Is Security Really a Nightmare in Mexico?

Pearl Harbor, the French ‘Maginot Line’ of early World War II, or fighting the war on terror exclusively with Predator Drones are all examples of how using tactics from the “last war” are bound to fail in the present.  The feared American dreadnoughts of World War I were quickly sent to the bottom by the relatively new concept of carrier-based air power; the German Army simply went around the massive concrete bunkers in France and […]

Four Risks for Companies in Energy Reform

The recent Forbes article ‘4 riesgos para las empresas en la reforma energética’ (4 Risks for Companies in the Energy Reform), highlights underlying business challenges for international companies considering participation in the Mexico oil market. Regulatory and legal framework Opposition to public reform Lack of infrastructure and local talent Security challenges of corruption and drug cartels The business decision to enter the market offers great potential and many unknowns. The Mexican government, industry, and the […]

Critical Analysis of Pipeline Safety and Security in Mexico

When it comes to pipeline safety and security, our two neighbors provide an interesting and illustrative contrast. To our north, Canada’s oil and gas industry’s safety and security standards, with regards to pipelines, mirror and even surpass those of the U.S. The oil and gas sector is privately owned and operated and government’s involvement, though substantial, is limited to necessary oversight and regulation of the industry and its infrastructure. Our southern neighbor, Mexico, tells a […]

Houston Business Journal Article: Railroad Commissioner Expresses Concern about Threat Posed by Mexican Cartels

Yesterday’s article in the Houston Business Journal highlights an issue that Butchko, Inc. has been talking about for a while. Click here for full article. The Mexican cartels have and continue to exert significant influence in the Eagle Ford Shale region. Their operations are not new but they have certainly benefited from the sudden expansion of activity in the area. The risk of confrontation is significant and increasing as more and more companies commence operations […]

Texas Oil Routes are Turning Deadly

In a recent Bloomberg Business Week article, writer Joe Carroll’s highlights the gritty, tough landscape of South Texas border country where security issues – very similar to those unfolding in the Eagle Ford Shale Play – continue to evolve.   It is something we are talking about a lot at Butchko as well.  We see the risk from the perspective of oil & gas companies, along with the ranchers whose land the pipelines traverse.  With every […]