Mexico Oil & Gas Review 2018

Page 138

VIEW FROM THE TOP

PIONEERING SCHEMES OPEN DATA TO PRIVATE COMPANIES OSCAR ROLDĂ N Head of CNIH

134

Q: How is CNIH providing private companies with access to

created knowledge from the data we owned only for its own

the data it owns?

use, it would not improve the state of the industry as a whole.

A: Companies have access through one of two licensing schemes. The first applies to oil and gas operators. Through

That being said, while the first scheme is directed at operators

this scheme, operators have the right to use the information

for use in direct E&P activities, the second is directed at service

contained in each data package to study their areas of interest

companies focused on developing new business ideas that can

and to place their bids in the licensing rounds. The information

later be sold into the market. By allowing service companies

can also be used to improve a company’s performance in

to create products and services using our historic data, we are

E&P operations. The second scheme stipulates that data be

creating a market for information. This is extremely important

used for commercialization purposes that are not directly

considering the relevance in terms of optimizing production,

related to E&P operations. Rather, the data should bolster the

which is usually aided by smaller companies that are focused

development of new products and services that will support

on these kinds of services. A perfect example is the shale gas

operators’ activities and be sold on the open market.

boom in the US. Small service companies managed relevant data, created information and sold it to operators, who in turn

These two schemes are priced differently to incentivize the

used that to optimize their production without facing the risk

development of new business ideas. The second scheme

of venturing into the creation of knowledge by themselves,

offers the data at 2 percent of the cost of the first scheme.

which is not their core business.

If the data made available under the second scheme were to be sold at the same price as that for E&P operations, the

Q: How did CNIH arrive at the 30 percent royalty cost for

price would become a direct barrier for companies looking

the second scheme?

to innovate in the market. To ensure the country benefits

A: We implemented a project of well-log integration and set

from the value of the data provided under the second

a rate of return of 17 percent, which was then used to define

scheme at a lower price, there is a clause stipulating that if

the royalty rate. We are not yet sure how many products can

the data is successfully used for commercialization purposes

be developed from the information we own. We also cannot

then the company will pay a 30 percent royalty on the final

predict how profitable these products might become. Because

sale price to CNH. This approach is completely new in the

CNH is pioneering these schemes, there is no previous base

market, both domestically and internationally, making CNH a

to rely on or compare. The royalty may be high or low but we

pioneer. Essentially, we are opening the oil and gas industry

have to start somewhere. From there we will adapt according

while nationalizing the data, which is backed by Article 32

to market demand.

of the Hydrocarbons Law. This states that all the geological, geophysical, petrophysical, petrochemical and related data

Some may say that instead of a royalty on the final sale we

gathered by PEMEX throughout its history, or by any other

could have developed a production-sharing scheme. Doing

company in the past, present or future, belongs and will

that would mean CNH having to follow up the cost of each

belong to the nation, and CNIH will manage it accordingly.

individual product developed by the industry, therefore creating an administrative bottleneck that would end up

Q: Why has CNIH established two license schemes?

suppressing growth instead of promoting it.

A: Simply put, there was too much archival data for operators to digest and create the valuable analyses required to improve

It is worth mentioning that companies must register their

their knowledge and operations. We concluded that there

sales in Mexico for taxation purposes. To ensure this, CNH

had to be a way to analyze and digest the abundant data

will cross-check the sales information with that provided by

we owned, and then sell that knowledge as a final product

the Ministry of Finance. This will ensure that CNH receives its

that operators could use. We also noted that if an operator

proper royalty and also that taxes are paid in Mexico.


Turn static files into dynamic content formats.

Create a flipbook

Articles inside

KEEPING PIPELINES GOING FOR THE LONG TERM

1min
pages 318-319

DIVERSIFICATION THE KEY TO SUCCESS

1min
page 317

COMPRESSION AND COGENERATION TO MEET RISING DEMAND

1min
page 316

PROVIDING MEXICO’S GAS SECURITY

1min
pages 314-315

ADVANCED TECH AT CENTER OF CUSTOMER-FOCUSED VISION

1min
page 293

FULLSTREAM ACTIVITIES IN A FULLY OPEN COUNTRY

1min
pages 290-291

KEEPING THE WELLS FLOWING

1min
page 261

SHALLOW-WATER ACTIVITY TO PICK UP PACE NEAR TERM

1min
page 208

AFTER A STRONG HIT, AN OPERATOR ON THE RISE

1min
page 178

PICKING UP THE DEEPWATER THREAD

1min
page 203

A VARIETY OF SOLUTIONS, ONE INTEGRAL OFFER

1min
pages 174-175

SPREADING THE POWER OF DATA TO THE OIL AND GAS INDUSTRY

1min
page 145

COMPLEXITY IS A MARKET OPPORTUNITY FOR THE PREPARED

1min
page 144

PIONEERING SCHEMES OPEN DATA TO PRIVATE COMPANIES

1min
pages 138-139

AN EXPERIENCED PLAYER SEEKS MATURE OPPORTUNITIES

1min
pages 126-127

WORK STILL NEEDED TO KNOW STATE OF INHERITED FIELDS

1min
page 122

TAKING THE LEAD: THE ZAMA DISCOVERY

1min
page 116

RESTRUCTURING FOR OPTIMUM PERFORMACE

1min
page 115

WORKING WITH GIANTS

1min
pages 106-107

PLAYING A POSITIVE SUM GAME

1min
pages 106-107

TEN YEARS CREATING VALUE

1min
page 80

SOLVING A DICHOTOMY, ON BOTH SIDES

1min
page 79

REVIVING A SOUTHEAST GIANT

1min
page 62

NORTHERN MEXICO’S HYDROCARBONS BET

1min
page 52

KEY GOALS: GENERATE EFFICIENCIES, MAINTAIN COMPETITIVE COSTS

1min
page 104

A YEAR RICH IN DISCOVERIES

1min
page 28

TIME TO PLACE YOUR BETS ON MEXICO

1min
page 19

ENERGY REFORM DEMANDS BEST INTERNATIONAL PRACTICES

1min
page 18

NO NEED TO FEAR FUTURE OF LICENSING ROUNDS

1min
pages 20-21

UNDILUTED ACCOUNTABILITY FOR A HEALTHY INDUSTRY

1min
page 22
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.