December 15th 2015 marked an important date in the history of Mexico’s oil and gas industry, as the winners of the much awaited Round One L-03 were announced. The process tendered 25 onshore fields located in Chiapas, Nuevo Leon, Tabasco, Tamaulipas, and Veracruz, and was divided into two parts, according to the type of field. Type two fields, with reserves above or equal to 100 million barrels and required equity of US$200 million, were awarded prior to type one fields, with reserves inferior to 100 million barrels for which equity of US$5 million was required.
As expected, most of the bidders were small local companies hoping to become operators, although big Mexican players were not absent from the Round, with Grupo Diavaz, Petrobal, and Carso Oil and Gas making the scene. Certain IOCs were also present in this round, including Australia’s Armour Energy, Canada’s Renaissance Oil, East West Petroleum, and Gran Tierra Energy, Columbia’s Pacific Rubiales, Egypt’s Cheiron Holdings, France’s GDF Suez, Panama’s CPVEN E&P, Spain’s Tecpetrol, and both Lewis Energy, and Sanchez Olium from the US. The participant list for this round has been the most extensive one seen to this point, with the registration of 26 individual companies and 14 partnerships. The total amount of bidders was reduced from 42 to 40 by the CNH, removing Max Energy and Mexport from the applicants list because they fell short of the requirements.
Type Two Field Awards
The winners are Compañia Petrolera Perseus, Servicios de Extracción Petrolera Lifting de México, the partnership formed by Canamex Dutch, Perfolat de México, and American Oil Tools, and finally Diavaz Offshore, who were respectively awarded the fields of Tajón, Cuichapa-Pte, Moloacán, and Barcodón. 100% of the four Type Two fields have been allocated, a considerable victory over the 60% experienced in Round One L-02, and the disappointing 14% for Round One L-01.
The minimum value required by the Finance Ministry was of 5%, and there was no minimal value for the work program.
Compañia Petrolera Perseus, S.A. de C.V. submitted a tender with a minimum value of additional royalties amounting to 60.88%, and an incremental value 100% above the minimum work program. The company is originally Mexican, and provides oil and gas exploration services. It is seeking to grow its presence in the offshore oil and gas marine logistics space, as well as in the well service market.
Servicios de Extracción Petrolera Lifting de México, S.A. de C.V. put forth a tender, the minimum value of which reached 60.82%.
Canamex Dutch B.V.’s proposal was made in partnership with Perfolat de México and American Oil Tools and counted with a minimum value of 86.6%. The Dutch company based in Amsterdam provides services for the production of oil and gas.
Perfolat de México, S.A. de C.V. is a Mexican company established in 1990 and based in Villahermosa. In addition to providing directional drilling services, the company’s offeringa portfolio also holds a number of specific products. The company has carried out the drilling of various wells in the Southern, Northern, and Maritime areas, positioning itself as a market leader in Mexico.
American Oil Tools S. de R.L. de C.V. was founded in Nacajuca, in Mexico’s region of Tabasco, in 2002 and is specialized in the drilling of water wells. Although it only has 25 employees, it is much larger than most companies in that same segment.
Diavaz Offshore, S.A.P.I. de C.V offered a minimum value of 64.5% and a minimum work program of 100%. The company is part of the Mexican Grupo Diavaz, and is dedicated to the construction, inspection, repairing, and maintenance of offshore oil and gas infrastructure. It has been a contractor for PEMEX for over 60 years and its operations are currently based in Ciudad del Carmen, in Campeche.