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KEYFACTS Energy
ENERGY COUNTRY REVIEW
Mexico
keyfactsenergy.com
KEYFACTS Energy
Country Review Mexico
11 12
Mexico Oil ProductionThousand barrels per day
2940
2911
13
2875
Source: BP Statistical Review
14
2784
15
2588
16
2456
17
2224
Mexico straddles the southern part of North America, with coastalplains along the Pacific and Atlantic coasts rising to a centralplateau. Northern Mexico is desertlike, while the south is amountainous jungle containing Maya and Aztec ruins. Most peoplelive in the densely populated waist of the country, including thecities of Veracruz, Mexico City, and Guadalajara. Most Mexicansare of mixed Spanish and Indian descent, but about 30 percentare Indian-and millions still speak Indian languages in thesoutheast.
Mexico was independent from Spain in 1821. Instability, includingcession to USA, led to Revolution in 1910 and establishment ofthe 1917 Constitution. The Mexican Eagle Petroleum Companywas nationalised in 1938 and the state-owned oil company,Pemex, was created.
Oil production began in 1901 from the Northern Region and hadcommenced in many areas bordering the Gulf of Mexico by the1960s. Onshore output has been in decline since 1979. Offshorethe most productive area is shallow waters of Campeche Baywhere the giant Cantarell complex began producing in 1979.Smaller fields on the west margin of the Gulf were developedafter 1972. Cantarell is now declining but other field complexes,such as Ku-Zaap-Maloob, replaced some shortfall. Deep waterexploration began in 2004 and new output is expected. Gascomes from the onshore Burgos basin, the Golden Lane areawest of the Gulf and Campeche Bay.
Mexico is now one of the largest producers of petroleum andother liquids in the world, the fourth-largest producer in theAmericas after the United States, Canada, and Brazil, and animportant partner in U.S. energy trade. In 2014, Mexico accountedfor 781,000 b/d, or 11% of U.S. crude oil imports.
Country Key Facts
Official name: Estados Unidos MexicanosCapital: Mexico CityPopulation: 130,759,074 (2018)Area: 1,964,375 square kilometersForm of government: Federal RepublicLanguage: Spanish, various Mayan,
Nahuatl, and other indigenouslanguages
Religions: Roman Catholic, ProtestantCurrency: Mexican PesoCalling code: +52
KEYFACTS Energy
Country Review Mexico
11 12
Mexico year end oil reservesBillion barrels
11.4
11.4
13
11.1
Source: BP Statistical Review
14
9.8
15
10.8
16
7.2
17
7.2
Energy ReformsMexico nationalized its oil sector in 1938, and PEMEX was createdas the sole oil operator in the country. PEMEX is the largestcompany in Mexico and one of the largest oil companies in theworld. Mexico's energy sector is regulated by the Secretaría deEnergía (SENER). Comisión Nacional de Hidrocarburos (CNH)provides additional oversight of PEMEX and its oil and natural gasactivities.
After years of declining production, Mexico instituted significantenergy reforms. In December 2013, the Mexican governmentenacted constitutional reforms ending PEMEX's monopoly on theoil and natural gas sector and opening the industry to greaterforeign investment. The reforms allow for new exploration andproduction contract models: licenses, production-sharing, profit-sharing, and service contracts. Previously, only service contracts,in which companies were paid for services and were not allowedshares or profits derived from the hydrocarbon resources, wereallowed for foreign firms.
In July 2015, the first auction phase of Round One offered 14offshore blocks for exploration and production to private investors.Because of low crude oil prices and the terms of the contracts,only 2 of the 14 blocks received adequate bids to be awarded. Aconsortium of three companies, Sierra Oil & Gas, Talos Energy,and Premier Oil, was awarded the second and seventh block ofthe auction. Subsequent phases of Round One were postponedas CNH adjusted rules surrounding the auctions to promote morebidding on the offerings.
Oil & gas overview
Mexico is also the fourth-largest producer in the Americas afterthe United States, Canada, and Brazil, and an important partnerin U.S. energy trade. In 2015, Mexico accounted for 688,000barrels per day (b/d), or 9%, of U.S. crude oil imports.
Mexico's oil production has steadily decreased since 2005 as aresult of natural production declines from Cantarell and other largeoffshore fields. In August 2014 in an effort to address the declinesof its domestic oil production, the Mexican government enactedconstitutional reforms that ended the 75-year monopoly of PetroleósMexicanos (PEMEX), the state-owned oil company.
Petroleum and other liquids
Mexico produced an average of 2.6 million barrels per day (b/d)of petroleum and other liquids in 2015. Crude oil accounted for 2.3
KEYFACTS Energy
Country Review Mexico
11 12
Mexico year end proved gasreservesTrillion cubic metres
0.4
0.4
13
0.3
Source: BP Statistical Review
14
0.3
15
0.3
16
0.2
17
0.2
million b/d, or 86%, of total output, with the remainder attributedto lease condensate, natural gas liquids, and refinery processinggain. Mexico’s total oil production has declined substantially,falling 32% from its peak in 2004. Notably, crude oil productionin 2015 was at its lowest level since 1981 and has continued todecline in 2016. Mexico is a significant crude oil exporter, thethird largest in the Americas, but the country is a net importer ofrefined petroleum products. The United States, is the destinationfor most of Mexico’s crude oil exports and the source of most ofits refined product imports.
ReservesAccording to the Oil & Gas Journal (OGJ), Mexico had 9.7 billionbarrels of proved oil reserves as of the end of 2015. Most reservesconsist of heavy crude oil varieties, with the largest concentrationoccurring offshore of the southern part of the country, particularlythe Campeche Basin. There are also sizable reserves in onshorebasins in the northern parts of Mexico.
OffshoreNearly half of Mexico’s oil production comes from two offshorefields in the northeastern region of the Bay of Campeche - Ku-Maloob-Zaap (KMZ) and Cantarell. Another important source ofoil production is southwest in the same bay, offshore the state ofTabasco. Most of the oil produced at KMZ and Cantarell is heavyand marketed as Maya blend (API specific gravity of 21 to 22degrees), while the oil produced offshore Tabasco is a lightergrade.
OnshoreOnshore fields account for roughly 25% of Mexico’s total crudeoil production. Most of this production is of light or extra-lightcrude oil from the southern part of the country. The largest oilfieldin the south of Mexico is Samaria-Luna, which produced about145,000 b/d in 2015.
Natural gasMexico has considerable natural gas resources, but its productionis modest relative to other North American countries. Thedevelopment of Mexico’s shale gas resources is proceedingslowly, while consumption is projected to increase 31% from 2015to 2029. Mexico’s import needs are rising as domestic productionstagnates and as demand increases, particularly in the electricitysector. Consequently, Mexico will rely on increased pipelineimports of natural gas from the United States and liquefied naturalgas (LNG) imports from other countries.
KEYFACTS Energy
Country Review Mexico
11 12
Mexico Gas ProductionBillion cubic meters
Source: BP Statistical Review
52.1
50.9
13
52.5
14
51.3
15
47.8
16
43.7
17
40.7
ReservesAccording to the Oil & Gas Journal, Mexico had 15.3 trillion cubicfeet (Tcf) of proved natural gas reserves at the end of 2015.Although the southern region of the country contains the largestshare of proved reserves, the Burgos region in the north has thepotential to be the center of growth in future reserves.
Exploration and productionMexico produced an estimated 1.4 Tcf of dry natural gas in 2015,a modest decline from the year before. Part of the decline is inresponse to the higher price of crude oil relative to the price ofnatural gas, which encouraged PEMEX to favor development ofoil.
2017 Licensing Rounds
With the first four stages of Round One out of the way, mid-2017will see the initiation of the National Hydrocarbons Commission’ssecond leg of licensing rounds: Round 2.1, 2.2 and 2.3. Thesuccess of December’s deepwater round is still fresh and hopesare high for the onshore and shallow water rounds to be held thisyear. Below is a breakdown of the licensing rounds planned for2017.
Round 2.1Fifteen shallow water exploration and extraction blocks will beauctioned in the first stage of Round Two, with the final resultsdue to be announced on June 19. By early February, 23 companieshad qualified to access the data room.
Ten of the 15 fields, which are spread along the coast of Veracruz,Tabasco and Campeche, contain crude oil and gas reserves,while the remaining five contain gas reserves only. They rangein area from 466km2 to 972km2, with an average size of 595km2.
Interested parties have had since Aug. 1 to access the data roomwhere seismic studies are available for viewing. They have untilMarch 24 to subscribe for prequalification in the round.
Possible Farm-out With Round 2.1On Oct. 18, 2016, PEMEX sent an application to SENER forapproval to farm out its Ayin and Batsil shallow water oilfields,following its first such farm-out of the deepwater Trion block inDecember, which was won by BHP Billiton. Information on theAyin and Batsil area is now available for third party viewingthrough CNH’s website and it could be auctioned on June 19,together with the 15 blocks in Round 2.1.
KEYFACTS Energy
Country Review Mexico
Proved oil reserves at 2017 year end (billion bbls)
Proved gas reserves at 2017 year end (trillion cubic feet)
2017 oil production (thousand bbls per day)
2017 gas production (billion cubic metres)
Source: BP Statistical Review
Argentina (2.2)Brazil (12.6)
Colombia (2.0)Ecuador (8.3)
Mexico (7.2)Peru (1.2)
Trinidad & Tobago (0.2)
Argentina (11.6)Bolivia (9.6)Brazil (13.5)
Colombia (3.9)Mexico (6.9)Peru (15.5)
Trinidad & Tobago (9.2)
Argentina (593)Brazil (2734)
Colombia (851)Ecuador (531)Mexico (2224)
Peru (127)Trinidad & Tobago (99)
Argentina (37.1)Bolivia (17.1)Brazil (27.5)
Colombia (10.1)Mexico (40.7)
Peru (13.0)Trinidad & Tobago (33.8)
KEYFACTS Energy
Deep waters in the Gulf of Mexico26.5
Southeastern basin20.1
Burgos basin2.9
Tampico-Misantla basin2.5
Veracruz basin1.6
Yucatan Platform0.5
Sabinas basin0.4
Prospective Resources (billions of barrels of oil equivalent)
Source: PEMEX, The Wall Street Journal
Country Review Mexico
Gul f o f Mex ico
Pacif ic Ocean
Map: EKF
200 miles
Primarily oilNatural Gas
MEXICO
Mexico City
USA
Bel
ize
HondurasGuatemala
7
1
2
3
4
5
6
7
5
2
4
1
3
6
KEYFACTS Energy
BHP
BP
Burisma Group
Cairn Energy
Chevron
Citla Energy
CNOOC
DEA
Eni
Equinor
ExxonMobil
Fieldwood Energy
Genoil
INPEX
International Frontier Resources
Lewis Energy Group
LUKOIL Overseas
Mubadala Petroleum
Murphy Oil
MX Oil
Ophir Energy
Pan American Energy
PEMEX
Perenco
Perseus
Petrobras
PETRONAS
PICO Cheiron
Premier Oil
Qatar Petroleum
Reliance Group
Renaissance Oil
Shell
Sierra Oil and Gas
Talos Energy
Total
Oil & Gas Companies Mexico
KEYFACTS Energy
BHP Mexico
COMPANY DESCRIPTION BHP is among the world’s top producers of major commodities including iron ore, metallurgical coal, copper and uranium. We also have substantial interests in oil, gas andenergy coal.
The company's Petroleum unit comprises conventional and unconventional oil and gas operations, and includes exploration, development and production activities.
The Group have a high-quality resource base concentrated in the United States and Australia. Their core production operations consist of conventional assets located in the US Gulf of Mexico, Australia and Trinidad and Tobago and unconventional Onshore US assets.
MEXICO OPERATIONS In December 2016, BHP Billiton submitted the winning bid to acquire a 60 per cent participating interest in and operatorship of blocks AE-0092 and AE-0093 containing theTrion discovery located in the deep-water Gulf of Mexico offshore Mexico. Pemex estimates the gross recoverable resource to be 485 MMboe.
An Exploration and Appraisal plan for the Trion contractual area licence number CNH-A1-Trion/2016 (formerly referredto as blocks AE-0092 and AE-0093) was submitted to the Comisión Nacional de Hidrocarburos of Mexico by BHP andPemex on 29 August 2017, in line with regulatory requirements. BHP have received positive feedback and planning continues for the exploration and appraisal wells which are expected to be drilled in the 2019 financial year.
In February 2019, the BHP Board approved US$256 million in funding to drill an additional appraisal well (3DEL) and perform further studies in the Trion field, to further delineatethe scale and characterisation of the resource.
CONTACT BHP Head OfficeBHP Billiton Centre, 171 Collins StreetMelbourne Victoria 3000
Tel: (61) 1300 55 47 57
KEYFACTS Energy
BP Mexico
COMPANY DESCRIPTION BP's history is full of discoveries, starting in 1908 with oil foundin a rugged part of Persia after a long and difficult search.
BP is now one of the world's largest petroleum and petrochemicals companies. The company's main activities are exploration for and production of crude oil and natural gas; oilrefining, marketing, supply and transportation; and manufacturingand marketing of petrochemicals.
In addition, BP also has a growing activity in gas, power and renewables and in solar power generation. BP has well established operations in Europe, North and South America, Asia, Australasia and Africa.
MEXICO OPERATIONS In December 2016, Mexico awarded a consortium of BP, Statoil,and Total blocks 1 and 3 in the Saline Basin in the Deepwater exploration tender in the Mexican Round 1.
The blocks cover an area of about 5,650 km2 in the largely unexplored deepwater areas of the Saline Basin. Statoil will bethe operator of blocks 1 and 3, at 33.4% equity, with partners BP and Total participating equally with the remaining equity.
The licences were awarded in a competitive bid round. A totalof 10 deepwater blocks were on offer, with four in the PerdidoArea and six in the Saline Basin.
The blocks awarded are in water depths ranging from about 900 – 3,200 metres. The bid round is Mexico’s first ever tenderfor deepwater exploration acreage.
The winning bids for both blocks consisted of an additional royalty of 10% (on potential future revenues) and an additionalwork program equivalent to 1 biddable well per block. Each block also has a minimum work program as defined by the authorities, including a variety of geological activities but no required wells.
CONTACT BP Exploration - SunburyChertsey Road Sunbury-on-ThamesMiddlesex, TW16 7LN, UK
Tel: +44 (0)1932 762 000
BP p.l.c. - International Headquarters1 St James's Square, London, SW1Y 4PD
Tel: +44 (0)20 7496 4000
KEYFACTS Energy
Burisma Group Mexico
COMPANY DESCRIPTION Burisma Group is an independent oil and gas company, operatingin Ukraine. Since its launch in 2002, the company has rapidly become one of the largest independent gas producers in the country.
The company has been engaged in oil and gas exploration andproduction for more than 10 years. The core business is locatedin Ukraine, where the Group is the largest independent naturalgas producer. Burisma is seeking for opportunities to expand its portfolio to other countries.
MEXICO OPERATIONS Burisma is developing its relationship with Petroleos Mexicanos(PEMEX) - Mexican state-owned petroleum company, one of the biggest regional market players in Latin America.
Burisma and PEMEX work jointly in order to establish multilevelcooperation in the area of oil and gas exploration and production, high quality drilling, service contracts, industrial processing/refining.
CONTACT Burisma Holdings155, Archiepiskopou Makariou ave.Proteas House3026LimassolCyprus
Tel: +357 25 558 088
KEYFACTS Energy
Cairn Energy Mexico
COMPANY DESCRIPTION Cairn Energy PLC is an independent, UK-based oil and gas exploration and development company with near-term production. Cairn holds a balanced portfolio of exploration, development and production assets with interests in the UK and Norway, West Africa and along the Atlantic Margin includingSenegal, Mexico and the Republic of Ireland.
Exploration is currently focused on frontier and emerging basinacreage offshore Senegal, Mexico, Western Sahara, the Republicof Ireland and Norway, and mature exploration acreage in theUK and Norway. Development and near-term production interests consist of non-operated interests in two of the largestUK North Sea development projects, Kraken and Catcher.
MEXICO OPERATIONS In June 2017, Cairn secured interests in two licences in the Mexico offshore bid round.
The licences (one operated and one non-operated, covering ~1,100km²) are located in the Gulf of Mexico in the shallow water Sureste basin in water depths of 100-500metres and ~50km offshore:
Block 7: ENI (45% operator), Cairn (30%), Citla (25%)Block 9: Cairn (65% operator), Citla (35%)
The licences were secured by Capricorn Energy Limited a wholly owned subsidiary of Cairn Energy PLC with the Production Sharing Contracts scheduled to be signed later thisyear with the Government of Mexico. The contract awards aresubject to the final approval of the authorities. Cairn anticipatesexploration drilling to commence in the 2019-2020 period onboth blocks.
Exploration outlook: In Mexico, three exploration wells areplanned in shallow water Gulf of Mexico for Q3 and Q4 2019.In Block 9 (Cairn Operator 65% WI) drilling operations on thefirst well are expected to commence in Q3, followed by the second well in Q4 2019. In Block 7, (Cairn 30% WI) drilling is planned for Q3 2019.
CONTACT Cairn Energy PLC - Head Office50 Lothian Road, Edinburgh EH3 9BY
Tel: +44 131 475 3000
London office6th Floor, 20 Berkeley Square, London, W1J 6EQ
Tel: +44 (0)207 647 0120
KEYFACTS Energy
Chevron Mexico
COMPANY DESCRIPTION Chevron Corp. ranks among the world's largest and most competitive global energy companies. Headquartered in San Francisco, it is engaged in every aspect of the oil and gas industry, including exploration and production; refining, marketing and transportation; chemicals manufacturing and sales; and power generation.
The company trace their beginnings to an 1879 oil discovery at Pico Canyon, north of Los Angeles, which led to the formation of the Pacific Coast Oil Co. That company later became Standard Oil Co. of California and, subsequently, Chevron. The Group took on the name Chevron when they acquired Gulf Oil Corp. in 1984, nearly doubling worldwide proved oil and gas reserves. This merger with Gulf was at thattime the largest in U.S. history.
Worldwide, Chevron is the fourth largest publicly traded company in terms of oil and gas reserves and is the fourth largest producer.
Chevron's net oil-equivalent production grew more than 7 percent in 2018 to a record 2.93 million barrels per day. The company expect that 2019 production will continue to grow by 4 to 7 percent, excluding the impact of asset sales.
MEXICO OPERATIONS In December 2016, an international consortium operated by Chevron Corporation’s subsidiary, Chevron Energía de Mexico,S de R.L. de C.V., was awarded an exploration contract for Block 3 in the deepwater Gulf of Mexico, one of the most significant opportunities in Mexico’s 1.4 bid round. Other partners in the bidding consortium are Pemex Exploration andProduction and INPEX Corporation.
The acquisition of the block marks Chevron first successful entry into Mexico’s large prospective offshore opportunities.
Block 3, which spans approximately 651 square miles (1,687 square kilometers), is located in the Perdido Fold Belt, approximately 45 miles (117 kilometers) offshore Mexico in water depths ranging between 1,640 to 5,575 feet (500m to 1,700 meters). Chevron will be the operator and hold a 33.3334percent interest in the block while Pemex and Inpex will eachhold a 33.3333 percent interest.
CONTACT Chevron Corp.6001 Bollinger Canyon Rd.,San Ramon, CA 94583
Tel: +1 925 842 1000
KEYFACTS Energy
Citla Energy Mexico
COMPANY DESCRIPTION Citla Energy is a Mexican independent exploration and production company. With offices in Mexico City and Houston,Citla is an active participant in the opening of the Mexico oil &gas sector, where it seeks to acquire and build a portfolio of selected onshore and offshore assets, both independently and in partnership with other industry participants.
MEXICO OPERATIONS In September 2017, Citla Energy igned three hydrocarbon exploration and production contracts as part of Mexican Round2.1. The blocks were awarded under production sharing contracts with a duration of up to 40 years (30 years plus two5 year extensions) and are located in the south east of the Gulfof Mexico, one of the most prolific and under explored shallowwater basins in the world, covering ca. 1,500km², in water depths of 100-500 meters and approximately 50 kilometers offshore, in good proximity to Pemex’s existing infrastructure and close to areas where recent significant discoveries have been announced. The contracts Citla has signed are associatedwith the following blocks in consortiums with ENI of Italy andCairn Energy PLC:
Block 7: Citla (25%), ENI (45%, operator), Cairn (30%)Block 9: Citla (35%), Cairn (65%, operator)Block 14: Citla (40%), ENI (60% operator)
In April 2018, Citla won its fourth production-sharing contractas part of Round 3.1 of the Mexican Energy Reform. The newlywon contract is associated with "Block 15," a geographic area located in the Tampico Misantla basin of the Gulf of Mexico, covering about 962 km². With the addition of "Block 15," Citla'sportfolio has abundant prospective resources throughout an area of 2,581 km² and geologic diversification across the two most important and prolific basins in the country – the South East and Tampico-Misantla basins. Citla has obtained this awardin a 50/50 consortium with Cairn Energy PLC as operator.
CONTACT Citla Energy - Houston1200 Smith Street, 16th Floor, Houston, Texas 77002, USA
Tel: (713) 353 8986
Citla Energy - Mexico CityAv. Santa Fe No 170 oficina 3-2-02, Col. Lomas de Santa FeDel. Álvaro Obregón, Mexico, DF CP. 01219
Tel: +52 (55) 8421-1901
KEYFACTS Energy
CNOOC Mexico
COMPANY DESCRIPTION CNOOC Limited is China’s largest producer of offshore crudeoil and natural gas and one of the largest independent oil and gas exploration and production companies in the world. The Group mainly engages in exploration, development, productionand sales of oil and natural gas.
The Group’s core operation areas are Bohai, Western South China Sea, Eastern South China Sea and East China Sea in offshore China. Overseas, the Group has oil and gas assets in Asia, Africa, North America, South America, Oceania and Europe.
CNOOC's net production target for 2019 is 480 million to 490 million barrels of oil equivalent (BOE), of which, productionfrom China and overseas accounts for approximately 63% and37%, respectively. The Company's net production for 2018 is expected to be approximately 475 million BOE. The Company'snet production for 2020 and 2021 are estimated to be 505 million to 515 million BOE and 535 million to 545 million BOE,respectively.
MEXICO OPERATIONS In December 2016, Mexico awarded China Offshore Oil Corporation (CNOOC) the first block tendered from the Gulfof Mexico's Perdido Fold Belt off the U.S.-Mexico maritime border, in a historic deep water oil and gas auction.
CNOOC International now has 100% working interest in twodeepwater exploration blocks – Block 1 and Block 4 – in the Gulf of Mexico’s Cinurón Plegado Perdido, located in the offshore segment of the Burgos geological province.
In 2017, CNOOC International entered a 35-year licensing contract for the exploration and production of the block. Theexploration period has been divided into three stages, for a total of ten years. Over the next few years, CNOOC International will complete the commitment of the voluntary workload in accordance with the requirements of the contract.
CONTACT CNOOC InternationalNo. 6 Dongzhimenwai Small Street, Dongcheng District, Beijing,100027, P.R. ChinaTel: (8610) 8452 1651
CNOOC E&P Mexico, S.A.P.I.DE C.V.Corporativo Antara Polanco Edificio Paseo Torre B., Av. EjercitoNacional 843-B Col. Granada, Del. Miguel Hidalgo, CDMX 11560, MexicoTel: (5255) 5135 3639
KEYFACTS Energy
DEA Mexico
COMPANY DESCRIPTION DEA Deutsche Erdoel AG is an international exploration and production company for oil and gas with headquarters in Hamburg, Germany.
In its exploration and production operations DEA applies its extensive geo-scientific know-how, state-of-the-art drilling andproduction technology and the pertinent experience from over116 years of corporate history.
DEA currently holds licences in 13 different countries. These include production facilities and concessions in Denmark, Egyptand Germany. In Algeria the production is currently being set up. DEA has exploration permits in Guyana, Ireland, Libya, Poland, Spain, Suriname, Trinidad and Tobago and Turkmenistan.In Germany DEA operates production sites in Schleswig Holstein and Lower Saxony. In Bavaria DEA maintains three large underground gas storage facilities.
MEXICO OPERATIONS In December 2018, DEA announced the acquisition of Sierra Oil & Gas. Sierra holds interests in a portfolio of six explorationand appraisal blocks in Mexico, including the world class Zamadiscovery. The transaction is an important milestone, fulfilling DEA’s objective of building a significant portfolio in the Mexicanupstream market.
DEA is operator of the Ogarrio oil field. The 50 percent licenceshare that DEA acquired, was offered in a farm-out auction ofthe National Hydrocarbons Commission (CNH) in October 2017. Pemex is the licence partner, holding the remaining 50 percent. The licence contract was signed in March 2018.
In March 2018, DEA was awarded three offshore exploration blocks as operator in the shallow water bid round 3.1: Block 16 and 17 with its partners Pemex Exploration and Productionand Cepsa and Block 30 jointly with its partners Sapura E&P and Premier Oil.
In addition, DEA holds a 30% share of Block 2, with Pemex holding the remaining 70% as operator. Block 2 comprises 549sq. km and is located in the in the immediate vicinity of Block 16 and 17. The water depth ranges from 40 to 260 m.
CONTACT DEA Deutsche Erdoel México, S. de R.L. de C.V.Edificio Omega, Campos Elíseos 345, Piso 8 Oficina 802, Col. Polanco V Sección, C.P. 11560, Ciudad de México (MEXICO)
DEA Deutsche Erdoel AG - HeadquartersÜberseering 40, D-22297 Hamburg, GermanyTel: +49 (0) 40/6375 0
KEYFACTS Energy
Eni Mexico
COMPANY DESCRIPTION Eni is a major integrated energy company, committed to growthin the activities of finding, producing, transporting, transformingand marketing oil and gas. The company operates in the oil andgas, electricity generation and sale, petrochemicals, oilfield services construction and engineering industries. Eni is active in 70 countries with a staff of about 79,000 employees.
Eni engages in oil and natural gas exploration, field developmentand production, mainly in Italy, Algeria, Angola, Congo, Egypt, Ghana, Libya, Mozambique, Nigeria, Norway, Kazakhstan, the UK, the United States and Venezuela, overall in 46 countries.
MEXICO OPERATIONS Eni is present in Mexico since 2006 and established its wholly-owned subsidiary Eni Mexico S. de R.L. de C.V. in 2015. After the approval of an asset swap agreement with Lukoil in November 2018, Eni will hold rights in seven exploration and production blocks all offshore: Area 1 (Eni 100%, operator), Area 7 (Eni 45%, op.), Area 10 (Eni 80%, op.), Area 12 (Eni 40%),Area 14 (Eni 40%, op.), Area 24 (Eni 65%, op.) and Area 28 (Eni75%, op.). In July 2018 CNH approved Eni’s Development Planfor the discoveries of Amoca, Miztón and Tecoalli, located in Area 1, which hold an estimated 2.1 billion barrels of oil equivalent in place (90% oil) in world-class reservoirs.
In October 2015, Eni won with a 100% share a Production Sharing Contract to appraise, develop and exploit the oil fieldsof Amoca, Miztón e Tecoalli, located in the Area 1 in the Campeche Bay, offshore Mexico, following an international auction held yesterday in Mexico City.
In February 2018, Eni and its partner Qatar Petroleum were awarded rights to Block 24 located in in the deep waters of Cuenca Salina Basin in Mexico. Eni will be Operator of Block 24 with 65% in joint venture with Qatar Petroleum with 35%.
In November 2018, Eni and Lukoil signed a farm-out agreementfor the transfer of participating interests in three exploration licenses in Mexico’s shallow waters.
Eni will give Lukoil a 20% stake in the Production Sharing Contracts (PSC) in both Area 10 and Area 14, and will acquirea 40% stake in Lukoil’s PSC for Area 12.
CONTACT Eni - Exploration & Production DivisionVia Emilia, 1, 20097 San Donato Milanese, Italy
Tel: +39 02 5201
KEYFACTS Energy
Equinor Mexico
COMPANY DESCRIPTION Equinor is an international energy company present in more than 30 countries worldwide, including several of the world’s most important oil and gas provinces. Founded in 1972 under the name Den Norske Stats Oljeselskap AS - Statoil (the Norwegian State Oil company), The name changed to Equinorin May 2018.
Equinor is engaged in exploration, development and productionof oil and gas in addition to renewables. They are the leading operator on the Norwegian continental shelf and have substantial international activities. Equinor sell crude oil and isa major supplier of natural gas. Processing, refining, offshore wind and carbon capture and storage is also part of their operations.
MEXICO OPERATIONS In December 2016, Statoil were awarded blocks 1 and 3 in theSaline Basin in the Deepwater exploration tender in the Mexican Round 1.
The blocks cover an area of about 5,650 km² in the largely unexplored deepwater areas of the Saline Basin. Statoil will bethe operator of blocks 1 and 3, at 33.4% equity, with partners BP and Total participating equally with the remaining equity.
The licences were awarded in a competitive bid round. A totalof 10 deepwater blocks were on offer, with four in the PerdidoArea and six in the Saline Basin.
The blocks awarded are in water depths ranging from about 900 – 3,200 metres.
The winning bids for both blocks consisted of an additional royalty of 10% (on potential future revenues) and an additionalwork program equivalent to 1 biddable well per block. Each block also has a minimum work program as defined by the authorities, including a variety of geological activities but no required wells.
Statoil has had a representative office in Mexico City since 2001.
CONTACT EquinorDrammensveien 264, Vaekero, 0283 Oslo, Norway
Tel: +47 22 97 20 00
EquinorGrenseveien 21, N-4035 Stavanger, Norway
Tel: +47 51 99 00 00
KEYFACTS Energy
ExxonMobil Mexico
COMPANY DESCRIPTION ExxonMobil has leading positions in nearly all the major exploration and production areas in the world and in the newest opportunities, including the Gulf of Mexico, offshore West Africa and the Caspian Sea. Exxon Mobil Corporation's upstream business is organized into five global companies: Exploration, Development, Production, Gas Marketing, and Research.
The Company is the world's largest non-government producerand reserves holder. ExxonMobil's portfolio consists of discovered oil and gas resources of 70 billion oil-equivalent barrels, activities in some 50 countries and a leading acreage position in the world's most promising exploration areas. Manynew high-potential opportunities are located in deepwater areas (i.e, in excess of 1,350 feet of water). ExxonMobil currently has interests and commitments in nearly 800 deepwater blocks totaling over 95 million gross acres.
Exxon Mobil added 4.5 billion oil-equivalent barrels of provedoil and gas reserves in 2018, replacing 313 percent of the year’sproduction.
Exxon Mobil is the world's largest non-governmental marketerof equity natural gas, the largest global refiner, manufacturer oflube basestocks, and supplier and marketer of petroleum products, and one of the world's leading manufacturers of a wide range of petrochemicals and specialty chemical products.
Worldwide ExxonMobil employs over 100,000 people.
MEXICO OPERATIONS In December 2016, Mexico awarded a consortium comprisingExxonMobil and Total the second block tendered from the Gulfof Mexico's Perdido Fold Belt off the U.S.-Mexico maritime border in a historic deep water oil and gas auction.
Block 2 is a 1,149 square mile (2,976.6 square km) block whichis thought to contain some 1.440 billion barrels of oil equivalent(boe) in light and extra light crude as well as natural gas.
CONTACT ExxonMobil International LtdExxonMobil House, Ermyn WayLeatherhead, Surrey, KT22 8UX, UK
Tel: +44 1372 222000
Mexico office02300, Nte. 59 1063, Industrial VallejoCiudad de México, CDMX, Mexico
Tel: +52 55 5125 0700
KEYFACTS Energy
Fieldwood Energy Mexico
COMPANY DESCRIPTION Fieldwood Energy was formed in early 2013 as a portfolio company of Riverstone Holdings LLC, a private energy and power-focused investment firm with approximately $30 billioncommitted to over 120 investments globally. Fieldwood Energyestablished itself in September 2013 with its inaugural acquisition of Apache’s Gulf of Mexico Shelf business, followedby the acquisition of SandRidge’s Gulf of Mexico and Gulf Coastbusiness units in early 2014. Since that time, Fieldwood has completed several smaller and bolt-on transactions and built the company into a leading Gulf of Mexico operator in both the USA and Mexico.
MEXICO OPERATIONS On September 30, 2015, Fieldwood participated in an historicevent in Mexico. For only the second time since the 1930s, theMexican Government held an open auction for private oil andgas companies to bid on the right to own and extract hydrocarbons in Mexico. The auction, referred to as “Round 1,Call 2,” covered five areas in shallow waters off the Mexican coast. Fieldwood and its partner were the only companies to submit bids on three areas and were the high bidder on Area 4.
Area 4 is comprised of two fields, Ichalkil and Pokoch, in the Bay of Campeche about 60 miles from the Mexican coastline in 100-150 feet of water. Both of these fields have been testedby successful exploration wells, but there is no current production within Area 4. Fieldwood has partnered with PetroBal S.A.P.I. de C.V. ("Petrobal"), the oil and gas division ofa large Mexican conglomerate called Grupo Bal, which is activein the mining, retail, insurance, banking, and bull-fighting industries in Mexico and South America. PetroBal is led by Carlos Morales Gil, a former Pemex executive who was the head of its exploration and production subsidiary. PetroBal brings to the project a wealth of local experience and knowledge that, when combined with Fieldwood’s technical and operational expertise, will create an industry-leading oil and gas consortium in Mexico.
CONTACT Fieldwood Energy LLC2000 W. Sam Houston Parkway S.Suite 1200, Houston, TX 77042
Tel: 713-969-1000
KEY PERSONNEL Andrés BrügmannCountry Manager – Mexico
KEYFACTS Energy
COMPLETE ‘AT-A-GLANCE’MEXICO OIL COMPANYREVIEW AVAILABLE TOKEYFACTS ENERGYSUBSCRIBERS
Mexico
