Perceptions of midstream issues in Mexico at OTC 2019 Petroleum - PowerPoint PPT Presentation

Perceptions of midstream issues in Mexico at OTC 2019 Petroleum Equipment and Service Association Houston George Baker OTC Panel Moderator Publisher, Mexico Energy Intelligence™ May 30, 2019 1

2

3

Audience survey questions at the OTC panel 4

Maintaining legal, fiscal, and regulatory stability is important for the success of the Segment energy reform, avoiding contractual renegotiations of the kinds seen elsewhere in for operators Latin America. Response options Count Percentage 33% Strongly Agree 25 81% Agree 5 16% Engagement No Position 1 3% 31 Responses Maintaining legal, fiscal, and regulatory stability is important for the success of the Segment for service energy reform, avoiding contractual renegotiations of the kinds seen elsewhere in companies Latin America. - Response options Count Percentage 16% Strongly Agree 13 87% Agree 2 13% Engagement No Position 0 0% Disagree 0 0% 15 Strongly Disagree 0 0% Responses 2019 OTC – Mexico panel 5

Pemex's program to transport natural gas for third parties Segment for operators adequately responds to the needs of the operators. Response options Count Percentage 45% Strongly Agree 2 5% Agree 7 17% Engagement No Position 18 43% 42 Disagree 11 26% Strongly Disagree 4 10% Responses 2019 OTC – Mexico panel 6

For the sake of price transparency and market development, natural gas and natural gas liquids (NGLs) should be sold at the tailgate of processing plants. Response options Count Percentage 50% Strongly Agree 7 15% Engagement Agree 20 43% No position 19 40% 47 Disagree 1 2% Responses 2019 OTC – Mexico panel 7

Free-market economics should govern the design and commercial terms of midstream infrastructure and transportation arrangements. Response options Count Percentage 24% Strongly Agree 4 17% Agree 14 61% Engagement No Position 1 4% 23 Disagree 4 17% Strongly Disagree 0 0% Responses 2019 OTC – Mexico panel 8

The deployment of FPSOs in the southern area would facilitate early production. Response options Count Percentage 26% Strongly Agree 9 38% Agree 13 54% Engagement No Position 1 4% 24 Disagree 1 4% Strongly Disagree 0 0% Responses 2019 OTC – Mexico panel 9

Segment Open access to Pemex midstream infrastructure offshore and onshore is for operators necessary for operators of offshore blocks in the southern portion of the Gulf of Mexico to achieve early production. Response options Count Percentage 54% Strongly Agree 28 55% Agree 16 31% Engagement No Position 5 10% Disagree 2 4% 51 Strongly Disagree 0 0% Responses Segment Open access to Pemex midstream infrastructure offshore and onshore is for service necessary for operators of offshore blocks in the southern portion of the companies Gulf of Mexico to achieve early production. - Response options Count Percentage 22% Strongly Agree 3 14% Engagement Agree 16 76% No Position 1 5% 21 Disagree 1 5% Strongly Disagree 0 0% Responses 2019 OTC – Mexico panel 10

Pipelines from Perdido deepwater blocks to onshore Matamoros and beyond to Pemex's gas processing plant in Reynosa would offer long-term, midstream solutions. Response options Count Percentage 33% Strongly Agree 2 6% Agree 19 61% Engagement No Position 3 10% 31 Disagree 5 16% Strongly Disagree 2 6% Responses 2019 OTC – Mexico panel 11

Por su atención, muchas gracias g.baker@energia.com http://www.energia.com @Energia_com +1 (832) 434-3928 12