ALBUQUERQUE, N.M. (AP) — As New Mexico's elected leaders wrangle over raising taxes to plug a budget shortfall, major multinational energy companies have quietly spent more than $13 billion in recent months on assets in the state's oil and gas hot spots.

The new wave of investment bodes well for the industry being able to generate much-needed revenues for the struggling state over the long haul, analysts said.

Credit rating agency Standard & Poor's Global Ratings on Tuesday predicted a turnaround in economic output for New Mexico in the near term, pointing to more growth in the oil and mining...