Renaissance Oil Corp, the first Canadian company to win a private oil auction in Mexico, is looking to partner with state-owned Petroleos Mexicanos in its efforts to reverse an 11-year decline in the nation’s oil production.
Renaissance Oil, the British Columbia-based onshore producer, is “making great strides” toward cementing an agreement with Pemex to jointly develop mature onshore fields, Craig Steinke, the company’s chief executive officer, said yesterday in a phone interview from Mexico City.
Pemex is seeking upstream partnerships, or farm-outs, this year to improve output in mature fields and areas where the company lacks the ability or capital to maximize production, Rodolfo Campos, the company’s treasurer, said in a Dec. 23 phone interview. Pemex’s oil production has fallen more than 1.1 million daily barrels since 2004.
“Pemex has a lot of very interesting, very prolific conventional opportunities that it needs joint-venture partners to help to develop,” Steinke said. “That’s an area where Renaissance intends on participating.”