Major oil reserves found in offshore Mexico
22 July, 2017
The UK’s Premier Oil, Talos Energy of the US and Mexico's Sierra Oil and Gas announced they have discovered potentially more than 1bn barrels of oil off the coast of Mexico. Premier hold 25% of Zama-1, which is the first offshore exploration well drilled by the private sector in Mexico. Talos Energy acts as operator and has a 35% stake, and Sierra Oil and Gas holds the remaining 40%. “Zama is one of the 20 largest shallow-water fields discovered globally in the past 20 years," Pablo Medina, an analyst at industry consultancy Wood Mackenzie told Reuters.
The find is good news for Mexican President Enrique Pena Nieto, who launched the energy reform as a way to reverse an oil output slump dating back to 2004 and to kick-start long-lagging economic growth. The find also hands Pena Nieto a key card as Mexico prepares to embark on fraught trade, security and immigration talks with US President Donald Trump's administration.