IPD EnergyNet
Our thought provoking and timely analysis of the energy industry offers IPD clients a unique local perspective that enables them to better understand energy dynamics and create opportunity.
Venezuela
Venezuela Refining: One step forward, two steps back
One year ago, the Maduro administration was on a mission to resume domestic gasoline and diesel production. But after 14 months of struggle and only a sprinkling of wins, authorities have seen what an uphill battle they are really facing. While they trudge forward, with severe cash flow limitations and under the shadow of U.S. sanctions, Venezuelans are left to wait in line for a supply that is not there.… [READ MORE]
Mexico
PEMEX Farmouts and Migrations: Losing to Ideology
The 2013 energy reform afforded PEMEX the tools to secure the capital, know-how, and operating structures best suited for a given E&P opportunity or situation. Migrations and farmouts were intended to accelerate this. Despite plans for many more, PEMEX only ended up with eight that are currently producing or developing hydrocarbons. Five years later, the results are clear: ideology is unequivocally impeding PEMEX from preparing for the future.… [READ MORE]
Mexico
Judicial Reform Extensions Threaten Separation of Powers
Congress ratified the transitory articles of AMLO’s constitutionally-approved judicial reform on April 23rd, 2021, but with a last-minute addition: a two-year extension of both the SCJN President’s term and five of the six members of the CJF. The unconstitutional move places Mexico’s judicial branch in play, an obvious attempt to stack the courts. Ramifications could prove much more extensive than many may realize.… [READ MORE]
Venezuela
New China Tax on Diluted Bitumen May Be a Matter of Semantics for Venezuela
On June 12, 2021, China will implement a tax on diluted bitumen as it seeks to close internal fiscal loopholes. Press reports have suggested that Venezuela’s Merey 16 exports could fall victim to the effort. That is not necessarily so. China’s small refiners will continue to demand Venezuela’s Merey 16 segregation, especially as the country’s economy recovers from the impact of Covid-19. … [READ MORE]
