E&D opportunities may loom in Mexico's natural gas industry

Mexico faces decreased natural gas production at a time when industrial demand in northern Mexico is skyrocketing. Will the country move towards some sort of privatization of its vast gas fields near the Texas border?This question is being bandied about the country as President Fox seeks to find a way to supply the burgeoning demand by industry.Legal frameworkTo understand the situation, one must step back 63 years when then President Cardenas expropriated large oil operators in Mexico and created Petroleos Mexicanos (Pemex) to operate the state oil and gas monopoly.As expressed in the Mexican constitution, it means that the nation owns all subsurface minerals. Regarding subsurface hydroc...

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