With Energy Reform, many changes in Mexico’s oil sector are expected. As we mentioned a few days ago, one of the first changes was the inclusion of a foreign private company (Renaissance Oil Corp.) in hydrocarbons extraction in the country, after 78 years of a Pemex monopoly.
Andres Manuel López Obrador, National President of Morena (a political movement), led the mobilization in favor of the National Coordination of Education (CNTE) protests, last Saturday in Mexico City.
Renaissance Oil Corp. is the first company after 78 years to compete with state -owned Pemex in hydrocarbons production and commercialization in Mexico.
Pemex’s gas monopoly is over, since last January 1, when private companies started to import propane (LPG). This has been one of the first Energy Reform actions carried out in the country. Pemex has been the most harmed by this measure. For private initiatives, 2016 has been a year of great opportunities, due to the opening of the LGP market.
The “3 de 3” law, recently approved in Mexico, has already generated some concerns, especially to Pemex. The State-Company is currently seeking partnerships with private companies abroad.