Mexico’s historic peak in oil production has dropped from 3.4 MMb/d to levels below 1.7MMb/d in recent months. To reverse this trend and reach production of 2.6MMb/d by 2024, President Andrés Manuel López Obrador plans to strengthen PEMEX and capitalize on the Energy Reform to reach first production in blocks operated by private companies. As cautious optimism returns, we are about to find out if this is the turning point the industry has been waiting for.
Although the spotlight has been on PEMEX in recent months, the private sector maintains its own goals as operators continue advancing steadily their work programs in blocks already won. CNH has already approved the development plans of several oil companies investing billions of dollars. Meanwhile, earlier this month, ENI became the first private company to start production.
