·        We live in challenging times in the global energy market; let us work to build international consensus, he urged.

·        Dialogue is essential to promoting a global energy market that is stable, open and efficient, inclusive and sustainable, he said.

·        Mexico wishes to participate responsibly in energy development, particularly on the basis of the structural changes we have achieved, he declared.

·        The president participated in the “Energy Reform in Mexico” event.

·        He conversed with the King of Saudi Arabia.

·        The two leaders witnessed the signing of Cooperation Agreements and Memoranda of Understanding on various subjects.

Earlier today, President Enrique Peña Nieto participated in the "Energy Reform in Mexico" event, in which he said: “In Mexico, we are convinced that energy should be a source of growth rather than instability.”

”We live in challenging times the global energy market, which countries must address with shared responsibility and a clear vision. It is therefore important for energy producers and consumers to promote the exchange of timely information, and work on building international consensus,” he declared.

The Mexican president declared that dialogue is essential to promoting a global energy market that is stable, open and efficient, inclusive and sustainable. That is the way to achieve energy security and environmental sustainability, which are essential to the balanced development of mankind.”

“Mexico wishes to participate responsible in the world's energy development, particularly as a result of the structural changes we have achieved, and promote a new development model in Mexico; a new paradigm to provide Mexico with development and prosperity,” he declared.

President Peña Nieto said Mexico and Saudi Arabia, “Share the decision to strengthen and modernize our economies, particularly on the basis of science, green technologies and human capital.”

He said that as a result of the trade liberalization and integration process Mexico has undergone, “My country is increasing its participation in global value chains.”

He explained that only 35 years ago, in the 80s, “We were exporters of raw materials: almost 70 percent of exports involved oil and mining, and 20 percent manufactured goods. Today, the situation has been reversed. In 2015, 89 percent of exports were manufactured goods, while petroleum and mining accounted for only 8 percent. Nowadays, manufactured goods also have a higher added value.”

The president explained that as a result of structural reforms, “We also have new opportunities to attract investment from neighboring countries. Mexico offers, particularly today, opportunities in key sectors for development in telecommunications, infrastructure and energy.”

The president of Mexico declared that through Energy Reform, “We have created a new model of markets in the sector, characterized by openness, competition and global integration.”

“In hydrocarbons,” he told those attending the event, “Investors can participate in exploration, extraction and manufacturing projects, as well as transport, storage and marketing services.”

He recalled that in 2015, the first three tenders in this sector were held, in keeping with the highest standards of legal certainty and transparency. “Thirty contracts were assigned to national and international companies, giving rise to a new energy industry in Mexico,” he added.

He added that the blocks and fields to be tendered in the next five years were also announced.

“Another aim is to create a large market of petroleum products and petrochemicals and to create additional opportunities for investment in pipelines, storage terminals and distribution systems,” he added.

The Mexican president said that in electricity, “As from this month, private companies will be able to generate and sell power on the new Mexican electricity market. There are unprecedented opportunities for investing in cleaner, renewable sources such as solar, wind or geothermal energy.”

He stressed that in Mexico’s integration project, ”We are determined to make Mexico a bridge to connect energy markets in North America, Latin America and Asia. By 2018, we will have seven gas interconnection bridges with the United States, while efforts are being made to develop a pipeline to connect us with Central America.

“We now have 11 electrical interconnections with the United States and two in Central America, and new cross-border interconnections are being evaluated. We are building leading-edge logistic-energy infrastructure to link the Pacific with the Atlantic,” he explained.

Our countries aspire to further consolidate and develop their relations: Minister of Petroleum and Mineral Resources of Saudi Arabia

Minister of Petroleum and Mineral Resources of Saudi Arabia Ali Al-Naimi said that this country has strong ties to Mexico, not only in terms of oil, but also in terms of political, economic, cultural, and even social relations. “Our two countries aspire to continue consolidating and expanding their relations,” he added.

He said that both countries have strong, renewable industries in the domestic oil field as well as ambitious plans for the future, within substantial and effective, mutual and international cooperation.

Ali Al Naimi said that Saudi Arabia and Mexico have, “A great deal of credibility and respect in the international arena, and this cooperation has achieved tangible success.”

“Mexico and Saudi Arabia have distinguished, qualified human resources in technical areas and industries, and services that support oil production, which creates more fields for technical cooperation and investment in oil, as well as in the industries related to this fuel,” he said.

Saudi Arabia and MEXICO have broad perspectives for COLLABORATing in INNOVATION, human capital training, and SCIENTIFIC AND TECHNOLOGical research: PEDRO JOAQUÍN COLDWELL

Minister of Energy Pedro Joaquín Coldwell said that this meeting takes place in a context of extreme volatility in the international oil market, where, as at other times, “We are experiencing a cyclical drop in prices, coupled with a profound structural change in the oil industry, meaning that, as oil-producing countries, we face similar challenges.”

Now, he declared, there are investment opportunities in both oil extraction and transport and storage, processing and refining, petrochemicals and the sale of oil to the public.

He explained that, “Saudi Arabia and Mexico have broad perspectives for collaborating in innovation, human capital training, scientific and technological research.”

The Energy Minister outlined Mexico's energy capacity as well as future projects in that region:

·        We are expanding pipelines by nearly10,000 kilometers, which involves an investment of 14 billion dollars.

·        In electricity, in 15 years, we have a goal of expanding the transmission network by nearly 25,000 kilometers, and installing an additional 60 gigawatts for power generation.

·        To modernize our electricity system, we need an estimated investment of $116 billion USD, a significant portion of which will come from private capital. 

·        In the second quarter of 2016, we will launch the first tender under the new scheme that allows private investment in transmission lines.

·        By 2024, 35 percent of our power generation should come from clean energy sources.

·        Energy Reform has created strong incentives to invest in green energy generation, such as clean energy certificates guaranteeing that a percentage of the electricity sold on the market is renewable. We also provide 100 percent accelerated depreciation for projects using these technologies.

·        To invest in these options, the government is promoting a variety of financial investment instruments, the most recent being Fiber E, which has proved highly successful for investors around the world within the master limited partnership scheme.

Mexico, concluded Pedro Joaquin Coldwell, has significant advantages: “Political stability, a strong economy, a skilled population and proven industrial capacity in areas as diverse as the automotive, aerospace, and energy sectors. We have strong regulatory bodies, transparency and accountability rules and social monitoring to ensure a level playing field for all investors.”

The participation of capital from the Arabian Peninsula in Mexico, he added, “Would contribute to promoting the integration of markets that until now have been operating in isolation,”


Within the framework of the state visit by President of Mexico Enrique Peña Nieto to the Kingdom of Saudi Arabia, King Salman Bin Abdulaziz Al-Saud hosted an Official Welcome Ceremony on the Esplanade of the Palace of the Royal Court. During the ceremony, the national anthems of both countries were sung, President Enrique Peña Nieto reviewed the guard of honor and subsequently presented the Official Delegations.

President Peña Nieto and King Salman Bin Abdulaziz Al-Saud held a bilateral meeting in which they discussed the potential of both countries as well as the historical relations between the two countries. They highlighted the opportunities in tourism, energy and agribusiness trade.

The two leaders witnessed the signing of the following documents and memoranda of understanding:

· Air Services Agreement. It establishes a legal framework to regulate air operations between the two states.

· Agreement to avoid double taxation and prevent tax evasion. It eliminates tax burdens that hinder the flow of investments derived from the taxation of a single revenue.

· Cooperation Agreement to combat organized crime. It promotes cooperation between the two states, to prevent and combat transnational organized crime.

· General Cooperation Agreement. It promotes cooperation in the economic, commercial, technical investment, cultural, sports and youth sectors.

· Memorandum of Understanding for cooperation in the energy sector. It promotes the exchange of information on oil markets and indicates ways of achieving stability, mutual visits and technical cooperation projects in the sector.

· Memorandum of Understanding on Education and Science between the Ministry of Public Education and the Ministry of Higher Education for cooperation in the fields of education and scientific research.

· Memorandum of Understanding on tourism cooperation. It provides for cooperation in the field of tourism, and encourages private sector institutions to work together on the basis of mutual benefit and equal rights.

· Memorandum of Understanding between the Saudi firm Aramco and Petróleos Mexicanos. It promotes relations in the energy sector.

· Memorandum of Understanding between the National Foreign Trade Bank of Mexico and the Saudi Fund for Development. 

· Memorandum of Understanding between the Saudi Chamber of Commerce and the Mexican Business Council for Foreign Trade, Investment and Technology. It establishes a legal framework to promote and expand trade relations. 

· Cooperation Program between the Ministry of Economy and the Saudi Organization for Standards, Metrology and Quality.