How AHMSA caused the CNH to reset the 3rd cycle of Round One

HOUSTON — Not everyone in Mexico applauded the new oil regime that emerged in the legislative package that was promulgated on August 11, 2014. Within weeks, an affiliate of Altos Hornos de México (AHMSA), Mexico’s major steel manufacturer, entered a request for injunctive relief in federal court against the implementation of Article 27 of the Hydrocarbon Law.

The complaint (Amparo Indirecto 1762/2014) was that the article improperly allows the government to award contracts for exploration and extraction of natural gas in areas designated as a concession for coal mining. The complaint was submitted in federal court in Mexico City in the 16th District of Administrative Law on August 28. It was rejected, however, on Sept. 9. The complaint was resubmitted on Sept. 26th; this time, on Nov. 26, the court approved the petition and ordered that authorities suspend activities that would be authorized by Article 27 of the law.

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Mexico Energy Intelligence

Baker & Associates offers niche-market business and policy intelligence related to Mexico's oil and gas, power and chemical industries. Over 1,000 reports have been issued in the last 20 years. Subject matter expert and publisher George Baker, who directs the firm, has carried out consulting assignments starting in the late 1970s at the height of the Oil Boom in Mexico. He brings bilingual and bicultural skill-sets to understanding and responding to challenges of business and public policy, coupled with a deep familiarity with the history and idiosyncrasies of the Mexican operating environment.