15th Dec 2015 08:11
LONDON (Alliance News) - MX Oil PLC said it will submit tenders for five land contract areas later Tuesday under the third phase of the current Mexican licensing round for conventional onshore concessions in the country, with the results expected imminently.
The licensing round in Mexico is significant as it represents the country opening up its oil and gas resources to foreign companies after around 76 years of state monopoly in the sector.
Under the licensing round, 25 onshore contract areas will be awarded, meaning MX Oil is targeting a fifth of the concessions on offer. Back in May, MX Oil said it was potentially targeting concessions with estimated resources totalling 100.0 million barrels of oil equivalent.
Those concessions are expected to be awarded to successful companies later Tuesday, with the company to release news "as soon as the results are received," it said.
"Having completed due diligence together with our partner Geo Estratos we are excited to be submitting tenders for what we believe to be five highly prospective blocks in Mexico. With the results due to be announced later today in Mexico, we look forward to updating the market on the outcome of our submissions," said MX Oil Chief Executive Stefan Olivier.
MX Oil shares were up 7.7% to 2.18 pence on Tuesday.
By Joshua Warner; [email protected]; @JoshAlliance
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