PEMEX Faces Scrutiny Over Fatalities: The Week in Oil and Gas

PEMEX continues to struggle with fatal accidents despite its commitment to eliminate fatalities this year. In other news, IMCO recommends PEMEX to form alliances with the private sector to boost production. 

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PEMEX Still Facing Fatalities Despite Promise of No More Deaths

PEMEX faces increased scrutiny following a series of fatal accidents at its facilities. Earlier this year, PEMEX set a goal to eliminate fatalities. However, shortly after this announcement, more accidents followed. According to Bloomberg, the company is facing numerous investigations and litigation over the US accident at a time when its insurers in Mexico are suspending their coverage.

IMCO Recommends PEMEX-Private Sector Alliances to Boost Natural Gas Production

The Mexican Competitiveness Institute (IMCO) recommends PEMEX to form new alliances with the private sector to boost natural gas production in Mexico amid budget constraints in the energy sector. IMCO suggests Pemex should have the freedom to partner with companies offering the best operational synergies. The organization advocates for incentives to attract private investment and proposes increasing the domestic content in natural gas consumption by industries through a market for bonds or financial rights.

IEA Increases 2025 Oil Demand Forecast Amid China Stimulus

The International Energy Agency (IEA) raised its 2025 global oil demand growth forecast to 1.1MMb/d, citing China’s economic stimulus. However, the agency reduced its 2024 demand projection to 840Mb/d due to lower deliveries from key countries. Despite higher production forecasts, a 2024 global oil surplus of 950Mb/d is expected, with oil prices hovering around US$73.

Equinor and Shell to Merge UK Offshore Assets

Equinor and Shell will combine their UK offshore oil and gas assets, creating the largest independent producer in the UK North Sea. The joint venture will help maintain production and energy supply security. The partnership includes assets such as Mariner, Rosebank, Buzzard, and several exploration licenses. This collaboration aims to strengthen the UK's energy sector and extend the life of critical resources.