Posted on 05/23/2008 10:29:46 AM PDT by thackney
Mexico's April oil output slid to the lowest level since October 1999, underscoring the inability of state-run Petroleos Mexicanos to reverse an output decline that began in 2004.
April output was 2.77 million barrels a day, compared with 2.85 million barrels a day
(Excerpt) Read more at rigzone.com ...
April output was 2.77 million barrels a day, compared with 2.85 million barrels a day in March and 3.18 million barrels a day in April 2007, Pemex reported on its web site.
(bad cut and paste above)
From the article:
“Oil wells that previously pumped oil are now pumping natural gas because the oil layer of the reservoir has narrowed as total reserves in the field are in decline. “
McCain’s “path to citizenship” should be that each illegal sneaking in must bring one barrel of oil with them.
Maxine Waters take note: This is exactly the path to prosperity you have proposed.
80,000 barrels a day difference on a world market that eats 80,000,000 barrels a day ain’t going to make a bit of difference in the price. We can’t expect other countries to sacrifice their long term future for ours when we won’t even use our own resources.
Unless Mexico starts a serious push now, it will cease to be a net exporter within ten years. The good news is that they appear to have additional resources they can tap. The bad news is that unless the Mexican constitution is changed, all the new work will need to be managed and owned by PEMEX.
What happened to the Mexican govt plan to allow private entities to develop their fields? Last I checked it was being shot down by the left. If Mexico doesn’t do something to revive their industry soon they’ll be bankrupt inside 10 years. If folks think we’ve got a problem on the southern border now they ain’t seen nuthin’ yet.
Pemex has been going downhill for a few years. In 2004 they had an average production of 3.85 MMBPD. It is their own future they have sacrificed by using oil as a cash cow to fund government programs instead of investing for future production. Same problem as Venezuela.
The issue here is not the amount of oil in the world market but the decline of the major source of govt revenue for our southern neighbor. Mexican govt derives 40% of it’s revenue from PEMEX and budgets basically nothing to run the company. They are effectively killing the goose that lays their only budgetary egg and a bankrupt country to the south will be a huge problem for us.
This is the latest news I’ve seen related to it.
Pemex reform has ‘lost too much time’
http://www.chron.com/disp/story.mpl/business/5793523.html
May 20, 2008
Former Mexican President Vicente Fox said Mexico’s oil industry needs investments in the tens of billions of dollars to find and produce oil and build refineries.
But he said an effort by his successor, Felipe Calderón, to persuade Mexico’s Congress to allow foreign companies with needed expertise to work with the nation’s government-run oil company would bring about too little change to be effective.
“I think that we will have reform. I hope it will not be so modest that it is not worthwhile,” Fox told energy accountants at KPMG’s global energy conference in Houston on Tuesday. “We have lost too much time on this.”
bookmark— Mexico Goes South
Mexico exports more poverty to the United States than oil.
Mexico should consult Maxine Waters to find out how to run their oil business.
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