News / Americas

Mexican President Signs Landmark Energy Reform into Law

Mexican President Enrique Pena Nieto, center, Senate leader Raul Cervantes Andrade, left, and House Speaker Jose Gonzalez Morfin hold up signed documents at a ceremony to mark the signing of a historic energy reform bill, at the National Palace in Mexico City, Aug. 11, 2014.
Mexican President Enrique Pena Nieto, center, Senate leader Raul Cervantes Andrade, left, and House Speaker Jose Gonzalez Morfin hold up signed documents at a ceremony to mark the signing of a historic energy reform bill, at the National Palace in Mexico City, Aug. 11, 2014.
Reuters

Mexican President Enrique Pena Nieto on Monday signed a package of laws that will serve as a rule book for comprehensive energy reform designed to lure billions of dollars in investment to the country's ailing oil, gas and electricity sectors.

Pena Nieto has made the energy overhaul the top economic priority of his administration, which aims to boost slumping growth in the world's 15th biggest economy.

He said at a ceremony at the national palace that the energy ministry will announce two next steps in the reform later this week. A so-called Round Zero allocation of oil and gas fields that Pemex will keep is to be unveiled on Wednesday.

The energy ministry will also announce which fields will be put up for grabs for foreign and private oil companies in the first round of public tenders, expected to take place next year.

The reform ends the decades-long monopoly enjoyed by Mexico's two state-owned energy behemoths, national oil company Pemex and electricity utility CFE. It opens up new opportunities for investment across the industry.

International oil majors like Royal Dutch Shell and ExxonMobil have been monitoring the legislative process and are widely expected to compete for newly established development contracts and licenses as early as next year.

“Mexico has created a solid framework to make the energy sector more competitive and attractive to private investment,” said Shell Mexico President Alberto De La Fuente in an emailed response to questions.

“We will review strategic opportunities in Mexico that could generate value for both our company and the country,” he added.

Patrick McGinn, a spokesman for ExxonMobil's upstream division, said the company welcomes the reform but emphasized that future projects in Mexico will have to compete.

“We will pursue potential investment opportunities in Mexico that are competitive with other opportunities around the world,” he said.

Credit Suisse said in a report issued Monday that the accelerated timeline announced by Pena Nieto “should bring more [investment] interest” to the sector.

The bank's research unit added that oil companies will “be able to choose from a wide array of options and analyze them with enough lead time, increasing the likelihood that the formal biddings are carried out in a timely manner.” 

You May Like

Video In Ukraine's Nikishino, No House Untouched by Fighting

Ninety percent of homes in one small village were damaged or destroyed as government forces failed to stop a rebel advance More

Pakistan’s 'Last Self-Declared Jew' Attacked, Detained

Argument about the rights of non-Muslims in Pakistan allegedly results in mob beating well-known Jewish Pakistani More

Turkey Cracks Down on Political Dissent — Again

People daring to engage in political dissent ahead of upcoming general elections could find themselves in jail More

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
In Their Own Words: Citizens of Kobanii
X
Mahmoud Bali
March 06, 2015 8:43 PM
Civilians are slowly returning to Kobani, after Kurdish fighters backed by coalition airstrikes fought off a four-month siege of the northern Syrian town by Islamic State militants. VOA Kurdish Service reporter Mahmoud Bali talked to some of those who have returned. We hear about the devastation of Kobani through their own words.
Video

Video In Their Own Words: Citizens of Kobani

Civilians are slowly returning to Kobani, after Kurdish fighters backed by coalition airstrikes fought off a four-month siege of the northern Syrian town by Islamic State militants. VOA Kurdish Service reporter Mahmoud Bali talked to some of those who have returned. We hear about the devastation of Kobani through their own words.
Video

Video In Ukraine's Nikishino, No House Untouched by Fighting

In the village of Nikishino, in eastern Ukraine, recent fighting has brought utter devastation. Ninety percent of the houses are damaged or destroyed after government forces tried and failed to stop rebels advancing on the strategically important town of Debaltseve nearby. Patrick Wells reports for VOA from Nikishino.
Video

Video Crime Scenes Re-Created in 3-D Visualization

Police and prosecutors sometimes resort to re-creations of crime scenes in order to better understand the interaction of all participants in complicated cases. A Swiss institute says advanced virtual reality technology can be used for quality re-creations of events at the moment of the crime. VOA’s George Putic reports.
Video

Video Sierra Leone Ebola Orphans Face Another Crisis

There's growing concern about the future of an orphanage run by a British charity in Sierra Leone, after a staff member and his wife died this week from Ebola. The Saint George Foundation Orphanage in Freetown is now in quarantine, with more than 20 children and seven staff in lock-down. The BBC has agreed to share Ebola-related material with Voice of America because of the difficulties faced by media organizations reporting the crisis. Clive Myrie reports from Sierra Leone.
Video

Video Growing Concerns Over Whether Myanmar’s Next Elections Will Be Fair

Myanmar has scheduled national elections for November that are also expected to include a landmark referendum on the country's constitution. But there are growing concerns over whether the government is taking the necessary steps to prepare for a free and fair vote. VOA Correspondent Steve Herman was recently in Myanmar and files this report from our Southeast Asia bureau in Bangkok.
Video

Video Nigeria’s Ogonis Divided Over Resuming Oil Production

More than two decades ago, Nigeria’s Ogoni people forced Shell oil company to cease drilling on their land, saying it was polluting the environment. Now, some Ogonis say it’s time for the oil to flow once again. Chris Stein reports from Kegbara Dere, Nigeria.
Video

Video Fuel Shortages in Nigeria Threaten Election Campaigns

Nigeria is suffering a gas shortage as the falling oil price has affected the country’s ability to import and distribute refined fuels. Coming just weeks before scheduled March 28 elections, the shortage could have a big impact on the campaign, as Henry Ridgwell reports for VOA.
Video

Video Report: Human Rights in Annexed Crimea Deteriorating

A new report by Freedom House and the Atlantic Council of the United States says the human rights situation in Crimea has deteriorated since the peninsula was annexed by Russia in March of last year. The report says the new authorities in Crimea are discriminating against minorities, suppressing freedom of expression, and forcing residents to assume Russian citizenship or leave. Zlatica Hoke has more.
Video

Video 50 Years Later African-Americans See New Voting Rights Battles Ahead

Thousands of people will gather to mark the 50th anniversary of a historic civil rights march on March 7th in Selma, Alabama. In 1965, dozens of people were seriously injured during the event known as “Bloody Sunday,” after police attacked African-American demonstrators demanding voting rights. VOA’s Chris Simkins introduces us to some civil rights pioneers who are still fighting for voting rights in Alabama more than 50 years later.
Video

Video Craft Brewers Taking Hold in US Beer Market

Since the 1950’s, the U.S. beer industry has been dominated by a handful of huge breweries. But in recent years, the rapid rise of small craft breweries has changed the American market and, arguably, the way people drink beer. VOA’s Jeff Custer reports.
Video

Video Video Claims to Show Shia Forces in Iraq Executing Sunni Boy

A graphic mobile phone video is spreading on the Internet, claiming to show Iraqi forces or Shia militia executing a handcuffed Sunni boy. Experts have yet to verify the video, but already Islamic State followers are publicizing it across social media, playing on deep-rooted sectarian fears. VOA’s Jeff Seldin reports.
Video

Video Ukrainian Authorities Struggle to Secure a Divided Mariupol

Since last month's cease-fire went into effect, shelling around the port city of Mariupol has decreased, but it is thought pro-Russian separatists remain poised to attack. For the city’s authorities, a major challenge is gaining the trust of residents, while at the same time rooting out informants who are passing sensitive information to the rebels. Patrick Wells reports for VOA.

All About America

Circumventing Censorship

An Internet Primer for Healthy Web Habits

As surveillance and censoring technologies advance, so, too, do new tools for your computer or mobile device that help protect your privacy and break through Internet censorship.
More

More Americas News

ExxonMobil Set to Begin Drilling Off Guyana

Project could turn up the heat under a long-running territorial row with neighboring Venezuela
More

Peru Indigenous Groups Settle US Court Claims with Occidental

Achuar communities alleged Occidental spilled oil and dumped toxic waste while operating country's biggest oil block, triggering widespread health problems
More

Petrobras Scandal Threatens Brazil's Political, Business Elite

Executives reportedly feeling inclined to cut plea bargains that would result in less jail time in return for disclosing graft scheme details
More

Tests Indicate Argentine Prosecutor Was Slain, Ex-Wife Says

Alberto Nisman, found dead days after accusing president of involvement in cover-up, didn't commit suicide, Sandra Arroyo Salgado says
More

Canadian Pastor Detained in North Korea

Hyeon Soo Lim arrived in North Korea in late January, went to Pyongyang on a humanitarian mission and hasn't been heard from since
More

Colombia Generals Join Rebel Leaders for Peace Talks

Colombia's President Santos long resisted FARC calls for bilateral ceasefire, but since his re-election last year, he has injected urgency into negotiations
More