Oil, Gas Well Intervention Costs in Mexico Seen Surpassing $3 Billion in Years Ahead

Mexico could prove to be busy for the services sector in the years ahead as its producing wells age and the cost to keep them going mounts.

According to new analysis from Rystad Energy, around 75% of Mexico’s oil and gas producing wells are mature, and the cost to keep them pumping could exceed $3 billion from 2021 to 2023.

Rystad analysts see 30% of that being spent onshore, with the remaining 70% going offshore.

The number of producing offshore wells in Mexico dropped by 14% between 2015 and 2020. There was a steeper 27% decline for onshore wells in the same timeframe.

The drops follow relatively slower drilling activities over the same timeline, with offshore drilling at around 60% of the level seen between 2010 and 2015, Rystad analysts said. 

For onshore...