Pemex's Bakte field to give Mexican natgas output a shot in the arm

Mexico's oil and gas regulator CNH has approved a US$1bn development plan for the Bakte natural gas field presented by state company Pemex.

The onshore field will produce up to 600Mf3/d (million cubic feet a day) of natural gas and 50,000b/d of condensate.

Bakte, in the southeastern state of Tabasco, was discovered in December 2023.

The field's production of natural gas will represent about 15% of Mexico's output, CNH said, adding that Bakte will reach maximum daily production in March 2025.

"That represents the gas needed by 10 power plants," CNH commissioner Héctor Moreira Rodríguez said at a meeting of the regulator on Tuesday. "We’re talking about something that’s really important." 

The development of Bakte comes at a critical time for Mexico's natural gas market as power plants and domestic industries have become increasingly reliant on imports from the US. About 70% of the natural gas consumed by Mexico comes from the US, raising concerns about energy security.

Cheap electricity generated using natural gas from Bakte could accelerate the industrial development of Tabasco, Moreira Rodríguez said.

Some of the output from Bakte will feed the new US$18bn Olmeca refinery in the nearby port of Dos Bocas. Pemex began operations at the refinery this year and is ramping up the plant to capacity of 340,000b/d.

After appraisal drilling, Pemex raised its estimates of Bakte's output and increased its forecast spending. The US$1bn plan represents an increase of US$653mn from Pemex's initial estimate of development costs.

Moreira Rodríguez called on Pemex to minimize gas flaring at Bakte, which will continue until gas pipelines are in place in December.