observations, the OGI video captures, facility permitted operations, and information provided by Respondent. Based on this review, EPA alleges the following violations for the Facilities: a. Respondent violated 20 N.M.A.C. 2.72.210(D) by failing to comply with the GCP-O&G Facilities permit conditions, as identified in subparagraphs 32.b.32.c. b. Respondent violated Part A205(B) of the GCP Facilities GCP-O&G permit(s) by failing to either limit the hydrocarbon liquid throughput and average separator pressure to the amount and pressure listed in the relevant Registration Form or, otherwise, operate a control device and/or vapor recovery unit as a closed vent system that captures and routes tank emissions to the process stream or to the control device, and does not vent to atmosphere. c. Respondent violated Part B101(A) of the GCP Facilities GCP-O&G permit(s) which requires a permittee to construct or modify and operate the Facility in accordance with all of the conditions of the permit, including the representation in the Registration Form. d. Respondent violated 20 N.M.A.C. 2.72.210(D) by failing to comply with the GCP-6 Facilities? permit conditions, as identified in subparagraphs 32.e.32.f. e. Respondent violated Part A107(A) of the GCP-Facilities GCP-6 permit(s) which requires a facility that has installed a Vapor Recovery Unit (VRU) or Ultra-Low Pressure Separator (ULPS), to capture VOC emissions and route via a closed loop system back to the process stream such that no emissions are vented to the atmosphere. f. Respondent violated Part B101(A) of the GCP Facilities GCP-6 permit(s) by failing to operate the GCP-6 Facilities in accordance with the GCP Facilities permit application and any supplemental submittals to NMED. g. Respondent violated 20 N.M.A.C. 2.72.201 by failing to comply with the NSR Facilities permit conditions, as identified in subparagraphs 32.h.-32.j. h. Respondent violated Part B101(A) of the NSR Facilities NSR permit(s) by failing to operate the facility as specified in the permit application and any supplemental submittals to the NMED. This violation applies to: Hayhurst NM Section 10 CTB and Compressor Station, Chevron Salado Draw Section 23 Compressor and Tank Battery, and Salado Draw 19 CTB and CS. i. Respondent violated Part A203(E) of the NSR Facilitys NSR permit(s) which requires that all emissions from storage tanks be captured by redundant vapor recovery units and that no emissions shall be vented to the atmosphere. j. Respondent violated Part A203(D) of the NSR Facilities NSR permit(s) which requires that redundant vapor recovery units shall capture all emissions from storage tanks and route all gas to sales, and that emissions shall not be vented to atmosphere.

Defendants (1)

• Chevron U.S.A. IncNamed in complaintNamed in settlement

Facilities (10)

• CHEVRON - HAYHURST NM SECTION 35 CTB

  SEE LAT/LONG, MALAGA, NM, 88263

  Registry ID: 110071241248

• CHEVRON - HAYHURST NM SECTION 35 CTB

  SEE LAT/LONG, MALAGA, NM, 88263

  Registry ID: 110071241248

• SKEEN TANK BATTERY

  11.6 MI SW OF MALAGA, MALAGA, NM, 88263

  Registry ID: 110056287735

• SALADO DRAW 19 CTB AND CS

  25.7 MI SW OF JAL, JAL, NM, 88252

  Registry ID: 110063885853

• CHEVRON - HAYHURST NM SECTION 9 CTB

  SEE LAT/LONG, MALAGA, NM, 88263

  Registry ID: 110071241248

• SALADO DRAW 19 CTB AND CS

  25.7 MI SW OF JAL, JAL, NM, 88252

  Registry ID: 110063885853

• CHEVRON - HAYHURST NM SECTION 10 CTB

  SEE LAT/LONG, MALAGA, NM, 88263

  Registry ID: 110071241248

• CHEVRON - HAYHURST NM SECTION 10 CTB

  SEE LAT/LONG, MALAGA, NM, 88263

  Registry ID: 110071241248

• CHEVRON U.S.A. INC - SALADO DRAW 23 COMPRESSOR STATION & TANK BATTERY

  27.1 MI SW OF JAL, JAL, NM, 88252

  Registry ID: 110069468702

• CHEVRON - HAYHURST NM SECTION 9 CTB

  SEE LAT/LONG, MALAGA, NM, 88263

  Registry ID: 110071241248

Statutes cited

• CAA 173 — New Source Review Permit Requirements

Enforcement conclusions (1)

• Chevron U.S.A. Inc-Multiple Facilities-2024 Onsite Inspection-CAFO With Inj Relief_FY2026entered 2026-07-09

  Primary law: CAA

  Federal penalty: $440,341

Timeline (3 milestones)

• 2026-07-09Complaint Filed/Proposed Order
• 2026-07-09Final Order Issued
• 2026-07-14Enforcement Action Data Entered