Petrobras and Pemex have signed a non-binding memorandum of understanding to cooperate across oil exploration, production, and refining. The agreement, signed in Rio de Janeiro, could open collaboration in shallow and deep waters of the Gulf of Mexico, as well as in natural gas, petrochemicals, and other areas. For Pemex, which carries roughly $80 billion of debt and faces declining output, the deal may bring access to Petrobras' deepwater expertise. Petrobras CEO Magda Chambriard said the partnership could help both companies take a fresh look at Mexico's largely untapped deepwater resources, while Pemex CEO Juan Carlos Carpio pointed to possible opportunities in shallow waters, heavy and super-heavy crude, and pre-salt formations. The potential tie-up follows recent talks between Brazilian President Luiz Inacio Lula da Silva and Mexican President Claudia Sheinbaum on closer energy and trade cooperation, though commercial deepwater production has not yet emerged on Mexico's side of the Gulf.
Petroleo Brasileiro Petrobras SA ADRPetrobras can leverage its deepwater expertise to access Mexico's untapped reserves, potentially expanding its operations.
Pemex gains access to Petrobras' deepwater expertise, which could help reverse its declining output.