Industry body Subsea UK is making sure British subsea businesses can capitalise on opportunities in the Mexican oil and gas market.
Neil Gordon, the organisation's Chief Executive has been outlining the wealth of skills, innovation and experience of UK subsea companies at a meeting with the Prime Minister's Trade Envoy to Mexico in Aberdeen today.
At the briefing held at Aberdeen Harbour Marine Operations Centre with Baroness Bonham Carter, Mr Gordon took the opportunity to highlight the specialist expertise and technical capabilities developed by subsea companies in the North Sea region and the similarities to Mexico’s own harsh deepwater conditions.
The recent energy reform in Mexico saw certain restrictions on the state-owned oil company Pemex lifted, which now allows the firm improved access to foreign businesses. More importantly, the reform also opens up the region to international operators for deepwater development. There are currently more than 25 British companies active in Mexico’s oil and gas sector, with many more looking at the emerging opportunities.
Mr Gordon stated that Mexico is one of the most exciting regions with major potential for UK companies.
"The situation is challenging in the North Sea so it's important for firms to consider other regions as part of their future growth strategies. Mexico is amonst the top ten largest oil producers in the world and ranked in the top 20 in terms of gas production. Over the past decade, Pemex has had a lack of investment in technology development; UK subsea firms could now play a major role helping to extract much of Mexico's remaining oil wealth, thought to lie thousands of metres below the seabed.
“By working closely with Baroness Bonham Carter and UKTI, Subsea UK is making sure that the industry in Mexico turns to the UK’s subsea expertise to meet its deepwater challenges.”
The Prime Minister’s Trade Envoy to Mexico Baroness Bonham Carter said: “The UK is recognised as a global centre of subsea excellence in terms of skills, expertise and technology.
“Our subsea companies are therefore an attractive proposition to a complex and challenging oil and gas region such as Mexico. As part of the UK Government’s strategy to help double British exports to £1 trillion by 2020, we are seeking to promote partnerships with UK companies in Mexico."
The UK subsea industry had an output growth of 37% in the last three years according to Government figures, and is a very strong technology exporter. More than 800 UK companies are active worldwide and have the necessary backing and technical knowledge to help develop deepwater projects in Mexico.
Adapted from press release by Hannah Priestley-Eaton