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Tuesday, 02 December, 2008, 04:10 GMT | more >>

Pemex to offer more mature field contracts



By Upstream staff 

Mexico’s state-run Pemex will hand out new contracts for ageing oil fields as part of a move to revitalize wells that have been either shut in or are in the process of being mothballed, the Mexican newspaper La Jornada reported.

According to Pemex’s E&P boss Carlos Morales Gil, the Mexican oil company will hand out the contracts to refurbish the wells to boost production to as much as 120,000 barrels per day, versus 50,000 bpd now.

No timeline was given for a tender and Pemex could not be reached for comment.

Mexico will also strip away part of the tax burden to lure new players to the ageing fields, the newspaper reported.

Earlier this year, Pemex tapped the Mexican company Grupo Diavaz in that nation’s first ever tender to redevelop mature fields.

Pemex is eager to save its budget for more ambitious deep-sea oil exploration programs and is seen as being unwilling to invest heavily in older, nearly defunct properties.

But the state-run company needs to increase onshore oil output to make up for declines at bigger, but older oil fields like Cantarell.


Monday, 08 October, 2007, 18:54 GMT  | last updated: Monday, 08 October, 2007, 20:51 GMT

Clarion call: Mexicos Pemex to offer contracts to refurbish older fields
 

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