Good News; Mexico Soon to Flood US Markets with Oil?

[JimBowie1958]

North America to Drown in Oil as Mexico Ends Monopoly - Bloomberg

Plagued by almost a decade of slumping output that has degraded Mexico’s take from a $100-a-barrel oil market, President Enrique Pena Nieto is seeking an end to the state monopoly over one of the biggest crude resources in the Western Hemisphere. The doubling in Mexican oil output that Citigroup Inc. said may result from inviting international explorers to drill would be equivalent to adding another Nigeria to world supply, or about 2.5 million barrels a day.

That boom would augment a supply surge from U.S. and Canadian wells that Exxon Mobil Corp. (XOM) predicts will vault North American production ahead of every OPEC member except Saudi Arabia within two years. With U.S. refineries already choking on more oil than they can process, producers from Exxon to ConocoPhillips are clamoring for repeal of the export restrictions that have outlawed most overseas sales of American crude for four decades.

“This is going to be a huge opportunity for any kind of player” in the energy sector, said Pablo Medina, a Latin American upstream analyst at Wood Mackenzie Ltd. in Houston. “All the companies are going to have to turn their heads and start analyzing Mexico.”

The revolution in shale drilling that boosted U.S. oil output to a 25-year high this month will allow North America to join the ranks of the world’s crude-exporting continents by 2040, Exxon said in its annual global energy forecast on Dec. 12. Europe and the Asia-Pacific region will be the sole crude import markets by that date, the Irving, Texas-based energy producer said.

But will the Obama regime allows gas prices to come down at the pump? So far they have not.

 

[Mr. H.]

Gas prices are down measurably from their highs.

Mexican oil has other places to go. It's a big world.

 

[thereisnospoon]

The US is now the world's largest exporter of natural gas.
The same for oil is not far behind.

 

[JimBowie1958]

Gas prices are down measurably from their highs.

Mexican oil has other places to go. It's a big world.

The experts expect most of it to come here, but the total global market is impacted no matter where it goes.

And current prices are almost always down from previous highs, it's just the nature of cyclical prices.

 

[Mr. H.]

I searched but couldn't find the thread about Mexico revamping its oil industry so,

New news for an old thread...

EIA Mexican Oil Gas Production to See Profound Increase - US News

“Profound” change could be coming to Mexican oil production, the U.S. Energy Information Administration says.

The country’s oil and natural gas production could rise by as much as 75 percent compared to EIA’s assessment last year – a result of new legislation signed into law Aug. 11 that opens Mexico’s energy market to direct foreign investment.

 

[Moonglow]

The old state run PEMEX had no cash reserves for exploration. I guess the last El Presidente took it home with him...

 

[Mr. H.]

The old state run PEMEX had no cash reserves for exploration. I guess the last El Presidente took it home with him...

Good ol' Moonglow... always good for a bitch slap.

 

[Moonglow]

ConocoPhillips are clamoring for repeal of the export restrictions that have outlawed most overseas sales of American crude for four decades.

Notice Reagan slapped a no export restriction for US oil, I thought he was a conservative???