MEXICO: OIL AND GAS REFORM - NEW TRENDS

• Jurisdiction: Derecho Internacional

International Mining and Oil & Gas Law, Development and Investment
(Apr 2009)
CHAPTER 17B
MEXICO: OIL AND GAS REFORM - NEW TRENDS
Juan M. Sancho Rodrigo
Gonzalez Calvillo, S.C.
Mexico City

Juan M. Sancho Rodrigo is a partner at Gonzalez Calvillo, S.C. has extensive experience in capital markets, corporate finance, joint venture and M&A international transactions. He has actively participated in global securities offerings, bank loans, structured financing transactions, privatizations, strategic alliances and cross-border investments. During his practice in Mexico and the United States, Mr. Sancho Rodrigo has advised on all aspects of corporate, banking and financial law. He has particular expertise representing clients in project financing and corporate work on telecommunications and energy projects.

• The Constitution reserves to the sovereign title all subsoil rights, including hydrocarbon deposits and other mineral interests.

• The Ministry of Finance grants to Petróleos Mexicanos ("Pemex") areas for exploration and exploitation.

• Areas initial exploration requires a permit from the Ministry of Energy.

• Owners of property where the initial exploration is authorized may object the granting of the permit / exploration.

• The Ministry of Finance may still grant the permit and acknowledge its obligation to indemnify the owner.

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• The Federal Government will classify certain oil exploitation areas as reserves, through presidential decrees.

• The Federal Government (through the...