THIS THURSDAY: Second Annual North American Energy Forum

mainWHEN: Thursday, September 17, 9:00am-1:00pm

WHERE: 6th Floor Auditorium, Woodrow Wilson Center

Click here to RSVP. 

The Mexico and Canada Institutes of the Woodrow Wilson Center are pleased to invite you to the Second Annual North American Energy Forum.

9:00 am – Welcome
Duncan Wood, Director, Mexico Institute
Laura Dawson, Director, Canada Institute, Wilson Center
9:10 am – The Outlook for the Oil and Gas under Low Prices
Moderator: Jan Kalicki, Wilson Center Energy Fellow

Marco Antonio Cota Valdivia, Director General of Exploration & Extraction of Hydrocarbons, Ministry of Energy
Sara Ladislaw, Director and Senior Fellow, Energy and National Security Program, CSIS
Shirley Neff, Senior Advisor, U.S. Energy Information Administration
Duncan Wood, Director, Mexico Institute

• The outlook for North American oil and gas production
• Mexico’s oil and gas reform
• Canada’s oil sands after Keystone and low prices

10:30 am – Keynote Addresses

Cesar Hernandez Ochoa, Mexican Under-Secretary of Energy for Electricity
Amos J. Hochstein, Special Envoy, Bureau of Energy Resources

11:30 am – Coffee and Snack Break

11:45 am – North American Electricity Futures
Moderator: Laura Dawson, Director, Canada Institute

Patrick Brown,  Director of US Affairs, Canadian Electricity Association
John Renehan, Director of Strategy, GE Power and Energy
Eduardo Andrade, Corporate Director, Iberdrola Mexico
Rafael Fernandez
Henry Gentenaar, Managing Partner,  MegaSolar

• The development of Mexico’s electricity market
• Linking the region’s electricity grids and markets
• New technologies and ideas
• Smart grids and distributed generation

1:00 pm – Event Concludes

Click here to RSVP.

U.S. Allows Limited Oil Exports to Mexico

8/14/15 The New York Times

energy - oil pumpsThe Obama administration on Friday gave oil companies temporary permission to export a limited amount of oil to Mexico at a time when a glut is cutting into domestic petroleum profits and employment.

The decision by the Commerce Department fell short of removing a ban on crude exports that goes back to the 1970s, when international oil boycotts produced long lines at gasoline stations and threatened the American economy. It also does not make a broad national security exception for Mexico, which has long existed for Canada, to release larger-scale exports.

But support for an end to the ban is growing in Congress among Republicans and Democrats from oil states like Texas. The administration has been reluctant to remove the ban, although it has already given permission over the last two years to American producers to sell some extra-light forms of crude, called condensates, on a limited basis.

The oil industry lent cautious applause to the administration’s move, but repeated its calls for a complete end to the export ban.

Read more…

Mexico industrial output up in June on factory, oil rebound

8/12/15 Economic Times

energy - oil_rigMexican industrial output rose in June, bouncing back from a steep drop in the previous month as manufacturing, construction and oil production picked up, official data showed on Tuesday. Industrial output rose 0.2 percent in June from May, the national statistics agency said. That was just below expectations for a 0.3 percent expansion in a Reuters poll. Factory output edged up 0.1 percent from May. Mexico sends nearly 80 percent of its exports, mostly factory goods, to the United States.  The construction sector, which also is a component of industrial production, rose 0.4 percent month-on-month. Mexico’s economy grew at its slowest pace in more than a year in the first quarter, undermined by flagging oil production and weak US demand for exports.

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Mexico’s Pemex pays $295 million to settle Siemens dispute

7/20/15 Reuters

oil rigsMexican state oil company Pemex PEMX.UL reached a $295 million settlement with a group including German industrial conglomerate Siemens (SIEGn.DE) in a longstanding dispute over a refinery project, a person familiar with the matter said on Monday.

The deal was originally announced in March but did not give details of the final settlement.

A Mexican official close to the negotiations said that Pemex had agreed to settle for $295 million. Earlier in the day, Pemex said in a statement that the deal struck definitively ends the 14-year-long dispute, but it did not give a sum.

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Mexico’s Oil Auction: short-term disappointment v long-term progress

7/16/2015 Beyond Brics, The Financial Times

By Duncan Wood, Director, Mexico Institute

Oil Rig 2 by Flickr user tsuda Photo by Flickr user tsudaOn Wednesday July 15, Juan Carlos Zepeda, the president of Mexico’s National Hydrocarbons Commission (CNH), announced the results of bidding for exploration contracts in 14 shallow water blocks in the Gulf of Mexico, the first time in over 75 years that production-sharing contracts have been awarded in the country. The results were eagerly awaited by energy industry analysts the world over. As the envelopes began to be opened, the president’s office and the CNH tweeted an inforgraphic stating that the process would be deemed a success if four to seven contracts were successfully awarded.

In the end, only two blocks were awarded, both to a consortium formed by Sierra Oil of Mexico, Talos Energy of the US and Premier Oil of the UK. The government received offers from just nine bidders (five individual companies and four consortia), a pitiful tally given that 49 companies each paid $365,000 to enter the data rooms and 25 of those companies pre-qualified to bid. Of the majors, only ENI and Statoil made bids, leaving most of the big names on the sidelines.

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Mexico Energy Reform Starts with Thud in Offshore Oil Auction

7/15/2015 BloombergBusiness

Oil Rig 2 by Flickr user tsuda Photo by Flickr user tsudaMexico’s first auction of offshore oil leases fell short of the country’s expectations as several majors decided not to participate.

Only two of the 14 shallow-water blocks released on Wednesday received qualifying bids. Exxon Mobil Corp., Chevron Corp. and Total SA passed on the country’s sale of territory in the Gulf of Mexico, 77 years after the country nationalized crude. The 14 percent success rate was less than half the 30 percent to 50 percent goal that the government said would be its minimum for judging the event a success…

“This has to be crushingly disappointing for the government,” Duncan Wood, director of the Mexico Institute at the Woodrow Wilson International Center for Scholars in Washington, said Wednesday. “It has to be seen as a very clear message that they need to do a lot more to make the oil and gas opening a success.”

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Historic Mexican Oil Tender Fails to Attract Investors

7/16/2015 Financial Times

oil rigsCrestfallen Mexican officials admitted that the historic tender to open the country’s oil sector to private investors for the first time in 80 years had fallen well short of expectations after only two of the 14 exploration blocks on offer were awarded.

In spite of government hopes of attracting an array of companies and netting some $18bn in investment if all blocks had been awarded on Wednesday, the same consortium comprising Mexican group Sierra Oil & Gas — Talos Energy of the US and Premier Oil of the UK — scooped both of the blocks…

….But as Duncan Wood, director of the Mexico Institute at the Wilson Center, noted, officials had been stressing all along that the only tenders likely to be impacted by the price fall were those for shale prospects, not those in cheap-to-develop shallow waters. “I think that has to be seen as an excuse,” he said. “The blocks on offer just weren’t particularly attractive.”

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