Papers - Foreign Production - Mexican Oil Fields during 1929

The production of oil in Mexico during 1929 was approximately 45,000,000 bbl., or 5,000,000 bbl. less than in 1928. The production of the fields near Tampico showed a decline of over 10,000,000 bbl. for both the light and heavy crudes, which was partly offset by an increase of over 5,000,000 bbl. in the production of the fields in the Isthmus of Tehuantepec. During 1929 the retrenchment policy followed by practically all the companies was continued and no material improvement should be expected until the unsatisfactory conditions that brought about this situation are remedied. A new administration has just assumed control in Mexico; it should remain in power for 6 years, and the progress of the oil industry during that time will depend primarily on the policy pursued by the new government with respect to oil development. Development During 1929, there were drilled 214 wells as compared with 371 in 1928 and 583 in 1927. The percentage of producers in 1929 was 47.2 as against 34 per cent. in 1928. The new wells did not show water as quickly as in 1928, particularly in the Cacalilao field, where the greatest number of producers was brought in, their average initial daily production being 380 bbl. The flush daily production per well in the Southern fields was 1730 bbl., while the wells in the Isthmus of Tehuantepec came in with an average of 770 bbl. Development is summarized in Table 1. In the Southern fields 63 wells were drilled in 1929, of which 23 were producers, the best being drilled in Paso Real. This development tends to show that the southern extension of Dos Bocas-Alamo fault from Alamo to San Isidro terminates at San Isidro. The two wildcat wells completed in 1929, one in Magiscatzin and the other in Xicotencatl, were failures, and at the end of the year there were eight wildcat wells drilling and material was being hauled for two more.