Total Energies' subsidiary in the country has received the green light from CNH to embark on an ambitious exploration venture. This initiative, backed by a substantial investment of US$87.23 million, is slated to unfold over the remainder of 2023. Teaming up with esteemed partners PEMEX and Qatar Petroleum, Total Energies is poised to unravel the untapped potential of hydrocarbon reservoirs within the parameters of a contract secured during Round 3.1.
During the 33rd ordinary session of CNH's governing body, it was unveiled that the approved project would operate under the framework of a Production Sharing Contract. The designated exploration area, situated in the shallow waters off Tabasco's coastline, is strategically positioned just 35km northeast of the Paraiso municipality. Encompassing an expansive 580.87km2, this site falls within the prolific Petroliferous Province of the Southeast Basins.
The Work Program for 2023 encapsulates a range of exploratory sub-activities, each designed to advance the mission of uncovering the region's hidden hydrocarbon potential. The agenda encompasses activities spanning general exploration, geophysics, geology, well drilling, as well as safety, health and environmental considerations. The earmarked budget of US$87.23 million will be meticulously allocated across these activities, with a predominant share of 84% earmarked for well drilling, followed by 6.7% for geophysics, 5.0% for geology, 3.0% for general exploration and 1.3% dedicated to safety, health and environmental initiatives.
CNH highlighted that the approval stems from a thorough analysis that deemed the proposed Work Program and Budget for 2023 fully aligned with international best practices. Additionally, the assigned budget figures were considered apt, reflecting well-informed references and data drawn from the industry's most reliable sources.
This milestone underscores Total Energies' commitment to contributing to Mexico's energy independence, while collaborating with esteemed partners in the pursuit of sustainable and efficient hydrocarbon exploration. The venture aligns with the nation's broader energy strategy and symbolizes a joint endeavor to harness the latent resources of the region's hydrocarbon reserves.