wren Posted July 7, 2008 Report Share Posted July 7, 2008 A pretty disastrous crash in output from Mexico's main oil field, Cantarell. Pemex Cantarell Output Drops 34% on Spending Limits (Update1) By Andres R. Martinez July 7 (Bloomberg) -- Crude output from Mexico's Cantarell, the world's third-largest oil field, is falling at the fastest pace in 12 years as investment limits keep state-owned Petroleos Mexicanos from fully exploiting deposits and finding new ones. Production at the Gulf of Mexico development dropped 34 percent in May from a year earlier, the biggest decline since October 1995, according to data compiled by the government and Bloomberg. That was when Hurricane Roxanne's 131 miles-per-hour (114-knot) winds shut down offshore wells for a week. <snip> Falling production is curbing exports to the U.S., which buys about 80 percent of the oil Mexico sells abroad. Sales to the U.S. declined to 1.07 million barrels a day in May, the lowest since November 1995. http://www.bloomberg.com/apps/news?pid=206...&refer=home Mexico might cease to be an oil exporter as early as 2010, no later than 2012. "Lack of investment" is spin. No amount of investment can reverse such a decline. Link to comment Share on other sites More sharing options...
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