Pemex seeks bids for gas blocks

The Associated Press

State oil monopoly Petroleos Mexicanos, or Pemex, said Aug. 16 it published a call for bids on two more natural gas blocks in the Burgos basin of northeastern Mexico.

The two blocks, Monclova and Pirineo, are expected to involve combined investment of about US$900 million to produce 140 million cubic feet a day of natural gas.

The blocks complete the second round of tenders for multiple service contracts to produce non-associated gas for Pemex. Bids are due in November, with the 15-year contracts to be awarded later that month.

On July 30, Pemex sought bids for contracts to develop Pandura-Anahuac and Ricos, which combined are expected to generate investment of US$1.85 billion to produce 325 million cubic feet a day of natural gas by 2007.

Under the multiple service contracts, Pemex hopes to raise output at Burgos to 2 billion cubic feet a day by 2007 from 1 billion cubic feet per day at present.

Pemex awarded five blocks in the first round, which concluded in January.