Mexico’s Ministry of Energy (SENER) has approved auction terms for the first phase of Round 2, which will auction 15 shallow water areas in the Gulf of Mexico. The round is set to open in late March 2017.
 |
|
Image from CNH. |
In a meeting held earlier today (19 July) Mexico’s National Hydrocarbons Commission President Juan Carlos Zepeda said the county anticipates investments of some US$750 million per block, or $11.25 billion from the contracts.
Round 2.1 will auction 15 blocks, covering a total area of 8908sq km. Up for bid are four shallow water blocks in the Tampico-Misantla basin, covering a total area of 2196sq km. The area is thought to contain around 480 MMboe prospective resources and an original volume of approximately 220 MMboe. There is one block being auctioned off of Veracruz covering a total area of 824sq km. The area is thought to hold an estimated 133MMboe of prospective resources. Lastly, there are 10 blocks in the basins off the southeastern Gulf of Mexico up for grabs, comprising about 5887sq km, with around 973 MMboe prospective resources and an original volume of 649 MMboe.
SENER said that like with previous rounds, the state oil company Pemex can partner on contracts. The aim, the agency said, is to seek partners that can transfer technology, participate in the financing requirements, and share the risks of project development.
Mexico will offer 30-year production sharing contracts with two options to extend five years. SENER set local content requirements at between 15-35% with the maturation of the project.
The presentation of proposal and declaration of winners will be held on 22 March 2017.
Mexico is setting out to increase the production of oil and gas, in addition to increasing its and increase hydrocarbon reserves, to ensure energy security and income that the state needs to promote the development of long-term the nation, SENER said.
Mexico’s highly anticipated deepwater round is set for December 2016, which will include 10 deepwater exploration blocks: six in the Salina basin of the Gulf of Mexico and four in the Mexican side of the Perdido belt that are located in the northern section, and cover a total of 8250km at water depths ranging from 500-3000m. Several big companies have already signed up.
Read more
Big hitters sign up for Mexico's deepwater round
Subscribe
