BHP Billiton has executed a contract with Pemex to complete work on the Trion discovery in the Gulf of Mexico.
In December 2016, BHP Billiton successfully bid on the resource that, once fully appraised, is expected to be in the top 10 fields discovered in the Gulf of Mexico in the last decade. Pemex was looking for an experienced deepwater player to share costs at the Trion discovery due to its depth and complexity.
BHP holds 60% interest in the discovery and the remaining 40% will be retained by the Mexican company.
BHP Billiton said that the agreement includes a commitment to deliver a minimum work program, which consists of drilling one appraisal well, one exploration well and the acquisition of additional seismic data.
The signing ceremony on Saturday was attended by President of Mexico, Enrique Peña Nieto, BHP Billiton CEO, Andrew Mackenzie, and Director General Pemex, José Antonio González Anaya, and was held at the Official Residence of the President in Mexico City.
BHP Billiton CEO, Andrew Mackenzie, said the partnership was a historic moment for Mexico and the beginning of a new chapter in business relations between BHP Billiton and Pemex.
“It is an honor to be the first foreign company to partner with the people of Mexico in developing their significant petroleum resources for mutual benefit,” Mackenzie said.
President of Mexico Enrique Peña Nieto said: “I want to thank BHP Billiton for being Mexico’s partner in this journey that, I am certain, will yield greater development for our country.”
Steve Pastor, BHP Billiton President Operations Petroleum, said the Trion agreement was consistent with the Company’s focused approach to conventional oil exploration and development of high quality deepwater oil prospects.
‘‘We have a long history as a top operator in the Gulf of Mexico and we are excited to bring our operational expertise to the partnership with Pemex,” Pastor said.
Speaking on the agreement, Pemex CEO José Antonio González Anaya said, “This agreement constitutes a parting of the waters in the history of Pemex. For the first time, an area assigned during the Round Zero auction, will be progressed in partnership with a world leading company.”