Union Pacific May Benefit From Mexico Energy Reform

August 26, 2014

08/26/14 By Trevis Team. Forbes

energy- oil pumps 2Union Pacific generates around 10% of its revenue from shipments to and from Mexico. We believe that with the new energy sector reform in Mexico, this number could go up driven by an increase in Union Pacific Mexico shipments of industrial products and chemicals carloads. Recently, the Mexican government passed a law that opens up Mexico’s energy sector to foreign and private domestic energy companies. Since 1938, state-owned Petróleos Mexicanos, or Pemex, has been the only company operating in Mexico that produces and refines oil. The new law is expected to bring in billions of dollars in new investment, increase competition, and increase production of oil and gas that will help lower electricity costs in Mexico.

Read more…


Mexico poised for an ‘energy renaissance’ following reforms

August 26, 2014

08/25/14 Fortune

energy -drilling_platform_in_seaOpening the country’s oil to foreign investors will accelerate foreign investment and generally ‘improve the lives of its people,’ says think tank.

Mexico’s energy reform will bring the country “enormous benefits” and will be a “game changer” for the nation’s role in the global economy, according to report released Monday.

Read more…


Mexico’s Pemex Lowers Expected Oil Output for 2014

August 25, 2014

08/22/14 The Wall Street Journal

oil rigsMexico’s state-owned oil company Petróleos Mexicanos said Friday that crude-oil output this year would fall to about 2.35 million barrels a day after accounting for water and other impurities coming out of its fields in increasing quantities.

Pemex, as the company is known, said crude-oil measured at the wellhead in the January-to-July period averaged about 2.47 million barrels per day, while the amount of oil obtained after removing water, segregating products and accounting for inventories was 2.34 million barrels a day.

Read more…


A Second Mexican Revolution?

August 21, 2014

08/17/14 Foreign Affairs. By Pamela K. Starr and Michael C. Camuñez

Energy Reform and North American Energy Independence

shutterstock_102739391Since the December 2012 inauguration of President Enrique Peña Nieto, Mexico has implemented a series of reforms that could forever change Mexican governance and its economy’s competitiveness. These include new rules to enhance government transparency, reform primary education, expand access to credit, and encourage market-based competition by promoting investment and strengthening regulatory authorities. But the undisputed centerpiece of the legislation is energy reform.

It is not an exaggeration to call Mexico’s energy reform revolutionary. It will break the monopoly of Pemex, the state-owned petroleum company, and for the first time in over half a century, allow foreign private investment in almost every corner of the Mexican energy market. Such a reform promises to revive the Mexican oil industry, likely leading to lower-cost energy production and significant economic growth. And that is only the beginning. The energy reform package also contains three key elements — generally overlooked in recent commentary — that may well signal changes in the Mexican economy every bit as transformative as the Mexican Revolution of almost a century ago.

Read more…


Our reform programme will build a better future for Mexico – President Peña Nieto

August 21, 2014

08/20/14 Financial Times. By Enrique Peña Nieto 

Enrique Pena NietoMexico’s reform agenda is now complete. Eleven structural reforms were passed by congress over the past 20 months.

Read more… (Require subscription)

 


Energy reform will unleash Mexico’s economy – Minister of Economy

August 21, 2014

08/20/14 By Ildefonso Guajardo. Dallas Morning News

President Enrique Peña Nieto took office in late 2012 and set to work on an ambitious agenda for change and transformation. In under two years, the administration has enacted structural reforms to free up domestic markets, making the country more productive and competitive and enabling our citizens to benefit through better jobs, higher wages and rising standards of living.

This month, Mexico put in place new laws that govern the opening of the energy and electricity sectors. This historic moment affirms our standing as an emerging economic power and signals the beginning of a new era of growth and prosperity for the Mexican people.

Read more…


Mexico’s Pemex Adjusts Structure to Compete With Private Companies

August 21, 2014

08/20/14 The Wall Street Journal

pemex21State-owned oil company Petróleos Mexicanos said Wednesday that it is creating drilling, logistics and electricity affiliates as it restructures its operations to compete with private oil firms.

Pemex, as the company is known, said in a news release that the affiliates would provide services to “new actors in the industry,” and that it would produce electricity through cogeneration—the use of heat from industrial operations to create power—and sell it on the open market.

Read more…


Follow

Get every new post delivered to your Inbox.

Join 10,152 other followers