MEXICO CITY, Sept 30 (Reuters) - Mexico’s oil regulator awarded a production-sharing contract for the offshore Hokchi field on Wednesday to Argentina’s Pan American Energy in consortium with E&P Hidrocarburos y Servicios.
The consortium won the development rights by offering the government 70 percent of pre-tax profits, but additional taxes and a basic royalty will still apply.
The shallow water Hokchi field, located along the southern edge of the Gulf of Mexico and known as contractual Area 2 in the auction, features 334 million barrels in remaining oil resources and spans 15 square miles (40 sq km).
The auction marks the second phase of Mexico’s so-called Round One tender launched in July and follows a historic energy sector overhaul finalized last year that opened the sector for the first time in decades to private producers. (Reporting by Adriana Barrera and David Alire Garcia)