U.S. Headed For Energy Self-Sufficiency - Exxon CEO

Exxon Mobil's CEO Rex Tillerson believes the U.S. will be self sufficient and energy secure by 2020. The country is the largest natural gas producer in the world and is producing oil at rates not seen since the 1980s. Production of crude oil is expected to continue growing over the next few years and Tillerson thinks it's "realistic" that the U.S. will be secure in energy by the end of the decade. 

Tillerson discusses the difficulty of developing shale gas reserves in China. There is a lot of potential, but the formations are deeper and in more remote locations. There are a number of challenges that will delay development.

He also touches on unknown fiscal policy and how the uncertainty might be hurting economic growth here at home.

PEMEX Shale Play Spending to Grow to $200 Million

Mexico Eagle Ford Shale Map

PEMEX is preparing to spend $200 million researching and testing shale plays in Mexico. The national oil company plans to test two shale plays, with a focus in the Eagle Ford and one other play.

Commissioner Guillermo Dominguez said seismic studies to be carried out are designed to determine whether the rich petroleum deposits found in shale rock formations in the U.S. extend into Mexico. He said one of the two "large blocks" to be studied is an extension of the Eagle Ford shale rock formation that runs from Texas into Mexico. The other site is just down the Gulf of Mexico near Tampico.

Even if PEMEX is successful, don't expect a drilling boom any time soon. Company representatives expect they are 5-8 years away from true shale gas development. To be honest, there's no need to push it. The country is positioned well to import U.S. natural gas, which is very cheap in in the worldwide market. Read more about the company's plans in our article Eagle Ford Gas is Headed to Mexico.

You can read an article with additional quotes at rigzone.com