Petróleos Mexicanos signed the contracts for hydrocarbon extraction in the Cardenas-Mora and Ogarrio fields, located in the states of Tabasco and Veracruz, with the companies Petrolera Cardenas Mora (Cheiron Holdings Limited) and Deutsche Erdoel Mexico (DEA).

The onshore farm-outs of Cardenas-Mora and Ogarrio produced an income of around 540 million dollars for Pemex, and it is anticipated that they will attract investments for over 1.5 billion dollars. These projects are added to the eight partnerships that the State-owned productive company has already established in rounds, farm-outs and migrations.

Cardenas-Mora covers a surface of 168 km2 and is located approximately 62 km from the city of Villahermosa, Tabasco. It contains proven (1P) reserves of 93 million barrels (MMbpce) of very high quality (39°API) light crude oil equivalent.

The formalization of this contract includes an expected total investment of 1.76 billion dollars, which will be shared equally between PEP and the company Petrolera Cardenas Mora, which will act as the operator of the site. It is estimated that production in the Cardenas-Mora field will increase by at least 35 per cent through the implementation of secondary recovery processes.

On the other hand, Ogarrio is a mature field with a surface spanning 156 km2, located approximately 65 km from Coatzacoalcos, Veracruz. Forecasts state that it contains 3P reserves of 54 MMbpce of high quality (37°API) light crude oil.

A total investment of 450 million dollars is expected in this field, which will be shared equally between PEP and DEA Erdoel, who will also act as the operator. Both companies will also share equal contractual participation, 50 per cent each. It is estimated that production in the Ogarrio field will be increased by at least 27 per cent through the implementation of secondary recovery processes.

The contracts were signed by the CEO of Pemex Exploración y Producción, Javier Hinojosa Puebla, as well as by the representative of Deutsche Erdoel Mexico, Juan Manuel Delgado Amador, and the representative of Petrolera Cardenas-Mora, Shady Kabel Mohamed Hosny.

The president of the National Hydrocarbons Commission (acronym in Spanish: CNH), Juan Carlos Zepeda; the chief of the Hydrocarbon Exploration and Extraction Policy Unit of the SENER (Ministry of Energy), Fernando Ruíz Nasta, and by the chief of the Hydrocarbon Income Unit of the SHCP (Ministry of Finance and Public Credit), Salvador Ugalde Mancilla, among others, attended this event.

Thus, Petróleos Mexicanos moves its partnership strategy forward to diversify and optimize its projects and investments portfolio. This makes Pemex more profitable and allows it to consolidate its finances to become a more competitive company.

About Pemex

Pemex, Mexico's state oil company, is engaged in the exploration, production, transportation, refining, storage and sale of hydrocarbons and derivatives. Its products include petrochemicals, natural gas, liquid gas, sulphur, gasoline, kerosene and diesel. Pemex operates 344 production fields, 6,382 production wells, 225 off-shore platforms, 6 refineries, 8 petrochemical complexes, 7,896 km of gas pipeline, 4,548 km of oil pipeline, and 19 LPG distribution terminals.

About DEA

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmentally conscious exploitation of oil and gas. DEA has 119 years of experience working along the entire upstream value chain as operator or project partner. With a staff force of 1,150 employees, DEA has shares in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt, Algeria and Mexico.