International Frontier Resources Corp. (IFR) has formed a Mexican subsidiary, Petro Frontera SAPI de CV, that will allow for the study of, and bidding on, assets in Mexico's initial oil and gas energy reform bid round in 2015; the acquisition and participation in services contracts that are migrating to exploration and production contracts; and the development of other petroleum and natural gas assets in Mexico.
Mexico's 2014 energy reform has established a new legal framework for Mexico's energy industry and is expected to attract billions of dollars in foreign investment. In August 2014, Mexico’s Secretaría de Energía (SENER) announced that Round One will include 169 blocks comprising 109 exploration blocks and 60 production blocks, along with 14 blocks under joint ventures with Pemex. The tender process began in the first quarter of 2015, and production-sharing agreements are expected to be awarded throughout 2015.
"We believe Mexico provides excellent growth potential in the current environment," said Steve Hanson, IFR president. "We are actively working and preparing to participate in the first open bidding rounds expected later this year."