Red Hills AGI

The Red Hills AGI #1 and AGI #3 wells are acid gas injection (AGI) carbon storage operations associated with the Red Hills Gas Processing Plant operated by TND in the Delaware Basin (Lea County, New Mexico). The project injects treated acid gas (TAG) streams generated during natural gas processing into deep geologic formations for permanent storage under an EPA Subpart RR monitoring, reporting, and verification (MRV) plan. The TAG stream consists of approximately 80% CO₂ and 20% H₂S, with trace hydrocarbons (C1–C6) and nitrogen. Planned injection duration is approximately 30 years. Each well is approved to inject up to 13 million standard cubic feet per day (MMSCFD). However, RH AGI #1 is physically limited to approximately ~5 MMSCFD due to formation and surface pressure constraints. Injection targets the Cherry Canyon and Bell Canyon formations within the Delaware Mountain Group. RH AGI #1 is completed in the Cherry Canyon Formation between approximately 6,230 and 6,583 feet, while RH AGI #3 is completed across Bell Canyon and Cherry Canyon intervals.