August 2016, Vol. 243, No. 8


Mexico Energy Reform: The Other Story

Over the past month, two big stories have emerged from Mexico. One is the continued progress in pursuing true constitutional energy reform, with three rounds of auctions on oil fields so far and 30 production contracts awarded in pursuit of a new energy paradigm for Mexico. The true success of this program remains to be seen, but all indications are there will be a turnaround in the steep decline of oil production in Mexico. Production is down more than 25% from its peak in 2004 and at its lowest since 1986 – 30 years ago – according to the U.S. Energy Information Administration. In 2015, the initial auction phase of Round One offered 14 offshore blocks, but only two received bids were dee

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