After the Storm in U.S.-Mexico Relations

3/31/2017 The Wilson Quarterly

Articles by Duncan Wood, Christopher Wilson, Andrew Selee, Eric L. Olson, Earl Anthony Wayne & Arturo Sarukhan

The relationship between Mexico and the United States is facing its most severe test in decades. Although a new tone and new ideas are needed, the economic, political, and security fundamentals matter more than ever.

Browse the full Winter 2017 issue of Wilson Quarterly here…

Leveraging the U.S.-Mexico Relationship to Strengthen Our Economies, by Christopher Wilson

A New Migration Agenda Between the United States and Mexico, by Andrew Selee

The Merida Initiative and Shared Responsibility in U.S.-Mexico Security Relations, by Eric L. Olson

U.S.-Mexico Energy and Climate Collaboration, by Duncan Wood

Toward a North American Foreign Policy Footprint, by Earl Anthony Wayne & Arturo Sarukhan

 

Will the Next Deepwater Horizon Be in Mexico?

12/7/16 The New York Times

1280px-development-driller-2In Dec. 5, Mexico’s Energy Ministry began auctioning off the crown jewels of its oil reserves, deepwater tracts that, along with those for fracking, are supposed to set off an oil-and-gas rush south of the border. The auctions are a result of a 2013 law that opened the country’s oil and gas industry to private companies, after 75 years of public ownership. What could go wrong?

Plenty, as recent experiences in the United States suggest. Five years ago, Deepwater Horizon familiarized the world with the risks of deepwater drilling, and Americans are increasingly aware of the dangers of hydraulic fracking. In Mexico, the threats from both will be magnified: The state-owned oil company, Petroleros Mexicanos, or Pemex, has long operated with scant environmental oversight, a legacy that will most likely carry over as private-sector operations take over.

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Successful Auction Encourages Mexico to Step Up Oil Opening

12/6/16 The Wall Street Journal

download-3MEXICO CITY—Buoyed by the results of Mexico’s first deep-water oil auction, widely seen as a big success, President Enrique Peña Nieto’s government plans to raise the bet. Mexico intends to hold a second, much bigger deep-water auction around October next year, while state firm Petróleos Mexicanos will likely seek as many as 25 partnerships with private firms over the next two years, Energy Minister Pedro Joaquín Coldwell said in an interview.

“We’re going to be more ambitious, we’ll take a step forward because we now have more experience,” said Mr. Coldwell. “What we’ll very likely see are auctions with many more oil blocks than what we have seen so far.”

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Mexico Oil Auction Succeeds in Drawing World’s Biggest Drillers

12/5/16 Bloomberg Markets

download (3).jpgMexico’s first competitive deep-water oil auction surpassed expectations as eight of 10 blocks were awarded to some of the world’s top oil companies. The National Hydrocarbons Commission awarded all four blocks in the oil-rich Perdido Basin, where the geology is said to mirror the U.S. side of the Gulf of Mexico, to companies including Total SA, CNOOC Ltd, Chevron Corp. and Exxon Mobil Corp. In the Salina Basin in the south, which is less explored and therefore considered riskier, four of six blocks were awarded. Separately, BHP Billiton Ltd. won the right to develop the Trion field in the Gulf along with Pemex.

The deep-water auction signals the beginning of a new era for Mexico, which ended state-controlled Petroleos Mexicanos’s 75-year monopoly in the energy sector in 2013 by opening the doors to foreign competitors.

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Mexico deep water oil push taps data that solved dinosaur riddle

5/11/12 Reuters

oil wellA long-awaited auction of Mexico’s untapped deep water oil fields on Monday has been fueled by a nearly $3 billion boom in geological data mapping almost inaccessible deposits to open up what the industry sees as the world’s “last great proven frontier.”

The data rush of the past two years by many top geophysical companies has sparked some of the biggest imaging projects ever for technology also used to hunt for the ruins of ancient civilizations and explain the fate of the dinosaurs.

“What they’re doing is literally rewriting the geological model of the Gulf of Mexico,” Juan Carlos Zepeda, head of the national hydrocarbons commission (CNH), Mexico’s oil regulator, said ahead of Monday’s deep water auctions where the likes of Chevron (CVX.N) and BP (BP.L) are expected to participate.

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Mexico’s $1 billion oil hedge may pay economic dividends

09/10/16 CNBC

oil wellAs the world in general and oil producers in particular continue to navigate a world awash in cheap crude, Mexico is trying to get ahead of the game — and potentially reap a big reward in the process.

Home to oil reserves of at least 10 billion barrels according to U.S. Energy Information Administration figures, Mexico has traditionally done very well by hedging oil in global markets.

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Mexico’s IEnova says recasts Pemex deal to buy pipeline stake

07/12/2016 Reuters

5337912858_1b19aea036_mIEnova, the Mexican unit of U.S.-based Sempra Energy, said on Tuesday it had restructured a deal to buy state-run oil company Pemex’s 50 percent stake in pipeline company Gasoductos de Chihuahua for $1.108 billion.

In December, Mexico’s Federal Economic Competition Commission (COFECE) said it objected to a previous incarnation of the deal, as Pemex had failed to sell its stakes in a liquefied petroleum gas pipeline and a natural gas pipeline, as ordered by a previous anti-trust agency.

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