Eni announces offshore Mexico oil discovery

Eni announces offshore Mexico oil discovery

Italian energy firm Eni (BIT:ENI) has confirmed the presence of oil in shallow waters situated near Mexico’s Southern tip, following a recent drilling programme.

An exact estimate of potential oil reserves in the Amoca-2 well is yet to be confirmed by Eni, but the company expressed confidence in the chances of the well being highly prospective.

CEO Claudio Descalzi said: “This important discovery comes in a country where Eni has not yet operated and confirms our exploration capabilities.”

Eni’s exploration activity in the Bay of Campeche represents the first conducted by an international company after Mexico opened up its sector to private investment in 2013.

Mexican President Enrique Peña Nieto initiated reforms which relinquished a 70-year grip on the oil sector by the state-run firm Petroleos Mexicanos (Pemex).

The reforms are set to bring in up to US$415 billion in investments over the next 20 years as the Central American nation aims to produce around 3.5 billion barrels per day by 2025.