Given the current market situation, energy projects in Mexico and Latin America are facing some constraints. However, in the case of Mexico, the power sector and the midstream sector are generating more opportunities and are being conceived as more vibrant sectors in the economy than large upstream projects.
In The Headlines
The low oil price environment has hampered upstream oil and gas merger and acquisition activity so far in 2015, while the number of deals in the midstream segment has been increasing. According to Price Waterhouse Cooper’s “Second-quarter 2015 oil and gas industry mergers and acquisition analysis,” there were 21 midstream oil and gas deals with values greater than $50 million in the last quarter, more than doubling the number of midstream deals in the second quarter of 2014. There were only 18 M&A deals in the upstream sector, which is nearly half of the volume for upstream deals in the second quarter of 2014.
Topic of Discussion
Jacki Pick | National Center for Policy Analysis
Inpex’s (Japan) Ichthys project is located in the Browse Basin, approximately 135 miles offshore from Northwestern Australia. Ichthys represents the largest discovery of hydrocarbon liquids in Australia in 40 years and is ranked among the most significant oil and gas projects in the world. Australia is geographically positioned to fully engage the Asia-Pacific region, where 60% of the world’s LNG is traded, Japan being the largest importer. With ten LNG export projects, Australia’s export capacity could surpass Qatar’s 77mpta export capacity by 2020.