Deep-water exploration: New contracts key to Pemex
New contracts key for Pemex
Mexico eyes deep-water exploration strategies and new production agreement contracts as key to revamp dwindling oil production.
Pemex exploration and production executive Carlos Morales Gil spoke about Pemex’s exploration strategy in deep waters of the Gulf of Mexico at an Offshore Technology Conference breakfast meeting today.
Thanks to the Energy Reform Mexico passed last year, new production agreement contracts will be drawn up in order to entice more foreign oil service companies.
Morales Gil said the draft contracts will be ready by the end of the first half of this year. Pemex will then carry out a consulting process with the contracting industry companies, before deciding on the final form of the contracts.
These new agreements will be simple and transparent, said Morales Gil.
“You have to have a balance with everyone’s rights respected,” he said.
Mexico needs foreign players in order to delve into deep waters. With the new revamped contracts, Pemex hopes to be able to tap into new technologies to carry out its deep-water exploration programme.
The state-run giant estimates potential hydrocarbon resources in Mexico's deep-water at almost 30 billion barrels of oil equivalent, of which 70% is projected to lie in depths of between 1500 and 3000 metres.