Crude production drops to its lowest level since June 2020

National crude production was 1,607 million barrels per day in November, with which it had a 2.77% drop in one year and was at its lowest level since June 2020 (1,605 million barrels) according to information from the National Hydrocarbons Commission (CNH).

The total extraction of crude oil in November observed a decrease of 0.89% compared to October, when it averaged 1,621 million barrels per day.

In the penultimate month of the year, Petróleos Mexicanos (Pemex) produced 1,503 million barrels per day, with a 4.77% drop compared to the same period in 2021.

With this, the state oil company had its lowest level of production in 2022.

In monthly terms, it was 0.85% below the October average, which was 1.516 million barrels per day.

Despite the fact that after there have been no tenders for new contracts so far this administration and that different national and international firms have renounced 20 of 110 contracts awarded between returns due to lack of hydrocarbon resources and different business decisions, Pemex continues to be the main company that produces oil in the country with a contribution of 93.5% of national production.

However, their participation has been reduced compared to the private ones, since in November of last year 95.5% of the total extraction was carried out by the Mexican State oil company.

Thus, private companies operating in the exploration and production sector in Mexico produced 103,000 barrels per day in the eleventh month of 2022, a volume that implied an increase of 40.3% compared to the same period in 2021, an increase mainly derived from the production of the three contracts with fields for the development of the second tender of Round 1 of 2016, in which the Italian Ente Nazionale Idrocarburi (ENI), the consortium between the Argentine companies Panamerican Energy and E&P Hidrocarburos, and the American operator Fieldwood with its financial partner of Grupo Bal, Petrobal.

Meanwhile, the production of the contracts awarded, which also includes that provided by land fields awarded in Rounds 1.3, 2.2 and 2.3 of the last administration, showed a reduction of 1.5% compared to the month of October of this year, when production reported to the National Hydrocarbons Commission was 104,600 barrels of oil per day in the monthly average.

In addition, according to the report that oil operators must deliver by law to the regulator of upstream activities in Mexican hydrocarbons as of the 2014 reform to the sector, natural gas production in the country amounted to 4,891 million cubic feet per day in November, extraction volume that implied an increase of 2.9% compared to the same month last year.

In the monthly contrast, the production of natural gas had an annual increase of 1.01 percent.

karol.garcia@eleconomista.mx