• 3 minutes 2nd Annual Great Oil Price Prediction Challenge of 2019
  • 6 minutes "Leaked" request by some Democrats that they were asking Nancy to coordinate censure instead of impeachment.
  • 11 minutes Trump's China Strategy: Death By a Thousand Paper Cuts
  • 14 minutes Democrats through impeachment process helped Trump go out of China deal conundrum. Now Trump can safely postpone deal till after November 2020 elections
  • 1 hour Shale Oil Fiasco
  • 1 hour Everything you think you know about economics is WRONG!
  • 55 mins Wallstreet's "acid test" for Democrat Presidential candidate to receive their financial support . . . Support "Carried Interest"
  • 7 hours USA v China. Which is 'best'?
  • 7 hours Global Debt Worries. How Will This End?
  • 1 day My interview on PDVSA Petrocaribe and corruption
  • 6 hours Judiciary impeachment: Congressman says Sean Misko, Abigail Grace and unnamed 3rd (Ciaramella) need to testify.
  • 2 days Wonders of US Shale: US Shale Benefits: The U.S. leads global petroleum and natural gas production with record growth in 2018
  • 15 hours Quotes from the Widowmaker
  • 1 day Petroleum Industry Domain Names
  • 14 hours Tesla Launches Faster Third Generation Supercharger
  • 7 hours Joe Biden, his son Hunter Biden, Ukraine Oil & Gas exploration company Burisma, and 2020 U.S. election shenanigans
  • 7 hours Winter Storms Hitting Continental US

Pemex Modernization: A “Mexican Moment”?

Bottom Line: After being stalled a week over tough back room negotiations, Mexican President Enrique Peña Nieto has now formally publicized his proposal for the “modernization of Pemex”

Analysis: On 12 August, President Enrique Peña Nieto (PRI) formally publicized his proposal for the “modernization of Pemex.” Back room negotiations stalled the announcement (which was expected last week) as Peña Nieto and his advisors met with their counterparts from the PRD who oppose the reforms. On the question of constitutional prohibitions on foreign investment in the energy sector, Peña Nieto hopes to amend Articles 27 and 28 to permit Mexico to issue concessions—although not concessions that include ownership of any oil or gas extracted. Mexico retains possession of the natural resources, but can now enter into risk- and profit-sharing partnerships with foreign investors. Yet Peña Nieto carefully lays out an argument built on the very words of Lázaro Cárdenas, the president who nationalized the oil sector in 1938.

Ever since, resource nationalism is a point of pride for Mexican politicians as well as the Mexican public. But Cárdenas himself stated that in the future, the nation should be able to enter into state-regulated concessions with outside actors.

Although Mexicans are dissatisfied with the retail facing side of Pemex, which has a monopoly on gas stations in Mexico,…




Oilprice - The No. 1 Source for Oil & Energy News