Mexico’s oil regulator approved on Friday November 4, a final set of business-friendly tweaks to bid rules for a highly-anticipated upcoming auction that will pick a partner for state oil company Pemex to develop its first-ever deep water project.
The joint venture covers Pemex’s Trion field and marks a major step in the opening up of Mexico’s oil industry, a process enabled by a landmark energy reform in 2013 that permits Pemex to enter into exploration and production joint ventures for the first time.
Trion is located at a depth of 2,500 meters (8,202 feet) in the Gulf’s Perdido Fold Belt just south of Mexico’s maritime border with the United States. The field is believed to contain some 480 million barrels of oil equivalent.
Among the final changes to the bid terms, the oil regulator, known as the CNH, voted to eliminate a provision in the joint operating agreement that would have given Pemex the power to unilaterally remove the oil company chosen to operate the project.
The CNH also voted to eliminate a cash bond that was included in the joint operating agreement, leaving just a bond set out in the license contract, as well as specifying that the operator will have the “decisive vote” in the event of any work program disagreements.
The CNH previously voted to lower Pemex’s minimum stake in the project from 45 percent to 40 percent.
The license contract, similar to a concession, will be awarded on Dec. 5, the same day that the regulator will also auction 10 separate deep-water fields, including four that surround Trion.
Pemex has estimated that the Trion project will require a total investment of about $11 billion.
(Reporting by David Alire Garcia; Editing by Bernard Orr)
more recommended stories
600 new police for Cancun, Playa del Carmen and Tulum Quintana Roo
According to riviera-maya-news.com, approximately 600 new.
Teen jogger who accidentally crossed U.S. border from Canada is detained for two weeks
A teenager out for a beachside.
Grand Finale of the 2018 Merida Initiative National Mock Trial Competition for Mexican Law Students
Mexico City, 21 June, 2018 –.
Three time NBA Champion Klay Thompson charters plane to Mexico full of IG models
Three-time champion Klay Thompson is in.
Mexico’s soccer national team mental coach is transforming mindsets nationwide
Though the spotlight is always on.
Maya sacred book “Chilam Balam Tekax” astrological predictions analyzed by INAH experts
The first specialized integral study of.
Prisma Hotel Group announces investment of 357 million for remodeling hotels nationwide
With the objective of always providing.
Trump’s ‘Tent Cities’: where unaccompanied minors are kept in South Texas
According to Esquire: Beyond the moral and.
“Mayas y Piratas” Festival in Chetumal
The Bay of Chetumal will host.
The current ESAY premises will be turned into the new University of the Arts
“The transformation of the Higher School.