Trion 25% Complete Amid Production Decline Concerns

Woodside shared  that its Trion crude oil joint venture with Mexico's state-owned PEMEX is now 25% complete, the company told Independent Commodity Intelligence Services (ICIS), with construction progressing on budget and on time. The deepwater project is targeting a launch date in 2028.

This development comes as the International Energy Agency (IEA) projects a significant decline in Mexico's overall oil production. According to its annual Oil 2025 report, the IEA forecasts Mexico's oil output will decrease to 1.29MMb/d by 2030. If this projection materializes, it would represent less than half of the nearly 3MMb/d Mexico was producing in the early 2000s.

Once operational, the Trion field is expected to contribute 100Mb/d, which Woodside estimates would increase Mexico's oil production by approximately 7%. While Trion remains on track for first oil in 2028, other key projects, such as Zama and the Ku-Maloob-Zaap (KMZ) expansion, are still awaiting sanctioning. The IEA warns that the window to bring these additional projects online before the end of their forecast period is rapidly closing.

The Trion project represents a crucial collaboration between an international energy major and PEMEX, potentially playing a significant role in mitigating the projected national production decline and supporting Mexico's energy needs in the coming years.