Category Archives: Energy

Mexico sees $620 million investment from 26 oil areas under tender

To compete for the onshore contracts, companies must document financial capacity of between $5 million and $200 million.
To compete for the onshore contracts, companies must document financial capacity of between $5 million and $200 million.

By David Alire Garcia and Adriana Barrera / Reuters

The next round of contracts in Mexico’s opening of its oil and natural gas industry should bring in about $620 million in investment in the first five years, Energy Minister Pedro Joaquin Coldwell said on Tuesday.

The 26 onshore oil and gas areas to be tendered are spread across five states and are believed to contain 2.5 billion barrels of oil equivalent in remaining resources.

Edgar Rangel, a member of the National Hydrocarbons Commission oil and gas regulator, said the 26 areas would have average production costs of between $10 and $20 per barrel, below previously announced shallow water contracts.

The 26 areas are the third installment of the so-called Round One tender.

http://www.reuters.com/article/2015/05/12/mexico-oil-idUSL1N0Y31T220150512