Mexico’s Pemex pushes ahead with Chicontepec field

MEXICO CITY, Jan 5 (Reuters) – Mexico’s state oil company Pemex has awarded over 2 billion pesos ($148 million) in construction contracts at its Chicontepec project aimed at boosting crude output, the firm said on Monday.

The contracts call for the construction of access roads and site preparation work at 344 well pads, where Pemex plans to drill thousands of horizontal oil wells to tap the difficult-to-produce oil of Chicontepec.

Analysts have questioned Pemex’s plans to pour up to $30 billion into developing the 29 oil fields of the Chicontepec area over the next 15 years as many believe oil cannot be profitably produced in significant amounts there using current technology.

Reuters UK