Mexico’s Problematic E&P Safety Regime

Mexico’s Problematic E&P Safety Regime

Additional work needed for Macondo-scale regulation

MEI Report 832 (Houston)

The 2013‐14 Energy Reform in Mexico created a new agency that would be responsible for standards and compliance in relation to commerce in hydrocarbons. Unlike the United States and Norway, among other jurisdictions, where cognate agencies would be focused specifically on offshore oil and gas operations, the mandate of Mexico’s agency extends across the entire hydrocarbon value chain.

Mexico’s Hydrocarbon Safety Agency (or ASEA by in acronym in Spanish) had a rocky start, employing staff with limited experienced and a minimalist budget that motivated employees to bring furniture from home to fill out their offices.

On May 13, 2016, the agency issued its general guidelines on the preparation and submission by regulated parties of a safety management system. Seven months later, ASEA issued its guidelines specifically for exploration and production (E&P).

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Written by

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.