Update On speaking to management, ROE continues to work on a daily basis to obtain migration of the Amitilan contract. There were more meetings scheduled for today and there are meetings virtually every day. ROE and Pemex have developed at least two different and distinct proposals as to how the Pemex partnership with ROE and its group could work. These proposals are being scrutinized by the various Government departments. Either of these proposals is acceptable to ROE.
ROE continues to work on the drilling, financing and overall development plans getting ready to move forward with the development no matter which proposal is finally chosen as the one to move forward on.
ROE is in continuous meetings with Pemex officials but there has been no meeting set for the Pemex Board to review the proposals. This will happen in due course. The process is painfully slow and detailed.
It would appear that both ROE and Pemex are waiting to get the feedback from the various government departments, although this was not stated by Management. In essence the Government officials in all departments need to get a clear understanding of the proposal and shale oil development and what it means for Pemex and Mexico. ROE and Pemex all know that nothing moves forward without the approval of AMLO and his administrators.
A meeting is being set up, likely for sometime in the next week or so, with AMLO’s administration office with respect to moving this all forward.
In dealing with this whole migration process ROE and all companies are always dealing with the two person’s of AMLO. There is the private AMLO and the public and campaigning AMLO.
The private AMLO is dealing with the seriousness of the situation that Pemex is in and how to best move Pemex and the whole industry forward. The Public AMLO is putting on the face that all is well, all is progressing, even though Pemex is losing Billions of Dollars every quarter.