Project

EXTRACTION OF HYDROCARBONS IN ONSHORE AREAS CORRESPONDING TO ROUND 1, TENDER 3, AREA 21 (NORTH), IN THE STATE OF NUEVO LEON.

Sector: Hydrocarbons


Last Revision

July 01, 2024
Short Name of the Project:
0482 Round 1, Tender 3: Area 21, San Bernardo
Type of Investment:
Brownfield
Subsector:
Upstream
Asset (s):
 Oil Field 28.30 Km2-Gas 
Contract Currency:
US Dollars
Estimated Investment MXN:

852,930,010

Estimated Investment USD:

49,878,948

Exchange rate (USD/MXN) used by the Ministry of Finance for the economic plan 2024: $ 17.1
Contract Scope:
  Extraction

DESCRIPTION

License agreement CNH-R01-L03-A21/2016 for onshore hydrocarbons extraction, in an area of 28.3 km2 in the state of Nuevo Leon for gas extraction.

Main Features:
- Lithology: Sandstone
- Type of Hydrocarbon: Gas

LEGAL AND FINANCIAL STRUCTURE

Type of Project
  Public / Private
Type of Contract
  License
Term
25 years
Selection Process
International Open Tender
Financing Sources
Private
100 %
MXN
852,930,010
USD
49,878,948
Payment Source
Project revenues
Revenues will come from the commercialization of hydrocarbons.

STATUS

Stage
  Operation
Substage
  > 5 years of operation
RELEVANT DATES
Request for proposals/Announcement May 12, 2015
Proposals Reception December 15, 2015
Ruling December 24, 2015
Contract Signing August 25, 2016
Execution/Construction Starting Date August 25, 2016
Operation Starting Date August 2016
Term of the Contract August 25, 2041
Contractor
Consorcio Petrolero 5M del Golfo, S.A.P.I. de C.V.  

GEOLOCATION

State(s)
Nuevo Leon   

Entity in charge of controlling the possession of communal land, as well as providing documentary legal security derived from the application of the Agrarian Law, and is the operator of the Geospatial Information System (SIG).

SPONSOR

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Entity
Comisión Nacional de Hidrocarburos
Department
Dirección General de Contratación para la Exploración y Extracción
E-mail
contacto@cnh.gob.mx

ADDITIONAL INFORMATION

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Source
National Hydrocarbons Information Center
Description
It is in charge of promoting and sharing the knowledge of the subsoil to foment the activities of exploration and extraction of hydrocarbons.
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Source
Comisión Nacional de Hidrocarburos
Description
Regulatory entity with technical autonomy, responsible for the organization of tenders, and execution of contracts related to the exploration and extraction of hydrocarbons.
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Source
Secretaría de Energía
Description
Federal Government entity responsible for controlling, managing and regulating Mexico’s energy resources, and establishing the national energy policy.

REMARKS

The estimated investment amount refers to approved investments, which are those that operators estimate they will carry out in the various plans, as applicable (exploration, evaluation, and/or development).

The license agreement for the extraction of hydrocarbons stipulates that the contractor will provide and be responsible for all technical and financial resources required for the execution of the operations and will have the right of ownership over the hydrocarbons extracted in the contractual area. The Contractor will pay a royalty, based on audited Hydrocarbons.

The State is a partner of the contractor. The contributions for the State are:
1. The contractual fee for the exploration phase
2. Consideration based on gross income before deducting costs
3. Adjustment mechanism based on production volume and prices

There are two possible extensions in the contract term subject to the area being in regular commercial production, the first extension of 10 years and a second extension for an additional period of 5 years.

Prospective Resources: The volume of hydrocarbons estimated at a certain date, of accumulations that are not yet discovered but have been inferred and are estimated to be potentially recoverable, through the application of future development projects.

They have both an opportunity for discovery and development, and are further subdivided according to the level of certainty associated with recovery estimates:
- P90: Low quantity estimates, that with 90% probability will be equal to or greater than that level.
- P50: Best quantity estimates, that with 50% probability will be equal to or greater to that level.
- P10: High quantity estimates, that with 10% probability will be equal to or greater than that level.

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