Page 12 - LatAmOil Week 45

LatAmOil MEXICO LatAmOil

“The White House hasn’t even defended the he told Natural Gas Intelligence.
private sector, remaining eerily quiet as Mexico Wood described the Trump administration’s
restricted or cancelled the contracts of US-based lack of response to CFE’s decision to renegotiate
renewable energy companies in seeming viola- several natural gas pipeline contracts last year as
tion of the new USMCA [US-Mexico-Canada a “baseline” point of reference driven by a focus
Agreement on trade],” O’Neil said. “More than on the US domestic energy sector. “Under Pres-
three dozen Republican and Democratic mem- ident Trump, we have not seen any enthusiasm
bers of congress [have] instead stepped into the thus far for pushing the Mexican government
breach.” on issues related to US companies operating
Her words echoed comments made before in Mexico, and in particular US firms that have
the election by Henry Cuellar, a Democratic invested in Mexico,” he commented. “And the
congressman from Texas who also serves as big reason for that, of course, is that President
chairman of the US-Mexico Inter-Parliamen- Trump thinks they should not be investing in
tary Group. “I think Biden will be able to tell other countries; they should be investing in the
Mexico to make sure that we abide by the rule United States. And he has been fairly consistent
of law if you have any contracts with energy or about that.” ™
whatever,” Cuellar told Reuters in late October.
He also said that he expected the president-elect
to adhere strictly to the terms of joint accords
such as the USMCA.
Duncan Wood, director of the Mexico Insti-
tute at the Wilson Centre, also emphasised the
likelihood that the incoming president would
focus on enforcement of existing rules and
agreements. “A Biden administration would
look at the wording of the USMCA and would
look at the mechanisms that are in place in that
agreement for investor-state resolutions and
state-state resolutions, and I would bet they
would launch a series of challenges in the even-
tuality that Mexico is found to have violated the
USMCA as it concerns US investors in Mexico,” Mexico’s president favours state-run firms such as Pemex (Photo: LopezObrador.org.

GUYANA
Ali administration seeks to speed permit

process for local oilfield service providers

GUYANA’S new government is looking to speed to carry out contracts worth $50mn altogether,
up efforts to develop the capacity of local com- he said.
panies seeking to provide services to offshore oil “We have had to work aggressively with
development projects. Lands and Surveys [the Guyana Lands and
Speaking to reporters in Georgetown on Surveys Commission] and the City Council to
November 6, Vice-President Bharrat Jagdeo said issue the permits to many companies, locally
that Guyana was home to many service provid- owned or significantly locally owned, [that]
ers entirely or mostly owned by local investors are supplying services to the oil and gas sector,”
that were eager to start working with interna- the vice-president was quoted as saying by the
tional oil companies (IOCs). Guyana Chronicle. “Some have been waiting
These firms have not been able to take much and languishing for two and a half years to get
action yet because the government of President a simple building permit, because some minis-
David Granger, the head of the right-leaning ter wanted to get their hands on something, and
APNU-AFC Party, was slow to issue the neces- that is what was stalling a lot of projects.”
sary permits, he said. Jagdeo did not name any of the local compa-
By contrast, President Irfaan Ali, the head of nies involved.
the left-leaning PPP/C Party, is eager to “open The Guyana Chronicle reported, though,
the gate” and root out corruption in the per- that most of the new permits had been awarded
mitting process, Jagdeo remarked. Since the Ali to service providers involved in building or
administration took office two months ago, it expanding onshore bases or other oilfield ser-
has given the green light to companies seeking vice facilities in and around Georgetown.

P12 www. NEWSBASE .com Week 45 12•November•2020