How Mexico’s Energy Reform Will Impact The U.S.

22 Sep 2017   Mexico

The liberalization of Mexico’s energy sector has the potential for big impacts on American operations, as the country is a major market for U.S. oil and gas. Demand for oil, gas and refined products is growing quickly in Mexico. According to a recent webinar by Argus, the number of passenger vehicles in Mexico tripled from 2000 to 2014, and the company’s population growth rate is twice the average in OECD countries. Lagging oil and gas production has hurt Mexico Unfortunately, Mexico’s domestic production has lagged behind demand. The country has been forced to import increasing volumes from the U.S. Argus reports that gasoline imports from the U.S. in the first half of 2017 averaged 373 MBOPD, up 60 percent from 2015 levels. Imports of crude oil and natural gas have grown similarly. (Click to enlarge) According to EIA data, U.S. exports to Mexico of crude and refined products have […]

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