Document shows that Mexico's Pemex plans to increase its gas and oil reserves under Sheinbaum's presidency.
According to a document that was seen by us on Wednesday, the Mexican state oil company Pemex wants to increase its hydrocarbon reserve and make sure it is repaid during the tenure of newly-elected President Claudia Sheinbaum.
The document also shows that Pemex will intensify its deepwater exploration as well as develop new business models in order to attract investors.
Pemex, under the administration of Sheinbaum’s predecessor Andres Manuel López Obrador for six years, had put off deepwater exploration in order to concentrate on projects which would produce quickly. However, many of these have already started to fail.
Pemex didn't immediately reply to a comment request. Sheinbaum’s office didn't directly respond to the comment request.
The document stated that Pemex would look at developing new business models in order to attract external investments, as Lopez Obrador had not sought partnerships with private companies for exploration and extraction projects.
Lopez Obrador ended the bidding process for contracts that was introduced during the energy Reform a decade earlier, arguing the resource wealth had been handed over to foreign and private companies at the expense Pemex.
Pemex has already signed a partnership in 2017 with Woodside Energy of Australia for the Trion Field in the ultra-deep waters of Gulf of Mexico.
Woodside, as a result the energy reform has 60% of the project. They are the operator. Pemex is the financial partner and owns 40%.
Trion is expected to start production in 2028. The company has proved reserves of 287 millions barrels of crude and 323 billion cubic foot of gas.
Recent sources have reported that Sheinbaum's government would like to revive Pemex partnerships between private companies and Pemex to increase hydrocarbon reserve.
Pemex's document internal indicates that it will continue to conduct onshore exploration in shallow water and areas around production fields.
The government would also focus on selecting projects for exploration and production that have the "greatest chance of success and profitability", in addition to reducing the decline of existing fields and enhancing the development of new ones.
Pemex is one of the largest oil companies in debt in the world. It produces 1.5 million barrels of crude oil per day, excluding the condensate. By adding condensate to its production, it rises up to 1.8 millions bpd.
Sheinbaum has stated that during her six-year term in office, she will strive to maintain the current crude oil production levels. (Reporting and editing by Adriana Barera)
(source: Reuters)
