Mexico is poised to take full advantage of its untapped deepwater potential after ending its decades long oil industry monopoly, according to Aldo Flores-Quiroga, the country’s undersecretary of hydrocarbons.
As oil prices continue to stabilize and the industry emerges, Mexico’s oil sector has become a highly attractive investment destination. And with round one of the country’s energy reform under its belt, Mexico is ready to unleash more of its coveted resources to foreign investors with another deepwater auction set for this year, Flores-Quiroga said during an OTC breakfast on May 1.
“Mexico is perhaps the most important opportunity in the world,” he said, adding that the country’s untouched resource base is something that is rare to find at this stage of the game. “This is a very large emerging market, but the first time it’s opening in the energy sector.”
Mexico has some of the world’s largest, intact, oil and gas resources available for tender. In the deep water in particular, the country has 2,601 MMboe of 2P reserves still yet to be auctioned, Flores-Quiroga said.