Mexico oil watchdog wants greater role

Flag of Mexico --- Image by © Royalty-Free/Corbis

Mexico: the head of the National Hydrocarbons Commission wants the regulator's role expanded to oversee the contract bidding process and supervise private contractors

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News Wires

 06 July 2012 04:25 GMT

Mexico's oil industry watchdog said its role should be expanded to oversee private development contracts awarded by state oil monopoly Pemex to smaller energy companies, ramping up its previous calls for greater reform in the sector.

The National Hydrocarbons Commission, which regulates production and exploration projects in Mexico, has argued since its creation three years ago that it needs more reach to help boost the competitiveness of Pemex.

The development contracts are part of a scheme introduced in 2008 to increase investment in the energy sector after Pemex lost nearly a quarter of its production due to the rapid aging of its largest oilfields, Reuters reported.

Mexico, which relies heavily on oil revenues to fund the federal budget, risks becoming a net importer in the next decade if it…

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