Lukoil and Eni Sign Agreement on Mexico Projects
Russian oil producer Lukoil has signed a farm-out agreement with Italy's Eni on blocks 10, 12 and 14 in the Mexico's shallow waters.Lukoil will assign 40 percent in block 12 to Eni and retain the remaining 60 percent stake as operator of the project.In turn, Eni will give 20 percent in blocks 10 and 14 to Lukoil, and remain the operator of both projects.The new joint ventures will be as follows:block 10 - Eni 80 percent (operator), Lukoil 20 percentblock 12 - Lukoil 60 percent (operator), Eni 40 percentblock 14 - Eni 40 percent (operator)…
Mexico Must Boost Oil Exploration to Halt Output Fall -Pemex
Mexico will need to double to about $4 billion its annual oil exploration investment to reverse a 14-year decline in output, a move that will require more funding by Pemex and private producers, a top official with the state-run firm said Friday.The nation's oil industry needs Petroleos Mexicanos to invest more than $2.5 billion per year and another $1 billion to $1.5 billion from private companies to fully replace its reserves, Jose Antonio Escalera, the firm's chief of exploration, said at an energy conference in Acapulco.Pemex this year expects to invest about $1.65 billion, roughly the same as 2017.
Eni to Invest $1.8 Bln in Offshore Mexican Oil Fields by 2040
Italian oil major expects to invest $1.795 billion in three offshore Mexican oil fields by 2040, according to a development plan approved by Mexico's oil regulator on Tuesday.The plan covering the Amoca, Mizton and Tecoalli shallow water fields is the second one approved by the regulator, known as the National Hydrocarbons Commission (CNH), following a landmark 2013 energy opening that has led to more than 100 oil and gas contracts being awarded in a series of auctions.Eni sees initial crude oil production of 8…
Pemex CEO: We Must Move to IPO, but Will Take Years
IPO can protect against politicians' influence -CEO. The chief executive of Mexico's national oil company Pemex said on Wednesday it must move towards a stock exchange listing like Saudi Arabia's Aramco <IPO-ARAM.SE> has done but that such a step would take years. Speaking at an oil conference in London, Carlos Trevino pointed to a call by the head of Mexico's National Hydrocarbons Commission to float a minority stake in Pemex. "I think he is right," Trevino said. "Pemex needs to perform a little bit better ... Trevino cited an improvement in Pemex's compliance discipline as a step towards a possible market debut.
Mexican President Defends Energy Reform from Leftist Attacks
Mexico's president on Thursday defended his decision to open the energy sector against attacks from the man currently favorite to succeed him, saying a rollback of the measure could cost the country billions of dollars in lost investment. The 2013-14 legislative overhaul that ended state oil firm Pemex's decades-long monopoly was the centerpiece of President Enrique Pena Nieto's economic agenda, and leftist Andres Manuel Lopez Obrador, who is leading polls for the July 1 presidential election, has threatened to unpick it.
New Operator in Mexico's Ogarrio oil field
Deutsche Erdoel Mexico, the affiliate of the German E&P company DEA Deutsche Erdoel AG, Pemex and the Mexican National Hydrocarbons Commission (CNH) have signed the licence contract for the Ogarrio field in Mexico on 06 March 2018. Deutsche Erdoel Mexico is now the operator of the producing oil field, holding a 50% licence share. The company aims to increase the production from the field within a short time. “Ogarrio is our first operated asset in Mexico. We are very pleased, being also the first international oil and gas company…
Trafigura Wins Mexico Crude Trading Contract
Mexico's oil regulator said on Thursday it had assigned trader Trafigura a three-year contract to commercialize crude oil the government obtains from the new scheme of contracts derived from an energy reform. Until now, PMI, the commercial arm of Mexican state oil firm Pemex, has been the only company that commercializes the government's hydrocarbons. But the 2014 energy reform mandated that, starting next year, companies should compete to commercialize the oil and gas that the state obtains under new production-sharing contracts.
Mexico Expects to Hold a Third O&G Auction in 2018
Mexico's oil regulator will likely add another oil auction in 2018 featuring conventional onshore oil and gas blocks, a senior official said on Thursday, potentially teeing up a third tender in an election year. The bid terms will be announced this year or in early 2018 while contracts will likely be awarded by the summer, Juan Carlos Zepeda, head of the National Hydrocarbons Commission (CNH), said on the sidelines of an energy forum. The onshore tender is in addition to a deepwater Gulf auction expected to attract some of the world's biggest producers and is set for the end of January, as well as a March shallow water auction.
Mexico Sets Next Deep-water Oil, Gas Tenders
Mexico's oil regulator, the National Hydrocarbons Commission, set Jan. 31 as the date for the next round of auctions for deep-water oil and gas tenders in the Gulf of Mexico. The so-called 2.4 auctions will offer 30 areas, of which 10 are in the Cordilleras Mexicanas deepwater basin, 10 others in the Salina Basin, nine in the Perdido Fold Belt off the U.S.-Mexico maritime border and one more in the Yucatan platform. The Cordilleras Mexicanas deepwater basin is home to national oil company Pemex's Lakach natural gas project and located east of the Gulf Coast port of Veracruz.
Mexican Oil Regulator Approves Onshore JV Projects
Mexico's first two onshore oil and gas projects to be developed by joint ventures between state-owned Pemex and new partners were approved by regulators on Friday. The auctions to pick Pemex's partners for the two extraction projects covering the Cardenas-Mora and Ogarrio fields, both located in southern Tabasco state, will take place on Oct. In both tie-ups, Pemex will have a 50 percent stake, while the partners will have the remaining half and will be designated as the operators of the projects. Both projects feature existing infrastructure due to past Pemex work in the areas, as well as ongoing production.
Mexico Deep Water Push Leverages Geophysical Data
The data rush of the past two years by many top geophysical companies has sparked some of the biggest imaging projects ever for technology also used to hunt for the ruins of ancient civilizations and explain the fate of the dinosaurs. "What they're doing is literally rewriting the geological model of the Gulf of Mexico," Juan Carlos Zepeda, head of the national hydrocarbons commission (CNH), Mexico's oil regulator, said ahead of Monday's deep water auctions where the likes of Chevron and BP are expected to participate.
Mexico Names Qualified Firms for Deepwater Tender
Mexico's energy regulator said on Wednesday that 26 companies had qualified to participate in the country's deep-water oil tender in December, the jewel in the crown of a landmark energy sector opening. Of the 26 companies that have qualified for the so-called Round 1.4 tender, 16 are operators, including state-owned oil giant Pemex, and 10 are financial partners, the National Hydrocarbons Commission (CNH) said on Twitter. Any consortia that form will be revealed on Nov. 28, the CNH said. Atlantic Rim México, S. de R.L. de C.V. BHP Billiton Petróleo Operaciones de México, S. R.L. de C.V. BP Exploration México, S.A. de C.V.
IDESA expects to soon extract crude from Tecolutla -CEO
Mexico's Grupo IDESA, along with its Canadian partner, expects to start extracting barrels of crude from the Tecolutla field within months of signing a contract with Mexico's oil regulator, IDESA's chief executive officer said on Friday. Tecolutla, auctioned off during one of Mexico's tenders under the new energy reform, is a mature on-shore field in Veracruz with proven, probable, and possible (3P) reserves of 0.1 million barrels of crude oil equivalent. IDESA, which is focused on the petrochemical industry, and the Canadian company International Frontier Resources Corporation (IFR) initially came in second place in the auction.
Pemex to Present Board with First Deepwater Private Sector Tie-up
Mexico's state oil company Pemex will present to its board this week its first possible deep-water tie-up with private firms, a long-awaited landmark of Mexico's energy reform that opened the sector to private investment, an energy ministry official said on Thursday. Pemex was awarded blocks in a 2014 oil tender known as "Round Zero" and it is looking for private partners to help it develop the so-called "farm outs," which have been plagued by delays. As part of the "farm out" process, Pemex cannot chose which company would help it develop each project, but is free to suggest specific partners with which to work.
CGG Registered to Estimate Reserves in Mexico
CGG’s Mexican entity, CGGVeritas Services de México S.A. de C.V., has become one of a small number of companies to be registered by Mexico’s National Hydrocarbons Commission (CNH) as an independent third party qualified to audit and certify Mexico’s reserves, either for oil and gas operators or directly for the CNH. Registration of CGG’s auditing and reporting services will apply to all of Mexico’s oil and natural gas resources from conventional to unconventional in both offshore and onshore settings. CGG GeoConsulting’s Robertson petroleum reservoir and economics group specializes in a wide range of geoscience…
Mexico Regulator Approves Pemex Plan to Drill New Deepwater Wells
Mexico's oil regulator voted on Tuesday to approve plans by national oil company Pemex to drill two new deepwater wells later this year near the maritime border with the United States in the Gulf of Mexico. Both wells are expected to yield light or super light crude, and are within the Mexican extension of the Perdido Fold Belt, which has proved highly productive in adjacent U.S. waters but has represented a major challenge for Pemex due to its lack of specialized expertise. The National Hydrocarbons Commission…
Mexico Sets Minimums for Offshore Oil Auction
Mexico's finance ministry announced the minimum fiscal terms companies will be required to meet in order to win development rights in an upcoming oil auction, as the country seeks to lure investment despite slumping crude prices. The ministry set the minimum value of pre-tax profits for the five offshore extraction contracts up for grabs at a range of between 30.2 and 35.9 percent. The National Hydrocarbons Commission, known by its Spanish-language acronym CNH, is the oil regulator that will run the September 30 auction…
Talos Energy to Operate Contracts in Mexico
U.S. company Talos Energy LLC, part of a group that won two contracts in an historic Mexican oil auction this week, will carry out production and exploration in the shallow water fields awarded, Mexico's oil and gas regulator said on Friday. Houston-based Talos and its consortium partners, Mexico's Sierra Oil & Gas and Britain's Premier Oil, were the only winners in the disappointing first phase of the oil and gas tender. Talos will conduct all the exploration and drilling because of its technical experience and capabilities, National Hydrocarbons Commission President Juan Carlos Zepeda said, and its partners will provide financing.
Mexico to Reveal Oil Contract Terms on Day of Tenders
The minimum percentage of profits that companies must bid to win contracts on 14 oil and gas blocks offshore Mexico being auctioned this summer will be revealed only on the day the tenders are awarded, the Finance Ministry said on Tuesday. The percentages have been set for each block, but they will be kept secret until unveiled by the National Hydrocarbons Commission (CNH), the regulator that will award the contracts on July 15, the ministry said in a statement. It had previously said the minimum values would be made public some weeks before the day of the auction.
Mexico Lifts Bidding Limits for First Batch of Oil Tenders
Mexico's oil regulator voted on Friday to relax rules on bidding terms and contracts that form the first step in a historic sector opening that kicks off this summer with the public auction of 14 shallow water fields. The July auction will mark the first of five packages of oil fields up for grabs, part of a so-called Round One tender that follows a major energy reform approved by Congress last year. The constitutional reform ended the decades-long monopoly enjoyed by state-owned oil company Pemex and aims to reverse a decade-long slide in Mexican crude output.
