Mexican Gov’t Says Little Time Left to Save Oil Industry

Mexico does not have much time left to save its oil industry and Congress should seek ways to bring experience and new technologies into state-owned oil giant Pemex, Energy Secretary Georgina Kessel said.

The energy secretary said in a press conference Wednesday that the government would maintain a dialogue with Congress so the two branches of government could craft an initiative jointly for dealing with the challenges faced by Pemex.
On March 18, President Felipe Calderon called for a broad national debate on how to modernize Pemex without privatizing the company, as well as on how to guarantee Mexico’s energy sovereignty.

During the commemoration of the 70th anniversary of the expropriation of the oil industry, held at the Dos Bocas maritime terminal in the southeastern Mexican state of Tabasco, Calderon unequivocally ruled out the possibility of privatizing a company that is Mexico’s largest and a powerful generator of income for his cash-strapped government.

Pemex’s difficulties – due to both lack of money and expertise – in exploiting its deepwater reserves have prompted a debate in Mexican society about the possible opening of the company to private investment, something the left vehemently opposes.

Rigzone