Talos Energy, A Small Company Beating The Odds

It was after 80 years that a private company in Mexico sunk another new offshore oil well in Mexican waters. The endeavor was one of the latest steps in Mexico’s drive that allowed foreign competitors into the country’s energy markets. The state-run company known as Petroleos Mexicanos had been taking the monopoly of drilling oil since the nationalization of the oil industry by Mexico. It was a joint venture of Houston’s Talos Energy LLC, Premier Oil from London, and Mexican-based Sierra Oil and Gas companies. The three groups won rights to the prospect when the country voted to open its state-run drowning oil industry to the private sector. Premier Oil reported in its statement that the companies jointly began drilling the oil well in 21st May 2015 and http://www.reuters.com/article/mexico-oil-idUSL2N0ZX29420150717.

The private companies drilled the new well at Sureste Basin which has its location in the state of Tabasco. Premier Oil revealed their expectation that the new Zama-1 well could hold up to about 500 million barrels of crude oil. The companies expected to carry out complete drilling for about 90 days at the cost of US $16 million. Analysts praised the prospect as having a geological chance of success, and that the Zama-1 well was among the most fantastic exploration wells to have been drilled in Mexico that year and more information click here.

The Premier Oil statement also indicated that Talos Energy could be the operator of the well. Talos owned a 35% participation interest in the venture whereas Sierra and Premier held 40% and 25% respectively as the stakes. In its Facebook post, Talos announced its placement as the operator and more importantly, that there was oil discovered in the Zama-1 exploration well. Ash Shepherd received honors as being Thirty Under 40 in 2016. Ash signed the first two production sharing contracts after the reforms that made Talos the first foreign operator in Mexico since 1938 and Talos’s lacrosse camp.

Talos energy is a privately owned small-scale Houston-based gas and oil company. It has a subsidiary known as Talos Production LLC. Talos Energy LLC has a focus on acquisition and exploration of gas and oil properties in the Gulf Coast and the Gulf of Mexico. Funding from Apollo Global Management, Riverstone Holdings LLC, and Talos management backs the company and Talos on Facebook.

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