A stepping-up in the search for indigenous oil is bringing its rewards in Mexico. the?
A stepping-up in the search for indigenous oil is bringing its rewards in Mexico. the Mexicans, like other nations, began even more vigorous efforts to locate oil under their own soil when the Middle East conflicts resulted in short supplies of the fuel and large increases in its price.
Mexico's national oil company, Pemex, invested 120 million US Dollars in the drilling of wells in various regions of the country, but particularly in the Tabasco and Chiapas states, located in the southern part of the land close to the border with Guatemala.
Results were almost immediately good and production at some of the new wells yielded 15,000 barrels a day with an overall nw well yield of some 130,000 Barrels yielded daily of crude oil. The promise of these new finds gives Mexico the bright hope that it may soon be entirely self-sufficient for its oil needs.
In addition to the crude oil finds a large quantity of natural gas has been uncovered in the same regions. These new sources of energy produce 225 million cubic feet of gas daily. At the moment the gas is not being taped but just being bu rned off. However the Government has begun building storage tanks and various plant for purification. This building programme is expected to be completed in six months.
President Luiz Echeverria recently visited the new finds to be given a first-hand report by Pemex Technical Director Francisco Inguanza.
Mexican oil has been nationalised since 1938 when the then President expropriated the holdings of British, Dutch and United States oil companies.