During the first semester of 2015, the average production of natural

gas was 6,432 MMSCFD. According to the Oil and Gas Journal,
Mexico had approximately 17 Tcf of proved natural gas reserves by
the end of 2014. Mexico has approximately 545 Tcf of technically
recoverable shale gas resources. Just the Burgos Basin itself contains
393 Tcf of technically recoverable shale gas resources. The Federal
Electricity Commission (“CFE” for its Spanish acronym) has
requested, between 2014 and 2015, bids for more than 10 natural gas
transportation projects (2,300km), with a value of more than US$5
billion. The target is to increase the national pipeline transportation
system by more than 75% by 2018. One of the projects, which will
be awarded by the end of 2015, allows the use of open technologies
for the transportation of natural gas, which gives new investors the
opportunity to develop the project as an LNG project. The national
oil company, Petroleos Mexicanos (“Pemex”), is also developing a
pipeline project that will allow international transactions from North
America to Asia through the 324km pipeline along the Tehuantepec
Isthmus.