Oil production in Mexico averaged 1.62 million b/d in August, down from 1.67 million b/d in July and 1.63 million b/d in August 2020, according to the data from upstream regulator Comisión Nacional de Hidrocarburos (CNH).
Output by national oil company Petróleos Mexicanos (Pemex) fell from 1.61 million b/d in July to 1.55 million b/d in August, a month that saw 421,000 b/d of output knocked offline after a fatal fire on Pemex’s offshore E-Ku-A2 platform. Several days passed before the lost production volumes were fully restored.
The platform targets the Ku field, part of Pemex’s Ku-Maloob-Zap shallow water complex, which supplied about 37% of Mexico’s total production prior to the accident.
Oil production from Ku averaged 48,341 b/d in August, down from 53,975 b/d in July and 72,263 b/d in August 2020. Associated gas output from the field was 165.3 MMcf/d in August, down from 177.9 MMcf/d the month before and 290.1 MMcf/d in August 2020.
Private sector oil production, meanwhile, averaged 63,414 b/d in August, up from 57,343 b/d in the year-ago month.
Leading private sector oil producers include Eni SpA, Petrofac Ltd. ADR, and Hokchi Energy.
Natural gas production averaged 3.81 Bcf/d in August, down from 3.86 Bcf/d in July and 3.91 Bcf/d in August 2020.
Pemex supplied 3.61 Bcf/d of last month’s total, down from 3.86 Bcf/d in July and 3.68 Bcf/d in August 2020.
Output from private sector operators totaled 196.9 MMcf/d, versus 192 MMcf/d in July and 225.5 MMcf/d in August 2020.
Natural gas production was led by the Quesqui, Maloob, Akal, Onel and Zaap fields, all of which are operated by Pemex.
Leading private sector gas producers include Servicios Múltiples de Burgos, Petrofac and Eni.
Fieldwood Energy LLC, meanwhile, expects to be producing 30,000 b/d of light oil at the shallow water Pokoch and Ichalkil fields by the end of this year, CEO Andrés Brugmann told NGI’s Mexico GPI recently. The firm expects natural gas production from the fields to peak at 130 MMcf/d by 2023.
Mexico’s top five oil producing fields in August were Maloob, Zaap, Xanab, Ayatsil and Onel, all of which are operated by Pemex.
In its latest Monthly Oil Market Report, the Organization of the Petroleum Exporting Countries (OPEC) cited the Pemex fire and Hurricane Ida as the culprits for a sizable dent in the cartel’s 2021 oil supply forecast.
OPEC researchers expect Mexico liquids production to average 1.93 million b/d in 2021, up 10,000 b/d from last year, and to reach 1.96 million b/d in 2022 as Pemex brings online a string of smaller developments.
New upstream bid rounds have been halted since 2018 by President Andrés Manuel López Obrador, a vocal opponent of Mexico’s market-opening 2013-2014 constitutional energy reform.
Mexico’s private sector oil trade group, the Asociación Mexicana de Empresas de Hidrocarburos, highlighted recently that members have invested $18 billion directly in the country since 2015, with another $42 billion of projects approved by regulators.
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