Italian energy company Eni and Russian oil company Lukoil have been awarded a hydrocarbon block offshore Mexico, the company announced Wednesday.
Block 28 is located in the medium-deep waters of the Cuenca Salina Basin offshore Mexico, according to the press release.
Eni will be the operator of the license with a 75 percent stake in the joint venture while Lukoil will hold the remaining 25 percent.
"This new award comes as the outcome of the first international competitive bid round called 'Ronda 3' by the National Hydrocarbons Commission (Comision Nacional de Hidrocarburos, CNH) which offered blocks located in water depths between 20 and 500 meters. The contract award is subject to approval from the authorities," the press release read.
Eni holds a 100 percent stake in the Cuenca Salina Basin in Area 1, where it has discovered approximately 2 billion barrels of hydrocarbons in place and has already submitted the Development Plan for approval to local authorities to exploit the discovered resources, the press release reports.
Eni said it is the operator of four other exploration and production blocks in the Cuenca Salina Basin: Block 7 (Eni 45 percent), Block 10 (Eni 100 percent), Block 14 (Eni 60 percent), and Block 24 (Eni 65 percent).
Eni has been present in Mexico since 2006 and in 2015 established its wholly-owned subsidiary, Eni Mexico S. de R.L. de C.V.
By Muhsin Baris Tiryakioglu