12/7/16 The New York Times
In 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.