There is a revolution that is sweeping the oil refinery industry in Mexico and the companies that are leading the revolution include Nuvoil, Rennaissance Oil and Cotemar. The renewed energy with which they are trying to effect changes in the industry come as a result of the issuance of the first round of the new drilling tenders. The competition that was part of the issuance of the tenders might have made Mexico seem like the toughest place to try and start a business in, which to some extent could be true, but these companies are determined to beat the odds and make worthwhile gains in the process.
There are many issues the companies have to handle as they try to create some order in the industry. The first and the most important of them is reversing the effects of exhaustion of one of the largest wells, the Cantrell. The effects of the exhaustion of this well have been far reaching. To start with, the overall production of oil by the country has reduced by a million barrels every day. The new companies that won the contracts are already holders of the wells. This brings in the second issue that is affecting the industry, land conflicts that existed between the previous owners of the wells and other people. Other serious problems include theft of the infrastructure that support oil rigs, and even organized crime. All the challenges notwithstanding, these companies are determined to make sweeping changes in the entire sector.
The large oil companies have had their fair share of the drilling contracts, and people feel that it is about time that smaller companies with higher tolerance to risk started investing in the drilling industry. The platforms that the previously small players are adopting to survive include the adoption of environmental friendly drilling methods. They are making sure that the drilling techniques and methods that they use will assure them that the wells will serve them for a long period of time without failing.
Getting a market for the oil being produced is another factor affecting the business. The companies are actively looking for business partners who will buy the crude from them at a cost that will not only keep them in business, but also help them grow bigger and better at it. Cotemar hasn’t been left behind in any of these initiatives and the future is definitely very bright for them.