Mexican President-elect Andres Lopez Obrador has said the country’s oil production will climb to 2.6 million b/d by the end of his six-year term from 1.8 million b/d today. To achieve this, he is expanding Pemex’s exploration and production budget by $4 billion to $11 billion next year and will award new drilling contracts as soon as his administration begins in December. Receive daily email alerts, subscriber notes & personalize your experience. Register Now However, an analysis of Mexico’s upstream suggests it is unlikely crude production will be raised that much during Lopez Obrador’s term, which ends in 2025. S&P Global Platts Analytics expect Mexico’s oil output will continue decreasing due to a decline on mature fields, bottoming in 2021 at 1.74 million b/d and then climbing to 1.94 million b/d by 2030 as new deepwater projects begin production. PEMEX CHALLENGES **State oil company Pemex’s base […]