Mexico has modified the contract terms for deepwater blocks to attract more large oil companies with the capital and experience needed to tackle them. A much-awaited auction of 10 blocks, the fourth in the country's first round, will take place on 5 December. The most important changes include the ability to extend exploration where activity is already under way, and the flexibility to replace a partner that is endangering contract compliance, without terminating the contract. Big oil companies with extensive presence on the US side of the maritime border are considered top candidates to operate the blocks, likely in consortiums with a minority presence for state-owned oil firm Pemex. Most of the acreage has light crude, with some natural gas.
Source: Argus Media
Date: Aug 8, 2016