SANTA FE - New Mexico is suing several Texas oil companies over wells that need to be plugged in the state.
The complaint, which was filed in Santa Fe County, specifically names three Texas residents as defendants: Everett Gray II, Robert Stitzel and Marquis Gilmore Jr. Several oil companies formed in Texas, such as Remnant Oil and Acacia Operating, are also named as defendants.
The lawsuit chronicles a “fraudulent scheme” by “shell corporations” to pocket the revenue from hundreds of oil and gas wells in New Mexico while attempting to “dump” the environmental liabilities on the state and taxpayers.
The scheme allegedly began with the formation of the Remnant companies by Gray, Stitzel and Gilmore, which were used to acquire hundreds of low and non-producing oil and gas wells. They then drove Remnant into bankruptcy and attempted to keep the best wells during the proceedings.
“Once this plan was foiled by various creditors and the bankruptcy was converted to a liquidation, Gilmore and Stitzel created Acacia to acquire Remnant’s assets for next to nothing,” the suit states, adding that Gray created Solis Partners to receive Remnant’s best wells.
“This meant that the most profitable wells from the Remnant portfolio were segregated from the inactive and marginal oil wells in Acacia’s portfolio, thus ensuring that Acacia would not be able to meet its environmental obligations.”
New Mexico alleges the three men are seeking to walk away from the plugging and remediation costs, leaving the state on the hook.
“Now, unless this civil action is successful, most of the remaining wells on private and State land will need to be plugged and remediated at the State’s expense,” the suit states.
The state seeks to enjoin the defendants from conducting business in New Mexico until they have plugged and remediated all their inactive wells.
New Mexico Attorney General Raul Torrez represents the state.
Case No. D-101-CV-2025-03283
