• 4 minutes Pompeo: Aramco Attacks Are An "Act Of War" By Iran
  • 7 minutes Who Really Benefits From The "Iran Attacked Saudi Arabia" Narrative?
  • 11 minutes Trump Will Win In 2020
  • 15 minutes Experts review Saudi damage photos. Say Said is need to do a lot of explaining.
  • 32 mins Iran Vows Major War Even If US Conducts "Limited Strikes"
  • 4 hours Shale profitability
  • 1 hour Memorize date 05/15/2018 cause Huawei ban is the most important single event in world history after 9/11/2001.
  • 9 hours When Trying To Be Objective About Ethanol, Don't Include Big Oil Lies To Balance The Argument
  • 20 mins Hong Kong protesters appeal to Trump for support.
  • 2 hours Europe: The Cracks Are Beginning To Show
  • 12 hours Ethanol, the Perfect Home Remedy for A Saudi Oil Fever
  • 16 hours Let's shut down dissent like The Conversation in Australia
  • 10 hours One of the fire satellite pictures showed what look like the fire hit outside the main oil complex. Like it hit storage or pipeline facility. Not big deal.
  • 16 hours A little something for all you Offshore swabbies
  • 19 hours New designs will reduce transport fuels consumption
  • 4 hours LA Times: Vote Trump out in 2020 to Prevent Climate Apocalypse
  • 20 hours Democrats and Gun Views
  • 3 hours US and China are already in a full economic war and this battle for global hegemony is a little bit frightening
  • 7 hours Yawn... Parliament Poised to Force Brexit Delay Until Jan. 31
UAE: OPEC Can Fill Saudi Oil Supply Gap If Necessary

UAE: OPEC Can Fill Saudi Oil Supply Gap If Necessary

OPEC has sufficient spare capacity…

James Burgess

James Burgess

James Burgess studied Business Management at the University of Nottingham. He has worked in property development, chartered surveying, marketing, law, and accounts. He has also…

More Info

Over 20 Oil Majors Sign Up for Mexico’s Most Lucrative Offshore Oil Blocks

Mexico Offshore Sector

A total of 21 companies, including the Who’s Who of Big Oil, have registered to take part in Mexico’s deepwater oil auction to be held in December.

Shell, Chevron, ExxonMobil, British BP, French Total SA, Spanish Repsol, Norwegian Statoil and Mexican Pemex are among the major players now registered to bid for 10 blocks in the Gulf of Mexico, Prensa Latina reports.

Proposals for exploration and exploitation will be accepted on 5 December in this fourth phase of Mexican oil auctions.

Reserves in the blocks up for auction are worth an estimated US$10 billion, and this phase is being lauded as the most lucrative blocks. The blocks are in Perdido, near the US maritime boundary in the Gulf of Mexico, as well as in Cuenca Salina southward. Some 76 percent of the country’s potential oil resources are in the Gulf of Mexico’s deep waters, according to Forbes.

Related: Why the Oil Majors Face Inevitable Decline

The Mexican government is hoping to see some US$7 billion in investment pour in from the auction.

“Right now, the Gulf of Mexico is the one region in the world where there is so much intense exploration activity going on,” Juan Carlos Zepeda, the president of Mexico’s National Hydrocarbons Commission, told reporters.

“Exploration in deep water can take as long as eight years and production can be up to 10 years, so the current low prices don’t really have a big effect on these projects,” he added.

Related: The Offshore Oil Business Is Crippled And It May Never Recover

During the previous auction phase, for offshore blocks, a total of 51 companies bid and 25 contracts were awarded. In the first phase of auctioning, a disappointing two out of 14 shallow-water blocks were awarded and three out of five were awarded in phase 2.

The qualifications for bidding in this latest phase indicate this is a supermajor endeavor. Combined assets have to be at least US$10 billion or US$2 billion in equity with vast drilling experience in deep waters. Contracts will be awarded to up to 50 years.

Overall, through all phases of the auction, Mexico is eyeing US$44 billion in foreign direct investment, according to Forbes.

By James Burgess of Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play