Mexico reform opened the energy sector to foreign investment in 2013 for the first time in 75 years, but weak oil prices and politics continue to pressure the country’s energy industry, Dimitra DeFotis writes in barrons.com.
As for oil production in Mexico, it is at its lowest level since 1981. Production peaked in 2004, and has tumbled by a third to 2.49 million barrels per day from 3.82 MMbpd since, according to Raymond James analysts Pavel Molchanov, Luana Siegfried and Garrison Allen.
Raymond James held conference call last week with the director of investor relations at Petróleos Mexicanos (Pemex), the state-controlled oil producer, and compares the company to counterparts, which include Petroleo Brasileiro (PBR) in Brazil, YPF (YPF) in Argentina and Ecopetrol (EC) in Colombia. Their main takeaway: “Mexico is a prime example of a country where the theory of potentially lucrative drilling economics is running up against the reality of what the industry calls “above-ground” risk, i.e., complicated and uncertain government policy.” Here are more excerpts:
To read complete article click here.
more recommended stories
AMLO says he will not ‘confront’ Catholic church over sexual abuse claims
(Reuters) – Mexican President Andres Manuel.
Water treatment plant shut down in Cielo Alto, Southern Mérida
“After causing damage to the environment,.
“Villaventura” Parque Vivo: Interactive farm to bring children closer to nature
The importance of the direct contact.
Yucatan seeks to reduce the number of suicides with prevention program
Yucatan doubles the national rate of.
Maya train features mixed investment: 10% government and 90% private initiative
The Maya Train project will be.
Progreso Beach and the mafia behind the Palapas
In an extensive investigation conducted by.
Passenger stabbed to death inside a Merida public transport bus
What started as a fight ended.
The National Institute of Migration seeks to facilitate the integration of foreigners in Yucatan
MERIDA YUCATAN.- The National Institute of.
Yucatan´s new gastronomy
The president of the National Chamber.
Meet Merida’s new “Park Rangers”
MERIDA YUCATAN.- In order to maintain the.