News
Drill rig in the Gulf of Mexico. Drill rig in the Gulf of Mexico.

Mexico woos investors at global oil meeting

Energy Secretary Coldwell was keynote speaker

Donald Trump’s wall poses no problem to investors in the Canadian oil industry: they have “the technology to follow the geology” and go under it.

The comment was made in jest yesterday by Mark Salkeld of the Petroleum Services Association of Canada during an event in Calgary, Alberta, Canada’s oil capital.

The event was “Energy & Environment in the Americas,” held in conjunction with the Global Petroleum Show, where the keynote speaker was Mexico Energy Secretary Pedro Joaquín Coldwell, who was there to tell the petroleum industry about opportunities in Mexico.

He and other Mexican officials were also there to lure investors with technology and expertise that Mexico lacks, particularly in deepwater drilling and fracking.

“[Canadian companies] have a lot of experience in unconventional resources,” the head of the Energy Secretariat’s legal unit told CBC News. “We have huge potential in that regard that we have not been able to exploit to the fullest,” said Fernando Zendejas, who explained that rules governing fracking are being developed.

They will strive to protect the environment but without being as prohibitive as those in some European countries, he said.

For Salkeld, the timing for looking at Mexico is good given the downturn in the oil industry in Canada, where thousands of workers have been laid off. Mexico is also very accessible.

Mexico and Canada are already working together to help the former in the implementation of the government’s energy reforms, which open the petroleum industry to outside investment. Among the challenges is creating rules and regulations, in which the Alberta Energy Regulator and the University of Calgary has been involved with Mexican officials.

“Disassembling that organizational structure as humanely as possible and architecturally designing a new marketplace system is a gargantuan task,” said Harrie Vredenburg of the university’s Haskayne School of Business.

Source: CBC News (en)

Reader forum