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T MEXICO'S OIL A Compilation of Official Documents in the Conflict of Economic Order in the Pe- troleum Industry, with an Introduction Summarizing its Causes and Consequences GOVERNMENT OF MEXICO M E X I C O C I T Y , 1 9 4 0 /

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T

M E X I C O ' S O I L

A Compilation of Official Documents in the Conflict of Economic Order in the Pe­troleum Industry, with an Introduction Summarizing its Causes and Consequences

G O V E R N M E N T O F M E X I C O

M E X I C O C I T Y , 1 9 4 0

/

94 M E X I C

ping plants were constructed. Through this point and during the period of the most intensive exploitation of the Golden Lane (1918 to 1925), seven companies exported 194,265,000 barrels of crude oil, fuel oil, and distillates, with a value of approximately 430,43 0,000 pesos. Of all this enormous ex­ported wealth, the country received nothing but the relative benefit of taxes collected. And neither Puerto Lobos nor the nearby Port of Tuxpam underwent any beneficial transforma­tion which might have converted them into real ports.

The fact is that Mexico has been considered by the ma­jority of the oil companies as a colony from which to ex­tract raw materials and to which manufactured goods may be sold.

It has been necessary for Mexico to take various measures in order to obtain, even though gradually and against the most bitter opposition of the companies, some effective benefit from this petroleum wealth, which is national and, by reason of traditional legal principles, belongs to the Nation.

It has been very difficult for Mexico to derive any benefit from the exploitation of its oil resources carried on principal­ly by foreign enterprises, as they not only refused for a long time to accept the legal principles of national sovereignty over the petroleum of the subsoil and our systems of taxation, but have systematically sold at excessively high prices the products which they leave in the country.

The various measures adopted by the government have been, although slowly, producing fruitful results, and in­directly these measures have been aided by the increasing competition which the companies are meeting in foreign oil markets. It is to be hoped that eventually the whole, or at least the major part, of these valuable products will be consumed in the country.

At present, 61 per cent of our total production is ex­ported, in place of the 99 per cent which, as we mentioned above, was exported in 1922. Our consumption has increased from 11 or 12 millions barrels, in 1928 and 1929, to a little over 18 millions barrels in 1936.

As sounding and drillings have been limited to very re­duced areas of our territory, the certain data which are avail­able with respect to the existence of petroleum in the Mex­ican subsoil are relatively scarce; therefore, what has served as a guide in assuming that any given regions are oil-bearing have been: in the first place oil seepages and numerous other surface indications of oil; in the second place, the formations considered favorable after geological exploration carried out by the ordinary procedtires or by geophysical methods; and, in the third place, the structure and configuration of large portions of our territory adjoining the American producing fields of Texas and California, of which they are certainly a prolongation.

The region of our country in which the assumption of the existence of petroletim deposits acquires the greatest pro­babilities is, as has been stated in the first chapter, the so-called Coastal Plain of the Gulf of Mexico, from the State of Tamaulipas, to the North, to the State of Yucatan towards the Southeast. It is in a part of this belt along the Gulf where to date the activities of our petroleum industry have been concentrated, and in which such excellent results have been obtained; however, the zones in which drillings have been made are highly restricted.

The oil wells of the coastal plain are concentrated in the following areas: in San Pedro, La Labor, and Huitzalte, of the Valles District of the State of San Luis Potosi; in El Ebano and El Limon, which are partly in San Luis Potosi and partly

O ' S O I L

As may be seen, in spite of the progress made in natioml consumption and, therefore, in the benefit of our generjv progress, more oil is still being exported than is allocated {•• domestic requirements.

For Mexico, the exploitation of its oil resources has beer. for a long time the source of almost continuous difficultk-and internal disturbances, and even of serious internation.il conflicts. All this has been caused by the rebellious attituci. of the oil companies in their dealings with the authority emanating from the Revolution, and in opposition to tl.i principles and provisions enacted by them in pursuit of just recovery of national wealth. In general, the activitii and polices of the majority of the companies have not bee • marked by friendship for and cooperation with our countr, which has granted them such generous hospitality.

Their relations with the authorities have not been tho: of frank and decided cooperation; on the contrary, their gen­eral standard of behavior has been a systematic opposition nc.-. only to the laws and dispositions issued but even to the tecb nical regulations in the observance of which the opera coi-have been more benefitted than the Nation. Their activities. whether in the acquisition of concessions and exploitatio:. rights or in the purchase of lands and contracting of lease-. have not, in many cases, been notable for the scrupulous ness of the methods employed.

That is why the present Administration has placed anion;, the policies of its Six-Year Plan, as the expression of an ut-gent national necessity, the goal of "making effective the nationalization of the subsoil; of modifying the present systen: of concessions; of denying concessions contrary to the nation­al interest; of guaranteeing the national oil supply; of pre­venting monopolization of oil lands; and of intervening to establish an equilibrium between the economic forces of th petroleum industry, stimulating the development of nation;:! industries and creating an ORGANISM OF SUPPORT AND REGULATION."

in Veracruz; in the fields of the Panuco River basin m Northern Veracruz; from Panuco to Topila, extending from approximately 15 kilometers to the West of the town of Panuco some 22 kilometers to the East; and from Chapacao to Corcovado, to the North, as far as Chijoles and Quebra-che, 50 kilometers to the South. Immediately to the Nortli of the preceding wells are those of the Tamesi River basin. located partly in the Southern District of Tamaulipas an.: partly in Panuco, State of Veracruz. In recent years, the ex­ploitable zone in these beds has been greatly extended in a'-directions. Further South, various test drillings have bed carried out with a view to discovering new fields, of tn« existence of which there are numerous indications.

The zone known as the "Golden Lane" has been trulv remarkable for its enormous yield, which, up to the 30th o> April, 1937, amounted to 163,226,949 cubic meters (1,026.-697,509 barrels) and because it includes the most famoi" wells in the world, such as Cerro Azul No. 4, which cam-in in February, 1916, with an initial production of 41 r 500 cubic meters per day (261,000 barrels) and produce-up to and including June, 1936, 13,258,524 cubic metei> (83,396,116 barrels), and Potrero del Llano No. 4, whic*' since 1910, when it came in, produced, up to and inc'udi^ June 1936, 18,651,875 cubic meters (117,320,394 barrels' and is still productive. After reaching its maximum yield ' 1921, the "Golden Lane" began to decline in 1922, although this decrease stopped in 1932. It should likewise be point*"

O I L Z O N E S

A S P E C T S O F T H E P E T R O L E U M I N D U S T R Y I N M E X I C O 95

>i in the year 1921 and in subsequent years there «it l"'U,J

ej|'St.overcti such remarkable pools as those of Tierra verc MI , m a fl^ a n d San Isidro, all of which are produc BUnca, -j yjci(jfj at the present time. The decline ii iiv«, *' -.jjy'of this belt, and the failures which have ' ' ' ! prxDcricnccd in attempting to extend it, appear to in-

holds out only very small prospects; how-l,c«c that it now . the efforts to extend it have not been systematic,

0 < r r ' Vi •• scattered in relation to its total length, it cannot I U l ' " ' ^ins be definitely considered that there do not exist

*"•' int pools in the immediate surroundings of this zone. nnpw • ^ ^ i,e:;ment of this arc, there are several fields

which production has been obtained, although in relatively '" t! -1110111113. These fields are: Cincuenta, Tanhuijo, San *" j a j ^ n Sierra Amarilla, Molino, and San Miguel, on the

' •ndis' of the same names in the ex-Cantons of Ozuluama 'a i Tuxpam. The "Golden Lane" begins to the South of the

-Onton of Ozuluama and is practically wholly comprised * thin the ex-Canton of Tuxpam, both Cantons of the State f Veracruz. In its Northern extremity several wells have

, brought in at a short distance from the famous Dos B icis well, that is, within the area which had been considered it totally drained after the fire which killed this well in 190S thus proving that the field was not exhausted and that it poisibly extends to the North and Northeast.

Some 3 5 kilometers to the West of the "Golden Lane" ami 25 kilometers to the Southwest of the town of Ozulua-joj, the Comalcs field is under exploitation; although it has not yet given any great yield, this field is nevertheless inter­r i n g , as various producing horizons of gas and petroleum hav« been encountered.

Between Panuco and Tuxpam, various test wells have been drilled at depths of more than 1,000 meters, among them those in the Tamiahur. Lagoon. Other and still deeper test w*IU have been drilled in various regions of the country, among liicm being: Guerrero No. 3, in the Municipality of <Ju«rrero, North District of Tamaulipas, on the Northern border, completed February, 1931, at a depth of 2,405 meters; Palma Sola No. 10, in the Papantla region, com­pleted June 1932, at 2,394 meters; Jardin No. 35, to the South of the Tuxpam River, which, in August 1931, reached i depth of 3,3 5(5 meters in gray limestone, and up to April of this year was the deepest well in the world, as in no other country had any well been drilled to this amazing depth. Nevertheless, on April 22 of this year the Lillis Welsh No. 1 wt'l, in the Kettlcman Hills field at Los Angeles, California, woke the record set by Jardin No. 3 5, having reached a depth " -',298 meters, or 72 meters more; drilling continued and »> June last reached a depth of 3,336 meters. It was proposed 'o continue drilling up to 3,3 50 meters.

Many of these explorations, although carried out accord-!,\-; '••- excellent plans, have not been widespread or intense enough to determine definitely the possibilities of the regions m er investigation, all of them important and many very I romising. This has been the case in the frontier region of jWthcanern Mexico, as well as in the Center and South Poto""* °i T a m a u l i P a s a n d i n t n e Southeast of San Luis hnn ' 'T ^amiahua Lagoon, and in various parts of Ozu-"wml'1' *Pam> Tantoyuca, Chicontepec, Papantla, the the W* °X V c r a c m z > Western Tabasco, Northern Chiapas, *her> °h CCmt: °^ L o w e r California, and Southern Oaxaca, ind b tCSt W e^S ^ " ^ k a v e keen few and far between s'on of T m c a n s determine the location, nature, and exten-!'!>gs h . s t r u c t u r c s or of the deposits. Some of these dril-re8>on ^f XT ° W n P o s i t ' v e results, as for example, in the Mier <>f c o r l ™ f r h e r n Tamaulipas, where an important deposit thc Ca

Us t lbIe gas has been found, now in exploitation; in ps in i a r g 0 regi°n_of the same frontier zone, where fuel ^ l o i t c d ^ 0 < P a n t ' t ' e s h a s likewise been found and will be

; in the hacienda of Cincuenta, between the "Golden

Lane" and the sea; in Mecatepec, Palma Sola, and other regions.

The wonderful success obtained in Cacalilao, and the case of the Northern Panuco fields, which previously had been considered as non-productive, are other examples which should not be forgotten, when without sufficient positive data a field has been abandoned. Cacalilao alone has produced, up to June of the present year, 37,600,000 cubic meters (236,604,000 barrels.)

To the South of the Tuxpam River and covering a large area, explorations reach as far as the North of the State of Puebla on one side, and on the other side to the North of the Canton of Papantla. In this region, on both sides of the Cazones River, the important fields of Mecatepec and Poza Rica have been found. To the North of Papantla is the old Furbero field, still in production, from which explorations have been extended over an ample zone. One of the wells in this region, Mecatepec No. 4, was brought in in April, 1928, at a depth of 1,100 meters with an excellent producing ca­pacity of very light petroleum. From Furbero to the South­east, covering a large area, no real exploration work has been undertaken, with the exception of two wells in the field of Cocuite, State of Veracruz, near Puerto de Alvarado. Con­tinuing towards the Isthmus, there are no other drillings until we reach the field of Cuitlaxoyo in the ex-Canton of Acayucan, and in the important fields of the ex-Canton of Minatitlan, from Alor to the West of the Tehuantepec Railway, to Tonala and El Plan on the Tabasco border.

In the wide zone comprised within the former Canton of Minatitlan, deposits have been found, which, although of lower producing capacity than those in the North of Vera­cruz, yield a petroleum of better quality. Nevertheless, there are some, like the Francita well, which has produced 2,700,-000 cubic meters (16,983,000 barrels) in 14 years, and another, in Tonala, which has produced 6,950,000 cubic meters (43,715,000 barrels) in 9 years.

The first wells drilled in the Isthmus were shallow, of 133 to 300 meters. Those drilled in the last few years have struck various productive horizons at 150, 200, 600, 800, 900 meters and even deeper. The deposits of Ixhuatlan, San Cristobal-Capoacan, Soledad, Concepcion, Filisola, and Te-cuanapa were discovered with the earliest drillings, and in the last few years those of Tonala, Teapa, San Carlos, Francita, Filisola, Tonala or Agua Dulce, El Plan, El Burro, and new horizons at Ixhuatlan, Concepcion, Filisola, and Tecuanapa have been found.

The Teapa field lies about 7 kilometers from the coast and 10 kilometers to the East of the Coatzacoalcos River. Ixhuatlan is 5 kilometers South of the former field and 7 kilometers to the East of the Coatzacoalcos River. The To­nala field lies to the extreme Northeast of the Isthmus of Tehuantepec, near the border of the State of Veracruz with that of Tabasco, 8 kilometers more or less from the mouth of the Tonala river on the Gulf of Mexico and 3 kilometers to the West of the border of Veracruz with Tabasco. El Burro field is a short distance to the South of the Tonala field and almost adjacent to it. El Plan is located about 25 kilometers to the Southeast of Tonala and one kilometer to the West of the Tancochapa River, which forms the border line between the States of Veracruz and Tabasco and is a tributary of the Tonala River. The field of Soledad is on the left bank of the Coachapan River, a tributary of the Coatzacoalcos River, some 16 kilometers to the South of Mi­natitlan. The fields of San Cristobal and Capoacan lie on the right bank of the Coachapan River, 4 kilometers to the Southeast of the Soledad field. That of San Carlos is on the left bank of the Uzpanapa River, a tributary of the Coatza­coalcos, 11 kilometers Southeast of Minatitlan. Those of Concepcion and Francita, or Filisola, on each side of the Uz­panapa River and 21 and 23 kilometers, respectively, to the

9 6 M E X I C O ' S O I L f

South of Ixhuatlan. Finally the field of Tecuanapa, between the Uzpanapa River, tributary of the Coatzacoalcos, and the Xucuapan River, tributary of the Tancochapa, is situated 17 kilometers South of El Plan.

The deposits discovered in Teapa have been found at depths of between 115 and 391 meters. Those discovered in Tecuanapa have been found at depths of between 133 and 152 meters. On the other hand, in the fields of Filisola, or Francita, and in those of Tonala, El Plan, and El Burro, the depths at which deposits have been found vary as follows: Filisola, between 856 and 1,083 meters; Tonala, between 557 and 1,000 meters; El Plan, between 610 and 1,200 meters; and El Burro, between 757 and 971 meters.

Other wells have been drilled in various regions of the North of the Isthmus, although many of these have been merely test wells and others have been dry holes or else with no indication of gas or crude oil in commercial quantities. These wells have been drilled from North to South and from East to West, as follows:

Punta Gorda, in the extreme Northeast of the Isthmus, in the coastal zone close to the Tonala Bar. San Jose del Car­men, on the left bank of the Tancochapa River, to the South of El Plan. Pedregal, to the East of the Playas River and South of the Pedregal River, a tributary of the Tancochapa, which forms the border of the State of Tabasco, 24 kilo­meters Southeast of Tecuanapa. Santa Rosa, to the North of Teapa on the strip of coast between the Tonala and Coat­zacoalcos Rivers. Palmitota, to the Southeast of Teapa and Northeast of Ixtuatlan. Acalapa, on the lands comprised be­tween the fields of Ixhuatlan and Filisola and approximately 16 kilometers to the Northeast of the later. Pajaritos and San Eulalio, to the East of Puerto Mexico close to the Paja­ritos Lagoon, on the right bank of the Coatzacoalcos River. Tuzantepetl, on the right bank of the Coatzacoalcos River, approximately 12 kilometers to the South of Puerto Mexico. Santa Ana, on the right bank of the Coachapa River, South­west of the fields of San Cristobal-Capoacan. Buena Vista, 5 kilometers Northeast of Minatitlan and close to the Mina­titlan branch of the Isthmus Railway. Tonalapa, 11 kilo­meters Northwest of Minatitlan, on the Isthmus Railway. Chinameca, Potrerillos, Buena Vista, and Jaltipan, to the West of Minatitlan and close to the villages of the same names and corresponding stations of the Isthmus Railway. Ojapa, near the station of the same name on the Isthmus Railway. Sa-yula, near the village of that name and East of the station of Ojapa on the Isthmus Railway. El Juile, near the Isthmus Railway and approximately four kilometers from the railroad junction "El Juile." Finally, various old exploration camps between the rivers Chiquito and Coatzacoalcos, Southeast of Minatitlan.

Continuing East towards Tabasco, we find, first, on the right bank of the Tancochapa River, tributary of the Tonala River, and almost opposite El Plan, the field of Huimanguillo, still being explored. Further to the East, we find between Comalcalco and Villahermosa the new exploration field of Jalpa, and, following it to the South, in the Northern part of the ex-Department of Pichucalco, Chiapas, the new ex­ploration camps of the Municipality of Reforma; and, in the same vincinity, but to the South, other very old camps, such as those near El Misterio, that of La Union, Southeast of Oxtoacan, and the producing field of Caimba, South of the town of Pichucalco, on the borders of the State of Tabasco, with wells of small producing capacity, but of very high grade petroleum. In this Caimba field, which is at present the property of the Federal Government, oil and gas were discovered between 1908 and 1910 at various depths from approximately 60 meters to 650 meters; but commercial pro­duction comes from the horizons of 15 5, 200, 356, and 600 meters. Continuing towards the East, we find the explora­tion fields of Progreso and Limon, approximately 15 kilo­

meters Southeast of Villahermosa, and following them, in fyfa I cuspana, the fields of Belem and Sarlat, the former recent and f the latter very old, having been among the first wells drily * in 1883 by the then Governor of the State, Simon Sarlat, -w],. drilled to considerable depth in the districts where the indica­tions of oil were most abundant, although without success In other wells drilled three years later in the same vicinity a small production of crude of excellent quality was obtained at 174 meters. Various wells were drilled in subsequent years

in the same Sarlat field, the most important being those in. ; itiated in 1905 by Messrs. S. Pearson and Son, who explored .* the fields of Sarlat and San Fernando to the East of Ma. • cuspana with shallow test wells, in lands which showed fa. t vorable signs but which up to the present have produced onl\ * very small quantities of oil, although of excellent quality. Tjlc i most important wells drilled in this region are those of Be. I lem to the East of Sarlat, and to the Northeast of Macus- I pana.

Further Southeast, in the Northern region of the State of Chiapas, are found the exploration camps of Salto, Primavera, San Pedro, Naranjb, and Palenque. In Salto, which is close t to the village of that name, and on the banks of the Tulijj '-River, and in Palenque, on the banks of the Chacamax River, several wells were drilled to the depths of 844, 956, 1,1}3 -and 1,267 meters. No success was obtained, although the zone -was considered promising. Further to the Northeast no dril- t ling has been carried out except in the North of the State of £ Yucatan, where in 1904 three wells were drilled near Me-rida and proved to be non-productive; another, drilled in J Progreso, likewise turned out to be unproductive. In the Hacienda of Misnebalan, also in Progreso, a well was drilled to the depth of 1,067 meters during the years 1917 to 1919; * only indications were found and the well was finally aban­doned as unproductive, although at the same time interesting , data were obtained on the formation of the great tableland | of the North -of the State of Yucatan, which appears to con- -, tain oil-bearing formations at considerable depths,

In recent years test wells have been drilled in various new t

zones, such as the Eastern coast of the Northern District of ; Lower California, and the Northern parts of the States of Coahuila, Nuevo Leon and Tamaulipas, along the border be­tween Mexico and the United States; in various parts of tk center of the State of Nuevo Leon, the center and South of -the State of Tamaulipas, and the Southeast of San Luis Po- * tosi. In all of these zones, the formations are propitious and. * in many, superficial signs constitute a favorable guide. Tte \ work along the Northern frontier has been acquiring increas- }

ing importance with the added confidence in the prospects of j this region because of the continual approach towards ow « border of the extensive and rich fields of Southern Texs [ Furthermore, in various of the wells drilled by different cow- > panies in the Northern districts of our frontier States, pw- t mising signs of both gas and oil have been found at various J horizons and in some cases of considerable importance, as u .-the wells drilled in Camargo and Mier, in Northern Taffl'0; ,* lipas, where in one well alone the gas production is estimat?» at 400,000 cubic meters a day (more than 14,000,000 cubtf ; feet.)

All of this has led to considerable optimism with fr ' spect to work in the North, and has resulted in the carry1"? ^ out of important explorations, particularly in geophyslC* . surveys, so that it is felt that once drilling is placed oft J, definite and methodical basis, complete success will be oil'' tained in this region. {

Efforts have been made to open up new fields in van ^ parts of the Gulf Coast by means of test wells to lay i the line of future operations. Of these efforts, the best ,-ordinated were those carried out in the North of the IstJJ_t | of Tehuantepec, namely in Chinameca, Acalapa, Santa Punta Gorda and Pedregal. Various isolated drillings

A S P E C T S O F T H E P E T R O L E U M I N D U S T R Y I N M E X I C O 9 7

• ,• k i n made in the Valley of Mexico, the most recent !'.:1 . ilui .1; Acozac, in the North of the Valley, and those

!n''"lw l ) ^ , , :' L a k e T e x c o c o >

I'riilit. lb all the fields we have mentioned are scattered 1 p.111 i'l' the Northern border and in various parts of

1,̂ (inlf Ci •.>>:, but they cover such small areas that it is not 1.. "•Mi- to 1'1'iiin from them alone even an approximate idea

'f t"]v rol.i'.i MIS that may exist between the various forma-11s and "' ( l i e continuity or otherwise of the oil-bearing •iii-iuu"- Nevertheless, as we have indicated elsewhere, this

",vi i>i ilw Mexican territory, because of its geological forma-• " l l s ujulii'ations and tectonics, as well as because of the iiiivni."- "•» ' 'ace indications of the existence of oil (see-

'••l _ ;., pvJsely where the greatest certainty is felt that oil [wuiiis in .••"-•ater number and of greater productivity than iliiisi- 'J fi'' • \ploited will eventually be found. Geologically, ,]| tint !\':"ii'-i has been called the "Coastal Plain of the Gulf."

liiwu-v Hi' their geological formation, the Eastern coast of Lover ( difornia, part of the coast of Sonora and Sinaloa, .inJ ivrli.i,.->- p irt of the coast of Jalisco and Colima are like­wise L-ciiisuli-iviI as probable oil-producing areas. In Pochutla, ,ni ilie O i \ u '• coast, the subsoil formations and the seepages

of oil have been considered sufficient indications of the ex­istence of oil deposits, for which reason a company carried out some regular drilling operations, but without finding oil in paying quantities. The narrow coastal belt of the State of Chiapas along the Pacific is also considered in places as a pos­sible oil-producing area.

Only three wells, in areas far apart from one another, have been drilled on the East coast of the Northern District of Lower California, but none of these has been definitely ter­minated; consequently, sufficient data have not yet been obtained as to formations which may be workable in this region.

In the remainder of the Republic, no real explorations properly speaking have been carried out, because of the very deep-seated prejudice that oil in large quantities' is only found in low-lying countries close to the sea, which is, of course, not true, and a good proof of this, among others, are the large-scale exploitations of the central regions of the United States of America and even in the mountainous parts of Wyoming, Colorado, etc. Nevertheless, although real ex­ploration has not been made, some indications of petroleum have been found in isolated sites of the States of Chihuahua, Durango, Coahuila, Nuevo Leon, and Jalisco.

1 ) E S C R I P T I O N O F P E T R O L E U M A N D GAS F I E L D S A T P R E S E N T I N P R O D U C T I O N

In ilie ir.ip accompanying this Report (Appendix No. .1u) are slim-ii all the oil fields in Mexico which have been, IT aic at piv-jnt, under exploitation.

Tin1 di-i-ription which follows covers only those fields actu.illy in production, which for greater clarity have been grouped j^uj'.raphically according to their location in the v.uiijus si.itct of the Republic.

'I he 1111.1 concerning these fields were furnished by the Petroleum llureau of the Department of National Economy Jin! liy the Geological Institute of the National University, lor publiciti.i:i in a technical review in 1935,"' and have been bronchi up to date by the inclusion of the wells drilled irom 193* ••! 1937 and of the figures for production dur­ing 19U.

STATE OF SAN LUIS POTOSI EL LIMON FIELD

(PETROLEUM)

I Di illi'->;: On the borders of the States of San Luis Potosi '!,. ' u ' 'u ' ' ' i i / : Municipalities of Villa Guerrero, San Luis, and I •inik-o, Ver.kiruz; lot " F " of the Hacienda of El Limon. •"i- field it <.ituated 77 kilometers West of Tampico. ... *•;'*'_"!'• n•" The existence of an oil pool in the lagoon of • _i.imn;i. Muated w j t h m the Hacienda of the same name, '•ui hivn kim.vn for a long time. The first producing well,

I """'-•'"••i.iinila No. 6, was drilled by the Compaftia Petro-\lx {'"".'•"-'•••panola, and completed in September, 1922, at a ^"•P'l in , r, \.i meters. The initial production of this well Xls ' t l l l} '^ meters, with a density of 0.975.

c""'''".: •,: Undetermined. '"•'''''i'l formations: The principal producing horizon

.1' . Ill'ol'»i«.iod in gray shale belonging to the upper part of • o w , j 1 ' . \ lvtaceous or the lower part of the Upper Creta-

.• '• wh:i,i produces oil with an asphaltic base and a den-"y of 11.97*.

Weekly," March 18, 19S5.

Development: To date 43 producing wells and 65 dry holes have been drilled in this field.

Production obtained: 13,045 barrels were produced in this field during 1936.

Principal concessionnaire; Cia. Petrolera Franco-Espafiola, S. A.

Present activities: Exploitation of the wells and transpor­tation of the oil produced. No new drilling has been done in 1937.

EBANO FIELD

(PETE.OLEUM)

Location: The Ebano field is situated partly in the State of San Luis Potosi and partly in the State of Veracruz; Mu­nicipality of Villa Guerrero and Valles, S. L. P., and Muni­cipality of Panuco, Ver. The field is located 65 kilometers West of Tampico.

Discovery: The known seepages in the vicinity of Ebano helped to determine the location of the first wells. The first productive well was drilled by the Mexican Petroleum Com­pany and given the name of Pozo la Pez.No. 1; it was com­pleted at a depth of 502.92 meters in April, 1904; initial production was 240 cubic meters of oil with a specific gravity of 0.98.

Geology: The formation is a secondary fold of the great Panuco structure. The petroleum is found accumulated in the highest parts of the structure, which is affected by faults. Petroleum is also found in the cavities formed by the in­trusion of igneous rocks.

Producing formations: The principal producing horizon is the Tamaulipas limestone of the Lower Cretaceous. The heavy oil of asphaltic base produced in this field has a gravity of 0.988.

Development: 210 producing wells and 277 dry holes have been drilled to date.

Production: During the year 1936, 1,228,638 barrels of petroleum were produced in the Ebano field.

98 M E X I C O ' S O I L

Principal concessionnaire: The Mexican Petroleum Com­pany, belonging to the Huasteca group.

Present Activities: Exploitation of the wells and the trans­portation of the oil extracted. No new drilling has been carried out in 1937.

STATE OF TAMAULIPAS ALTAMIRA FIELD

(PETROLEUM)

Location: Southern District of the State of Tamaulipas, Municipality of Altamira. The field is situated 55 kilometers Northwest of Tampico.

Discovery: Oil seepages found in various places aided in the location of the first well drilled in this field. The first producing well, Pozo Altamira No. 30, was drilled by the American'.International'.and Petroleum Company and was brought into production in June, 1926, at a depth of 453 meters; the initial'production .was 5 50 cubic meters of oil with a density of 0.89.

Geology: Anticline structure with faults. Production is obtained only from the highest parts of the structure which present the most fractured zones.

Producing formations: Production comes from a limestone found at the base of the Upper Cretaceous and in the high part of the Lower Cretaceous. The petroleum produced in this field has an asphalt base and a specific gravity of 0.89.

Development: Up to December, 1936, 18 producing wells and 127 dry holes had been drilled in this field.

Production: 347,328 barrels were produced during 1936.. Principal concessionnaire: The American International and

Petroleum Company. Present activities: During the first six months of 1937,

six wells were drilled in this field.

LA PRESA FIELD

(GAS)

Location: State of Tamaulipas, Municipality of Ciudad Mier, ranch of La Alberca. The field lies fifteen kilometers South of Ciudad Mier.

Discovery: The first gas-producing well was drilled by the Ohio Mex Oil Corp. and was named "La Presa No. 1." It was completed in October, 1931, at a depth of 614.14 meters, with an initial production of 376,560 cubic meters of gas per day.

Geology: Anticlinal structure. Producing formation: • The geological log indicated that

the gas horizon is located in limestone and gray sand forma­tions but the geological age of these formations has not been precisely determined.

Development: Up to December, 1936, six producers and one dry hole were drilled.

Principal concessionnaire: The Ohio Mex Oil Corporation. Present activities: Exploitation of gas wells and transpor­

tation of the product to Monterrey.

RANCHERIAS FIELD

(GAS)

Location: State of Tamaulipas, Municipality of Camargo, Lot No. 19 of the Camargo ejidos. The field lies approximate­ly 4 kilometers Northwest of the City of Camargo.

Discovery: The first gas-producing well was drilled by the Ohio Mex Oil Corporation and named "Rancherias No. 1."

It was completed in June, 1933, at a depth of 386.67 meters, with an initial production of 1,228,000 cubic meters of gas,

Geology: Anticlinal structure. Producing formation: Gray sands at 393 meters, of un­

determined geologic age. Development: Up to December, 1936, two producing

wells and three dry holes. Principal concessionnaires: The Ohio Mex Oil Corporation

and the Administracion General del Petroleo Nacional (Gen­eral Administration of National Petroleum.)

Present activities: One gas well was drilled during the first six months of 1937.

STATE OF VERACRUZ ALA2AN FIELD

(on.)

Location: Hacienda of Alazan, Municipality of Temapa-che, State of Veracruz. The field is situated 42 kilometers Northwest of the city of Tuxpam and is comprised within the so-called "Golden Lane."

Discovery: The first well in this field was "Alazan No. 4" drilled by the Compafiia Mexicana de Petroleo "El Agui-la," S. A., and completed in July, 1912, at a depth of 609.61 meters, with an initial production of 1,590 cubic meters ot oil with a specific gravity of 0.915.

Geology: This structure is the continuation, towards the South, of the Juan Felipe structure. It consists of an asym­metrical anticline with two longitudinal faults, one on either flank, both showing large displacements. The anticline has a sinuous peak.

Producing formation: Production is found within a nar­row zone of the anticlinal peak. The principal producing horizon is located in the limestone known as "El Abra" be­longing to the Lower Cretaceous; it is, generally speaking, very compact. The specific gravity of oil produced in this field is 0.915.

Development; Up to December, 1936, 9 producing wells and 17 dry holes had been drilled.

Production: During 1936, Alazan Field produced 196,531 barrels of petroleum.

Principal concessionnaire: The Compafiia Mexicana de Petroleo "El Aguila," S. A., holds the concession to the lands on which the Alazan Field is located.

Present activities: Exploitation of wells and transporta­tion of oil produced. No new wells were drilled during the first six months of 1937.

CASIANO A N D CHINAMPA DEL NORTE FIELD

(PETROLEUM)

Location; State of Veracruz, Municipality of Chinampii Northern part of the hacienda of Chinampa. The field is located about 67 kilometers Northwest of Tuxpam, within the so-called "Golden Lane."

Discovery: First drilling locations were established neat existing oil seepages. The first producing well, "Casianb No-2," of the Huasteca Petroleum Company, was finished in November, 1909, at a depth of 470.93 meters, with an in­itial daily production of 32 cubic meters of 0.926 gravity oil-

Geology: The structure consists of an asymmetric anti­cline, considered to be the Southern continuation of the Tc-petate anticline; it has two longitudinal faults, one on each flank.

Producing formation: The producing wells are located on a narrow belt situated along the length of the peak of the

A S P E C T S O F T H E P E T R O L E U M I N D U S T R Y I N M E X I C O 99

tifl'iu; ihe oil comes from "El Abra" limestone, which is *e'ilk ve"y compact and belongs to the Lower Cretaceous.

'Ik.- oil pni-Iuced has a mixed base of asphalt and paraffin. DtiJiihwent: Up to December, 1936, 12 producers and

<; clr\ hole, had been drilled. Prii.liii I-on; This field, together with that of Chinampa

| ' | Sur, produced 721,463 barrels of petroleum in 193 6. Ptiiinl'.:! concessionnaire: Huasteca Petroleum Company. Pir^iii' \ctivities: Exploitation of the wells and transpor-

' ition of ihe oil produced. No new wells have been drilled during the first six months of 1937.

CACALILAO FIELD

(PETROLEUM)

I.mat inn: Hacienda of Cacalilao, Municipality of Panuco, Mate of Veracruz. The field is located 43 kilometers West ,if T.nnpico and forms part of the Panuco field.

Diuoirry: The first producig well in this field, "Cacali-l.io 1-A," was terminated in April, 1922, by the International I'liroli-um Co., at a depth of 472.44 meters, with 480 cubic incurs of A.982 gravity oil as initial production.

(7i nbi, •,: The structure is a continuation of the Panuco .iniiclinc: the accumulations of oil are found in the upper parts of tlu structure, which have fractured zones and large i.i\itii'c.

1'ntJncirg formation: The oil comes from a limestone sit­uated in t'ne upper part of the Lower Cretaceous and the lower part of the Upper Cretaceous. The oil has an asphaltic li.iv? and a specific gravity of 0.982.

DiTrlnj'weiit: 484 producers and 768 dry holes had been iliilled up to December, 1936.

PrnJudion: In 1936, Cacalilao Field produced 3,079,402 barrels of oil.

Pfi >rnt Activities: Exploitation of the wells and transpor­tation of the oil produced. No new wells were drilled during iho fi^t sis months of 1937.

CERRO VIE JO FIELD

(PETROLEUM)

Iin-ti//,,!-- Hacienda of Cerro Viejo, Municipality of Te-"• ip.iclie, State of Veracruz. This field is located 42 kilomc-u1 '1!4 fl^ Tuxpam and is included within the so-called "Gulden T ane."

Diu-ni.-ry: The existing oil seepages in the field were taken as nf^rence for locating the first well drilled in 1883; •« snia.l uncommercial production was obtained. The first !<>mmo.-,.ul!sr paying w e l h "Cerro Viejo No. 3," was drilled »»• the Oil. Mexicana de Petroleo "El Aguila," S. A. It was u-rmuntec! in November, 1921, at a depth of 601.36 meters, V 1 , ? n o cubic meters of 0.915 gravity oil as initial pro-"iiction.

"'"'".': l: The structure is a continuation towards the >ui i o the p 0 t r e f 0 <y[ Llano anticline; it is asymmetric

pre-oni. two longitudinal faults, one on each flank. nlm. :>.g formation: The producing wells are located on

co"".1'^" ' V ' t ^ y i n g a * o n g t^ ie p e a ^ °* ^ a n t i c l ' n e - The oil l' '•'.'-'"-""ally from a limestone belonging to the Lower

• acwnn. i t n a s a m ; x e c j hase cf a s ph a l t and paraffin and " SPCC,'K' jrravity of 0.915.

,)r<'l'>l<ment: 27 producers and 25 dry holes had been •lrilI«I «p to December, 1936.

m jq r" : /"" ' 'o w : Cerro Viejo Field produced 237,925 barrels

Present activities: Production and transportation of oil. No new wells were drilled during the first six months of 1937.

FIELD OF CHICONCILLO SAN MIGUEL

(PETROLEUM)

Location: State of Veracruz, Municipality of Tantima, hacienda of Chiconcillo and San Miguel. The field is located 110 kilometers South of Tampico.

Discovery: The location of the first well was based on the existence of eight important oil seepages observed in the Municipality of Tantima. The first producing well, "Chi­concillo No. 1," was drilled by the Cia. Petrolera de Tepe-tate, S. A., and was terminated July, 1918, at a depth of 652.88 meters, with an initial daily production of 5,575 cubic meters of 0.926 gravity oil.

Geology: The structure consists of an asymmetric anti­cline which is a continuation of the San Jeronimo anticline lying to the North. The Chiconcillo anticline has two lon­gitudinal faults, one on each flank, the anticlinal peak being extremely sinuous.

Producing formation: The oil comes from "El Abra" limestone belonging to the Lower Cretaceous and has a mixed base of asphalt and paraffin.

Development: 16 producers and 22 dry holes had been drilled in this field up to December, 1936.

Production: During 1936, Chiconcillo San Miguel field produced 64,825 barrels of oil.

Present activities: Exploitation of the wells and transpor­tation of the oil produced. No new wells were drilled during the first six months of 1937.

FIELD OF CHINAMPA DEL SUR

(PETROLEUM)

Location: On the Southern portion of the Chinampa ha­cienda in the Municipality of Chinampa, State of Veracruz. The field is situated 65 kilometers North of Tuxpam within the so-called "Golden Lane."

Discovery: The first drilling was located by the existing oil seepages. The first producing well, "Ovando No. 2," drilled by R. E. Brook, was terminated in December, 1918, at a depth of 618.74 meters, with an initial daily production of 4,000 cubic meters of petroleum with a specific gravity of 0.925.

Geology: The structure is an asymmetric anticline con­sidered to be a continuation to the South of the Casiano anticline. It has two longitudinal faults, one on each flank.

Producing formation: The productive wells are located on a narrow belt situated over the anticlinal peak. The oil comes from "El Abra" limestone belonging to the. Lower Cretaceous and has a specific gravity of 0.925.

Development: Up to December, 1936, 44 producers and 29 dry holes had been drilled in this field.

Production: This field, together with that of Casiano and Chinampa del Norte, produced 721,463 barrels of pe­troleum in 1936.

Present activities: Exploitation of the wells and transpor­tation of the oil produced. No new wells were drilled during the first six months of 1937.

DOS ROC AS FTELD

(PETROLEUM )

Location: This field, which is also known by the name of San Diego de la Mar, is located on the hacienda of San

100 M E X I C O ' S O I L

Diego de la Mar in the Municipality of Tamalin, State of Veracruz, approximately 50 kilometers South of Tampico.

Discovery: The first well was located by the observation of the existing seepages. The first producing well was Dos Bocas No. 3, drilled by the Pennsylvania Oil Co. of Mexico and completed in July, 1908, at a depth of 555.93 meters, with an initial daily production of 16,000 cubic meters of 0.939 gravity oil. The properties of the Pennsylvania Oil Co. of Mexico were subsequently transferred to the Cia. Mexi­cans de Petroleo "El Aguila," S. A. This was really the first big producing well in Mexico; it caught fire and could not be extinguished until the flow of oil was exhausted.

Geology: The structure is an asymmetric anticline with a broad fault on one of the flanks. Production is limited to a very narrow zone along the crest of the anticline; it should be noted that only the higher parts, and not the entire crest, are productive.

Producing formation: The oil flows from compact lime­stone known as "El Abra" belonging to the Lower Creta­ceous; it has an asphaltic base and a specific gravity of 0.939.

Production: 20,053 barrels were produced in this field during 1936.

Principal concessionnaire: Cia. Mexicana de Petroleo "El Aguila," S. A.

Present activities: Exploitation and transportation of pro­duction. During the first six months of 1937 no new wells have been drilled.

GOLDEN LANE

(PETROLEUM)

CHAPAPOTE, ALAMO, JARDIN, PASO REAL, AND SAN ISIDRO FIELDS

Location: State of Veracruz, Municipality of Temapache, haciendas of Chapapote, Alamo, Jardin, Paso Real, and San Isidro. These fields form a single oil region originally known as the "Golden Lane," a name later extended to cover the entire zone as new fields were successively discovered to the North. The district comprising the five fields cited is sit­uated approximately 31 kilometers "West of Tuxpam.

Discovery: The first locations were made on the basis of the existing seepages. "Alamo No. 1," belonging to the Penn Mex Fuel Co. was the first producer; the well was completed in May, 1913, at a depth of 666.29 meters. Initial daily production was 48 cubic meters of oil with a specific gravity of 0.909.

Geology: The structure is an extension to the South of the Tierra Blanca anticline, flanked on either side by longi­tudinal faults.

Producing formation: The producing wells in this district have been located within a narrow belt on the anticlinal crest. The producing formation is "El Abra" limestone belonging to the Lower Cretaceous and the oil has a mixed base of asphalt and paraffin, with a specific gravity varying between 0.860 and 0.927.

Development: Up to December, 193 6, 100 producing wells and 105 dry holes had been drilled in this district.

Production: During the year 1936, the production obtain­ed from this district was as follows: Chapapote, 113,748 bar­rels; Alamo, 184,373 barrels; Jardin, 42,577 barrels; and Paso Real, 402,245 barrels.

Principal concessionnaire: Penn Mex Fuel Company. Present activities: Exploitation and transportation of oil

produced. No drilling was done in the first six months of 1937.

FIELD OF AMATLAN DEL SUR

(PETROLEUM)

Location: State of Veracruz, Municipality of Amatlan, Southern part of the hacienda of Amatlan. The field is sit­uated approximately 60 kilometers Northwest of Tuxpam, within the so-called "Golden Lane."

Discovery: The first producing well, "Zacamixtle No. 1," was drilled by the Cia. Mexicana de Petroleo "El Aguila," S. A., and was completed in October, 1920, at a depth of 674.51 meters, with an initial daily production of 8,000 cubic meters (specific gravity 0.926.)

Geology: The structure is a continuation to the South of the asymmetrical anticline Naranjos Amatlan del Norte; it has two longitudinal faults, one on each flank.

Producing formation: The producing wells are located in a narrow belt situated along the crest of the anticline. The oil flows from "El Abra" limestone belonging to the Lower Cretaceous; its specific gravity is 0.926.

Development: Up to December, 1936, 107 producing wells and 77 dry holes were drilled in this field.

Principal concessionnaire: Cia. Mexicana de Petroleo "El Aguila," S. A.

Production: During 193 6 this field, together with that of Naranjos and Amatlan del Norte, produced 2,175,132 barrels of petroleum.

Present activities: Exploitation and transportation of oil produced. No new drilling was done during the first six months of 1937.

EL BURRO FIELD

(PETROLEUM)

Location: State of Veracruz, Municipality of Puerto Me­xico, hacienda of Gavilan Sur. The field is located 40 kilo­meters East of Nanchital and approximately 47 kilometers Southwest of Puerto Mexico.

Discovery: The first locations were based upon a geophy­sical study of the region. The first producing well was "El Burro No. 1," drilled by the Cia. Mexicana de Petroleo "El Aguila," S. A., and completed in May, 1931, at a depth of 8 54.72 meters, with an initial daily production of 480 cubic meters (specific gravity 0.844.)

Geology: The structure consists of a saline dome. Producing formation: Sand layers of the Lower Miocene,

generally separated by thin layers of hard shale; production is found both on the flanks and on the higher part of the dome.

Development: Up to December, 1936, a total of 46 pro­ducing wells and dry holes were drilled in this field.

Production: During the year 1936, production from this field, together with that of Tonala, which adjoins it, was 3,318,579 barrels of petroleum.

Principal concessionnaire: Cia. Mexicana de Petroleo t' Aguila," S. A.

Present activities: Exploitation of wells and transporta­tion of the oil produced. No new wells have been drilled during the first six months of 1937.

EL PLAN FIELD (LAS CHOAPAS)

(PETROLEUM)

Location: State of Veracruz, Municipality of Minatitl'"1,

The field is located 45 kilometers Southeast of Nanchitah

A S P E C T S O F T H E P E T R O L E U M I N D U S T R Y I N M E X I C O 101

k'lonietcrs Southeast of Puerto Mexico, and 54 kilometers East f Minatitlan, in the center of the hacienda of El Plan.

Discovery: The first locations were based on geophysic investigations carried out in the region. The first producing

-•11 was "El Plan No. 1" of the Real Estate Company of Mexico, completed in February, 1931, at a depth of 665.36 'icters with an initial daily production of 159 cubic meters ,f petroleum with a paraffin base and a specific gravity of

0.927. , , , CiColc'V' The structure consists of a salt dome. Producing formation: The oil flows from Miocene sand

strata separated by layers of shale, the producing sands being found only on the flanks of the dome. The specific gravity c-.f the oil now produced is the same as that of the first well drilled.

Development: 47 producing wells and 9 dry holes had ix-cn drilled in this field up to December, 1936.

Production: During the year 1936, this field produced 6.3 51.77'! barrels of petroleum.

Principal concessionnaircs: Cia. Mexicana de Petroleo "El Agtiila," S. A., and Petromex.

Present activities: During the first six months of 1937, iwo producing wells were drilled in this field.

FILISOLA FIELD (FRANCITA)

(PETROLEUM)

Location: State of Veracruz, Municipality of Minatitlan, hacienda of Filisola. The field is situated approximately 46 Icilomctcrs Southwest of Minatitlan and 60 kilometers South of Puerto Mexico.

Discovery: The first producing well was "Filisola No. 7" of the Cia. Mexicana de Petroleo "El Aguila," S. A., com­pleted in December, 1923, at a depth of 856.62 meters, with an initial daily production of 16 cubic meters of oil with a paraffin base and a specific gravity of 0.924.

Geology: The structure consists of a salt dome, approxi­mately oval in shape.

Producing formation: Miocene sands alternating with layers of hard shale.

Development: Up to December 1936, 87 producing wells and 29 dry holes had been drilled in this field.

Production: During the year 1936, Filisola produced 6 95,85 6 barrels of petroleum.

Principal conccssionnaire: Cia. Mexicana de Petroleo "El Aguila," S. A., which is the only company exploiting this field.

Present activities: Exploitation of wells and transporta­tion of oil produced. No new wells have been drilled during 'lw first six months of 1937.

FURBERO FIELD

(PETROLEUM)

Location: State of Veracruz, Municipality of Coatzin-<••». hacienda of Furbero. The field is located approximately

. kilometers Southwest of Tuxpam and 25 kilometers West °i 1'apantla.

Discovery: The first locations were based on existing oil ^pages. The first producing well was "Furbero No. 2" of

the Odficlds of Mexico Co., completed in October, 1907, at tcpth of 5 80.64 meters, with an initial daily production

ot 4 cubic meters. ijeotofty. The structure consists of an anticline some-

wt. modified by an igneous intrusion; it is believed that " intrusion occurred after the formation of the fold.

Producing formation: There are two kinds of producing horizons. One is encountered in a layer of shales and the other in a "gabbro" layer. There exist three producing oil zones, two of which belong to the former classification and the third to the igneous rocks. The oil which comes from these horizons varies in specific gravity from 0.907 to 0.856 and has a mixed asphalt and paraffin base.

Development: Up to December, 1936, 14 producing wells were drilled in this field; there are no data available as to the number of dry holes.

Production: During, the year 1936, Furbero Field pro­duced 39,797 barrels of petroleum.

Principal Concessionaire: Oilfields of Mexico Co. (Com-pania Mexicana de Petroleo "El Aguila," S. A.)

Present activities: Exploitation of wells and transporta­tion of oil produced. No new wells have been drilled during the first six months of 1937.

MECATEPEC FIELD

(PETROLEUM)

Location: State of Veracruz, Municipality of Tihuatlan, hacienda of San Miguel Mecatepec. The field is situated ap­proximately 25 kilometers North of Papantla and 57 kilo­meters Southwest of Tuxpam.

Discovery: Any surf ace • indications which • may have served to locate the first wells are unknown. The first pro­ducer was "Mecatepec No. 4," belonging to the Cia. Mexica­na de Petroleo "El Aguila," S. A., which was completed in February, 1928, at a depth of 1,099.72 meters, with an initial daily production of 1,121 cubic meters of 0.898 specific gravity petroleum.

. Geology: No data are available regarding the geology of this field, either in the. Petroleum Bureau or in the Geolog­ical Institute of the National University.

Producing formation: The production comes from hard shaly clay which belongs probably to the Eocene or to the highest part of the Upper Cretaceous. The oil. has a specific gravity which varies between 0.898 and 0.904.

Development: Up to December, 1936, two producing wells and three dry holes had been drilled.

Production: In 193 6, Mecatepec produced 1,642 barrels of petroleum.

Principal Conccssionnaire: Compania Mexicana de Petro­leo "El Aguila," S. A.

Present activities: Exploitation and transportation of pro­duction. No new drilling was done during the first six months of'1937. ::

NARANJOS A N D AMATLAN DEL NORTE FIELD

(PETROLEUM)

Location: State of Veracruz, Municipality of Amatlan, Northern part of the hacienda of Amatlan. The field is situated approximately 64 kilometers Northwest of Tuxpam and 132 kilometers Southwest of Tampico, within the so-called "Golden Lane."

Discovery: The first productive well was "Naranjos No. 1," belonging to the Cia. Mexicana de Petroleo "El Agui­la," S. A., completed in September, 1913, at a depth of 574.75 meters, with an initial daily production of 8,000 cubic meters of 0.925 specific gravity petroleum.

Geology: The structure consists of an asymmetrical anti­cline which is considered to be a continuation to the South of the Chinampa structure, with two longitudinal faults, one on each flank.

102 M E X I C O ' S O I L

Producing formation: The producing wells are situated in a narrow belt along the anticlinal crest, production (0.925 specific gravity) being obtained from "El Abra" limestone belonging to the Lower Cretaceous.

Development: Up to December, 193 6, 37 producing wells and 19 dry holes had been drilled.

Production: During 1936, this field (together with that of Amatlan del Sur) produced 2,175,132 barrels of petroleum.

Principal Concessiomiaire: Compafiia Mexicana de Petro-leo "El Aguila," S. A.

Present activities: Exploitation and transportation of pro­duction. No new drilling was done in the first six months of 1937.

PANUCO FIELD

(PETROLEUM )

There is a great number of fields located on the great Panuco structure, situated in the Panuco District. Each of these oil fields has a special designation, according to the name of the property in which it is located, but all of them make up the great Panuco Field or District, the description of which follows:

Location: State of Veracruz, Municipality of Panuco. The center of this great field is situated approximately 40 kilo­meters Southwest of the City of Tampico.

Discovery: The first wells were located on the basis of the existence of seepages in various places. The first produc­tive well was "Tierritas Blancas 4 0 1 " of the East Oil Com­pany, terminated in September, 1910, at a depth of 53 8.2 meters, with an initial daily production of 159 cxibic meters of petroleum (specific gravity, 0.981.)

Producing formation: This oil flows from limestone which is not found in a constant or fixed horizon, inasmuch as the oil accumulation is governed not only by the relative alti­tude of the structure, but also by the presence of cavities and fracture zones in the limestone. Production is extracted from the lower part of the tipper Cretaceous, and the highest part of the lower Cretaceous. The crude has an asphalt base and a specific gravity of 0.981.

Development: Up to December, 1936, 988 productive wells and 1,091 dry holes had been drilled in the Panuco Field.

Production: During 1936, 3,033,120 barrels of petroleum were produced by the Panuco Field.

Principal Concessionaires: There is a great number of concessionnaires, the property being highly divided in this field.

Present activities: Five wells were drilled in the Panuco Field during the first six months of 1937, of which two were productive and three dry holes.

POTRERO DEL LLANO FIELD

(PETROLEUM)

Location: State of Veracruz, Municipality of Temapache, hacienda of Potrero del Llano. The field is situated 160 kilo­meters Southeast of Tampico and approximately 45 kilometers Northwest of Tuxpam, in the so-called "Golden Lane."

Discovery: "Potrero del Llano No. 4," of the Cia. Mexi­cana de Petroleo "El Aguila," S. A., was the first productive well; drilling was completed in December 1910 at a depth of 5 82.47 meters, with an initial daily production of 15,900 cubic meters of petroleum (specific gravity, 0.922.)

Geology: The structure consists of an asymmetrical anti­cline, which is a continuation to the South of the Alazan

structure and has two important longitudinal faults, one on each flank.

Producing formation: The productive wells are located on a narrow- belt along the crest of the anticline and the oil comes from "El Abra" limestone belonging to the Lower Cretaceous. The petroleum produced in this field has an asphalt base and a specific gravity of 0.922.

Development: 13 productive wells and 11 dry holes had been drilled up to December, 1936.

Production: During 1936, Potrero del Llano Field pro­duced 33 5,452 barrels of petroleum.

Principal Concessiomiaire: Cia. Mexicana de Petroleo "El Aguila," S. A.

Present activities: Exploitation of the wells and transpor­tation of the oil produced. No new drilling was done during the first six months of 193 7.

POZA RICA FIELD

(PETROLEUM AND GAS)

Location: State of Veracruz, Municipality of Coatzintia, hacienda of Poza Rica. The field is situated approximately 64 kilometers Southwest of Tuxpam.

Discovery: There are no data available as to the investi­gations carried out prior to the localization of the first wells. The first productive well was "Poza Rica No. 2," of the Cia. Mexicana de Petroleo "El Aguila," S. A., completed in July, 193 0, at a depth of 2.047.2 meters, with an initial daily production of 5 cubic meters of petroleum and 2,882 cubic meters of gas. The specific gavity of the oil was 0.772.

Geology: The structure of the field is a wide anticline running East Southeast, some ten kilometers long by six wide, and disappearing towards the East. It is probably 200 meters from top to bottom and production is derived at a depth varying between 2,000 and 2,200 meters.

Producing formation: The oil flows, at 2,000 to 2,200 meters, from Tamabra limestone which in this zone has three facies: the batial, an intermediate of saccharine-like texture, and that of corraline stone which is, properly speaking, the producing structure and belongs to the "Abra."

Development: 16 productive wells and 1 dry hole had been drilled at Poza Rica up to December 1936.

Principal Concessionnaires: Cia. Mexicana de Petroleo "El Aguila," Stanford and Co. Ltd., and Petromex.

Present activities: Exploitation of the wells and transpor­tation of the oil produced. During the first six months of 1937, drilling has been carried on in well 19 of the Aguila Company, not yet completed.

SAN JERONIMO FIELD

(PETROLEUM)

Location: State of Veracruz, Municipality of Tamalin. hacienda of San Jeronimo. The field is situated 92 kilo­meters Southwest of Tampico, to the South of the Carbaj.il Estuary, opposite the field of San Diego de la Mar.

Discovery: The first drillings were located on the basis of existing seepages on the hacienda San Jeronimo. The firs1

productive well was "San Jeronimo No. 2," of the Cia. Mexi­cana de Petroleo "El Aguila," completed in November, 1921' at a depth of 717.8 meters, with an initial daily production of 8,000 cubic meters of petroleum (specific gravity, 0.972.)

Geology: The structure consists of an asymmetrical anti­cline which is considered to be an extension to the South ot the anticline on which Dos Bocas is located; it has two long'' tudinal faults, one on each side.

A S P E C T S O F T H E P E T R O L E U M I N D U S T R Y I N M E X I C O 103

Producing formation: The oil flows from "El Abra" limestone belonging to the Lower Cretaceous, production t -'ne derived from faults, cavities, and fissures.

Development'- Up to December, 1936, 8 productive wells and 35 dry holes had been drilled.

production: During 193 6, the San Jeronimo Field pro­duced 61,346 barrels of petroleum.

Principal Concessionnaire: Compafiia Mexicana de Petroleo "El Aguila" S. A.

Present activities: Exploitation of the wells and transpor-ntion of the petroleum produced. No new drilling was don; during the first six months of 1937.

SAN SEBASTIAN FIELD

(PETROLEUM)

Local ion: State of Veracruz, Municipality of Tamiahua, hacienda of San Sebastian. The field is situated approximately 115 kilometers Southeast of Tampico and 52 kilometers Northwest of Tuxpam.

Discovery: The first drillings were located on the basis of several seepages existing in the hacienda of San Sebastian. The first productive well was "Tierra Blanca No. 2," of the Cia. Mexicana de Petroleo "El Aguila," S. A., finished in April, 1914, at a depth of 980.24 meters, with an initial daily production of 3 cubic meters of petroleum (specific gravity 0.958.)

Geology: No accurate data exist regarding the geology of this field, cither in the Geological Institute of the National University or in the Petroleum Bureau.

Producing formation: According to the geological log of ihc first productive well, the formation from which the pe­troleum (lows is a blue clay of undetermined geological age.

Development: Up to December, 1936, one productive well and four dry holes had been drilled in this field.

Production: During the year 1936, the San Sebastian field produced 16,45 5 barrels of petroleum.

Principal Concessionnaire: Cia. Mexicana de Petroleo "El Aguila," S. A.

Present activities: Exploitation and transportation of the petroleum produced. No new drilling was done during the first six months of 1937.

TEAPA FIELD

(PETROLEUM)

_ Location: State of Veracruz, Municipality of Puerto Me­xico, hacienda of Gavilan Rabasa. The field is situated ap­proximately 12 kilometers East of Puerto Mexico and 47 kilo­meters. Northeast of Minatitlan.

Discovery. The first productive well was "Teapa No. 10," of the Compafiia Mexicana de Petroleo "El Aguila," S. A., wished in May, 1928, at a depth of 229.82 meters, with an >«itial daily production of 207 cubic meters of paraffin-base petroleum (specific gravity 0.82).

'0-0S3' : The structure consists of a salt dome. r.,!°"Hcing formation: The oil comes from a series of layers

liocenc sands alternating with shales found over the saline mass.

D('vel°pmc,it; Up to December, 1936, 11 productive wells ™d 9 dry holes had been drilled in this field.

roduction: During the year 1936, the production of the eapa Field was only 120 barrels.

Principal Concessionnaire: Cia. Mexicana de Petroleo "El Aguila," S. A.

Present activities: Exploitation of the wells. No new dril­ling was done during the first six months of 1937.

TEPETATE FIELD

(PETROLEUM)

Location: State of Veracruz, Municipality of Tantima, hacienda of San Jose del Tepetate. The field is situated ap­proximately 110 kilometers Southeast of Tampico.

Discovery: The location of the first drilling was deter­mined by the seepages existing on the site. The first produc­tive well was "Sandoval No. 4," of the Adrian Petroleum Company, finished in April, 1915, at a depth of 631 meters, with an initial daily production of 144 cubic meters of crude (specific gravity, 0.928.)

Geology: The structure consists of an asymmetrical anti­cline which is considered to be a continuation Southwards of the anticlinal on which the Chiconcillo-San Miguel Field is located. The structure has two longitudinal faults, one on each flank.

Producing formation: The wells drilled on the flanks and at a short distance from the axis of the anticline found no productive horizons. The petroleum produced by this field has a mixed asphalt and paraffin base; it has a specific gravity of 0.928 and flows from "El Abra" limestone belonging to the Lower Cretaceous.

Development: No complete data exist regarding the num­ber of wells drilled in this field.

Production: During the year 1936, the Tepetate field produced 82,814 barrels of petroleum.

Principal Concessionnaires; The Adrian Petroleum Co. and the Compafiia Mexicana de Petroleo "El Aguila," S. A.

Present activities: Exploitation of the wells and transpor­tation of the petroleum extracted. No new drilling was done in this field during the first six months of 1937.

TIERRA AMARILLA FIELD

(PETROLEUM)

Location: State of Veracruz, Municipality of Temapache, hacienda of Tierra Amarilla. The field is situated approxi­mately 39 kilometers Northwest of Tuxpam.

Discovery: The first productive well was "Tierra Amari­lla No. 2," of the Compafiia Mexicana de Petroleo "El Agui­la," S. A., finished in December 1911, at a depth of 742.34 meters, with an initial daily production of 29 cubic meters of petroleum (specific gravity 0.927.)

Geology: No data exist regarding the geology of this field either in the Geological Institute of the National University or in the Petroleum Bureau.

Prodtichig formation: The oil produced is of a mixed asphalt and paraffin base and flows from the limestone found at a depth of 742 meters.

Development: Up to December, 1936, 13 productive wells and 13 dry holes had been drilled in this field.

Production: During the'year 193 6, the Tierra Amarilla field produced 3 8,306 barrels of petroleum.

Principal Concessionnaire: Compafiia Mexicana de Petro­leo "El Aguila," S. A.

Present activities: Exploitation of wells and transportation of the oil produced. No new drilling was done during the first six months of 1937.

104 M E X I C O ' S O I L

TIERRA BLANCA FIELD

(PETROLEUM)

Location: State of Veracruz, Municipality of Temapache, hacienda of Tierra Blanca. The field is sittiated approxi­mately 3 3 kilometers West of Tuxpam, within the so-called "Golden Lane."

Discovery: The first drillings were located on the basis of several existing oil seepages on the Tierra Blanca hacienda. The first productive well was Tierra Blanca No. 2," of the Tuxpam Petroleum Co., finished in February, 1922, at a depth of 642.82 meters, with an initial daily production of 9,000 cubic meters of petroleum.

Geology: The structure consists of an asymmetrical anti­clinal, which has a longitudinal fault on each flank and is the continuation Southwards of the Cerro Viejo anticlinal.

Producing formation: The productive wells are located within a narrow strip on the crest of the anticlinal and the oil comes from "El Abra" limestone, which is in general very compact and belongs to the Lower Cretaceous.

Development: Up to December, 193 6, 52 prodtictive wells and 26 dry holes had been drilled in this field.

'Production: During the year 1936, the production of this field was 1,5 59,173 barrels.

Principal Concessionnaire: Tuxpam Petroleum Company. Present activities: Exploitation of wells and transporta­

tion of the oil prodticed. No new drilling was done during the first six months of 1937.

T O N ALA OR AGUA DULCE FIELD

(PETROLEUM)

Location: State of Veracruz, Municipality of Puerto Me­xico, hacienda of Gavilan Norte. The field is situated ap­proximately 3 0 kilometers Northwest of Nanchital, 46 kilo­meters East of Puerto Mexico, and 57 kilometers Northeast of Minatitlan.

Discovery: No surface indications were found at this site and geophysic methods were employed to locate the first drillings. The first productive well was "Tonala No. 2," of the Compania Mexicana de Petroleo "El Aguila," S .A., com­pleted in April, 1928, at a depth of 570.27 meters, with an initial daily production of 159 cubic meters of petroleum (specific gravity, 0.876.)

Geology: The structure consists of an elongated saline dome.

Producing formation: The oil flows from a series of sand strata belonging to the Lower Miocene, alternating with thin layers of shales which are encountered over the dome. The petroleum has a paraffin base with a specific gravity varying from 0.856 to 0.885.

Development: Up to December, 1936, 130 productive wells and 7 dry holes had been drilled in this field.

Production: During 1936, Tonala Field, together with that of El Burro, produced a total of 3,318,579 barrels of pe­troleum.

Principal Concessionnaire: Compania Mexicana de Petro­leo "El Aguila," S. A.

Present activities: Exploitation of wells and transportation of the oil produced. No new drilling was carried out during the first six months of 1937.

TOPILA FIELD

(PETROLEUM)

Location: State of Veracruz, Municipality of Panuco, Tampico Alto, and Pueblo Viejo.. The field is situated ap­proximately 3 2 kilometers Southwest of Tampico.

Discovery: "Tamboyoche 501," of the East Coast Oil Co., was the first productive well, completed in September, 1910, at a depth of 820.52 meters, with an initial production of less than commercially paying quantities. The specific gra­vity of the oil found was 0.979.

Geology: The structure consists of an irregularly shaped dome, the Southeast flank of which is limited by a terrace approximately a kilometer and a half wide by five kilo­meters long. It is known to have several fractures and faults irradiating from the central part of the dome.

Producing formation: The asphaltic base petroleum flows from limestone found on the lower part of the Upper Creta­ceous and on the higher part of the Lower Cretaceous; there are no well-defined horizons.

Development: Up to December, 1936, 140 productive wells and 149 dry holes had been drilled.

Production: During 1936, Topila Field produced 268,603 barrels of petroleum.

Principal Concession-mires: Cia. Mexicana de Petroleo Ana-huac, S. A., and the East Coast Oil Company.

Present activities: Exploitation of wells and transportation of the oil produced. No new drilling was carried out during the first six months of 1937.

TOTECO-CERRO A2UL FIELD

(PETROLEUM)

Location: State of Veracruz, Municipalities of Tantoco and Tepetzintla, haciendas of Toteco and Cerro Azul. The field is situated approximately 52 kilometers Northwest of Tuxpam and 129 kilometers Southeast of Tampico, within the so-called "Golden Lane."

Discovery: The first drillings were located on the basis of seepages existing on the site. The first productive well was "Cerro Azul No. 4," of the Huasteca Petroleum Co., completed in February, 1916, at a depth of 534 meters, with an initial daily production of 41,5 51 cubic meters of petro­leum (specific gravity 0.928). This well is considered the largest in the world.

Geology: The structure is a continuation to the South of that of Zacamixtle and consists of an asymmetrical anticline with two longitudinal faults, one on each flank.

Producing formation: The productive wells are situated on a narrow belt along the crest of the anticline; oil flows from "El Abra" limestone belonging to the Lower Cretaceous.

Development: Up to December, 1936, 70 productive wells and 68 dry holes had been drilled in this field.

Production: During 1936, Toteco-Cerro Azul field pro­duced 2,373,632 barrels of petroleum.

Principal Concessionnaires: Huasteca Petroleum Co., and the International Petroleum Company.

Present activities: Exploitation of the wells and transpor­tation of the oil produced. No new wells were drilled during the first six months of 193 7.

ZACAMIXTLE FIELD

(PETROLEUM)

Location: State of Veracruz, Municipality of Tantoco, hacienda of Zacamixtle. The field is situated approximate­ly 62 kilometers Northwest of Tuxpam, within the so-called "Golden Lane."

Discovery: The first drillings were located on the basis ot existing seepages. "Zacamixtle No. 1," of the Tamiahua l>e" troleum Co., was the first productive well, completed in Oc-

A S P E C T S O F T H E P E T R O L E U M I N D U S T R Y I N M E X I C O 105

bcr 192O, at the depth of 742.19 meters, with an initial liilv'production of 10,000 cubic meters of petroleum (spe­

cific gravity, 0.927.) Gcolo«y: The structure is considered to be a continuation the South of the Amatlan anticline and consists of an mmetrical anticline with two longitudinal faults, one on

each flank. Producing formation: The productive wells are situated

within a narrow belt along the crest of the anticline. The

petroleum flows from "El Abra" limestone belonging to the Lower Cretaceous and has a specific gravity of 0.927.

Development: Up to December, 1936, 51 productive wells and 32 dry holes had been drilled in this field.

Production: During 1936, the Zacamixtle field produced 70,392 barrels of petroleum.

Present activities: Exploitation of the wells and transpor­tation of the oil produced. No new wells were drilled during the first six months of 1937.93

03. We give below the same set of data for the fields of Cuiehapa, (,'loete, Carlos Cantti, Rancho Abajo, and Jalpa, which had not been discovered or developed when the above ytudy was made:

CUICHAPA FIELD (PETROLEUM)

Location: State of "Veracruz, Municipality of Moloacan, lands nf .Aeapala. The field is s i tuated 27 kilometers Southeast of Puerto Mexico and 30 kilometers Eas t of Minatitlan.

Discovery: The first producing well was drilled by the Itirhmond 3'etroleum Co. and was named "Cuiehapa N« 1." It crime in in April, 1935, at a depth of 719 meters, with an initial production of 5 cubic meters of petroleum a day.

Geology: The s t ructure of this field is ra ther in the na ture of a terrace cut on the North by a large fault. The s t r ike of 111" terrace is estimated at about 60 meters.

Producing formation: These appear to be the formations "Kncanto" and "Concepcion" part icularly the la t te r : both be­longing to the Lower Miocene.

Development: Up to December, 1937, 5 productive wells had been drilled. The principal eoncessionnaire is the ex-Richmond Petroleum Company.

Present activities: Exploitation of the wells. Production: In 1937, this field produced 1,107 barrels.

CLOETE FIELD (GAS)

Location: State of Coahuila, Municipality of Sabinas. The field is situated 87.5 kilometers Southwest of Piedras Negras, 3 Uilometercs West of the rai lway line tha t runs from Pie-flniM Negras to Saltillo, and some 18 kilometers North of the town of Sabinas.

Discovery: The well with which this field was discovered was drilled by the Ohio Mexican Oil Corp., and was named "VljH-te No. 1," It was completed in June, 1936, at a depth of I.Oa-1 meters, with an initial daily production of 50,000 cubic motors of gas.

'leology: The formation which crops out on the surface »f the ground is the so-called "Austin Chalk" belonging- to the "San Felipe" formation of the upper Cretaceous. The well is situated on the Southwest flank of the anticline called '"••>utes.

Producing formation: The gas produced by the well "Cloete • °. 1" contains large quantit ies of sulphur and comes from "" formation called "Glenrose" belonging to the Lower Cre­taceous formation, "Tamaulipas." ^Development : Only one Well has been drilled, but to the • "rtheast at a distance of 27 and 19 kilometers, respectively,

\" W P l ,» "Navarro Smith No. 1" and "Peyotes No. 1" were 1 od without success, al though the geological conditions are

the same. lie principal eoncessionnaire was the Ohio Mexico Oil Corp.

'•'"sent activities: None.

CARLOS CANTO FIELD IMPORTANT INDICATIONS OF GAS AND PETROLEUM)

lirav Ca State of Nuevo Le6n, Municipality of General nio'tr." 'rllf> f i e l a is situated at a mean distance of 64 kilo-

r ! ! to the South of the city of Camargo.

Discovery: The first gas-producing well was drilled by the Consolidated Oil Company of Mexico and named "Carlos Cantti No. 2," in the Community of Sergeant-Major Carlos Cantti. It was completed in July, 1935, at a depth of 1,118 meters, with an initial daily production of 40,000 cubic meters of gas.

Geology: The s t ructure consists of a fault which runs from N. E. to S. W. The wells are drilled at the Southwest extrem­ity. The "Fayet te" formation of the Jackson group outcrops on the surface, a l though in some par t s the formation, which belongs to Eocene, may be seen.

Producing formation: The wells a re of different depths. because indications of gas and oil have been found in the Mt. Selman and Cook Mountain formations, likewise of the Eocene.

FIELD OF RANCHO ABAJO

(PETROLEUM)

Location: State of Veracruz, Municipality of Tantima, ha­cienda of Rancho Abajo. This field is 91 kilometers Southeast of Tampico.

Discovery: The first well was drilled by Petr61eos de Me­xico, S. A. (Petromex) under the name of "Petronac No. 22," It was completed in June, 1937, at a depth of 875 meters, with an initial daily production of 32 cubic meters of pe­troleum.

Geology: The s t ructure consists of a secondary fold of the "Golden Lane" anticline on the eastern flank of i ts Northern extremity.

Producing formation: The production of oil flows from the point of contact of the "San Felipe" and "El Abra" for­mations belonging, respectively, to the upper and lower Cre­taceous.

Principal eoncessionnaire: The General Administration of National Petroleum.

Development: Up to December, 1937, two productive wells had been drilled.

Present activit ies: None.

JALPA FIELD '

(PETROLEUM)

Location: State of Tabasco, Municipality of Jalpa de Men-dez, Ejidos of V. Jalpa. The field lies 59 kilometers South­west of the former Por t of Frontera, now called Alvaro Obre-g6n, and 50 kilometers from the Bar of Chiltepec, following the course of the river.

Discovery: The well wi th which this field was discovered was drilled by the Cia. Mexicana de Petroleo "El Aguila," S. A. It was completed in August, 1937, at a depth of 1,757 meters, with an initial daily production of 3 cubic meters of petroleum.

Geology: There appear to be two s t ructures in this region. the summits of which lie some 7 ki lometers South Southwest of well "Jalpa No. 1," which was badly located.

Producing formation: I t is expected tha t limestone similar to the productive limestone of the Tampico-Tuxpam basin of sedimentation will be found at a depth of more than 2.000 meters.

Principal eoncessionnaire: Cia. Mexicana de Petr61eo "El Aguila," S. A.

Development: Only one well has been drilled. No exploita­tion is being carried on at present.

106 M E X 1 C

E X H A U S T I O N P R E S E N T I N

With the exception of the Poza Rica field, discovered in 1930, the production of which has been increasing yearly, the remainder of the Mexican fields at present being exploited have been exhibiting a progressive exhaustion which has been manifested, naturally, in a constant decline of the country's total production from 1922 to 1933, when the decline was checked due precisely to exploitation of the Poza Rica field which began yielding considerable quantities of petroleum in that year.

With respect to the causes of the falling off of Mexico's petroleum production, Ezequiel Ordonez, in an article pub­lished in 1931, made the following observations which we consider applicable to conditions at present prevailing in Mex­ico;

"However, the causes which we may consider as funda­mentally responsible for the constant decline of production are:

"The advanced exhaustion of the so-called 'Golden Lane' pool.

"The exhaustion, likewise advanced, of the great deposits of the vast Panuco-Cacalilao District.

"The lack of new and intensive exploration to discover new fields and new districts.

"It cannot be news to anyone that the Golden Lane is rapidly approaching exhaustion. Let us see what is the present condition of the principal fields of this zone. San Jeronimo and San Miguel-Chiconcillo never were and never will be im­portant producing areas. In the Juan Casiano basin and in the Tepetate field there are no locations for new wells with­out immediately striking salt water. There remain limited quantities of oil, of the large deposits previously existing in Chinampa and Amatlan, which may still be obtained. As a producing field Zacamixtle was almost a failure from the very beginning, and many millions of pesos were spent uselessly. In Toteco and Cerro Azul little enough remains to be ex­tracted, almost no more than can be squeezed out of the al­ready known deposits by means of the existing wells and perhaps a little petroleum from some of the anticlinal spurs which, like buttresses, complete the topography of the abrupt limestone sierra buried at a depth of 600 meters, in which all the deposits of the Golden Lane are lodged. Juan Felipe, although still almost virgin, is not, in this writer's opinion, a saving hope, nor can Cerro Viejo be so considered, although there exist small reserves in both these fields. Alazan, like Zacamixtle, was never a large producer, as these fields con­stitute merely a sort of bridge between large deposits. There is not much oil left in Potrero del Llano, nor in Tierra Blanca, and still less in Chapapote and Alamo, near the Tuxpam River. It is true that between the Tuxpam and the Cazones Rivers, there are still some virgin areas to be explored in the prolongation of the Golden Lane, but these will never fill the void left by the great fields already exploited.

"I t must be seen that this anticlinal knife, as I have called it, both North of San Jeronimo and South of the Cazones River, dissappears, and it is doubtful that it may reappear beyond these limits with the same characteristics of high productivity which it had in the fields now exploited on a reduced scale.

"Let us now see what the 'anticlinal knife' is like: the oil accumulated naturally, along the edge or crest which is winding, in conformity with the longitudinal direction of the anticline; the production was therefore found concentrated in the high thrusts, from which it follows that the oil-bearing accumulations are, so to speak, besieged and separated by more

O ' S O I L

O F F I E L D S A T P R O D U C T I O N

in or less extensive gaps; there being, however, communication he between the accumulations by means of fissures, cavities, of ed varying sizes, and fractures and irregular channels which in

en places become bottlenecked. The oil-bearing limestone is gen­u's erally compact, so that the oil does not really penetrate the ras limestone itself but is found in cavities in the form of caves, :ld or in grottoes formed by the waters before the migration of in the oil, or in the cracks of the rock, or in the fractures of

the secondary faults, or'in the tubes or hollows of the fossil 0>s beds, or, finally, in the surface furrows of the limestone tb- which was deeply eroded before it was submerged. The im-we pregnation of the crude oil in the limestone, due to the poro-:X_ sity of the rock itself is so slight that, in my opinion, it is

without economic importance. If we examine the transverse [a.. plane of the anticline, we find that the wells drilled have on shown it to be abrupt, as we have stated above; that it is

asymmetric, steeper on its eastern flank than on the western, ae» and that it is cut on both sides by longitudinal faults with

very large gaps between. In the wells drilled at a short dis­ks t a n c e bom the western fault, the prolific limestone called

'El Abra' has not yet been found at a depth of a kilometer and a half, although in the 'knife' itself the average depth at which it is found is 600 meters. In Cerro Azul, along this western fault, as in other sites of the region, there are

IS petroleum accumulations. The volcanic plugs are small in dia-nt meter, approximately circular or eliptical in section, which n o have spread on the surface in the fo rm of a mushroom. Be-rp- tween Cerro Azu l and J u a n Felipe, there is a curious basaltic >n dike, in a slanting position, which crops ou t on the surface

;k- and which penetrates the shales like a th in and elongated ed wedge.

"Towards the East of the eastern fault , the limestone is [ likewise very deep, as is indicated by the wells drilled in the i * Tamiahua Lagoon, those of 'Molino, ' e tc .

;x_ " T h e existence of faults w i t h large gaps on bo th sides of

31_ the Golden Lane remove the possibility of f inding produc-

nc} t ion in the neighborhood of the 'kni fe , ' b u t there exists the

l r s probabili ty of f inding other buried mounta ins or other anti-ipt clines parallel to the Golden Lane and perhaps deeper; bu t in

ch order to discover them, m u c h exploration w o r k should be

De, under taken and new test wells should be drilled, and this is

a precisely what is not being done on the scale that is necessary. gh The few wells that have been drilled in new regions to the ke East and West of the lane have not given favorable results; in- but as the sounding tests made have been very few, there is ;re still hope of finding new productive structures. ca, "With respect to finding petroleum in the limestone oi lm the Golden Lane at deeper horizons, my personal opinion is l e s that it is very doubtful, in view of the fact that only lime-'he stones with thin intercalations of other rocks are found even :he at great depths, even passing from the Cretaceous limestone

to the Jurassic and even to the Carboniferous limestone. And led if limestone is the predominant rock, it is not plausible that les it should not be cracked or fractured in order to allow the ear petroleum to pass and accumulate in the only known horizon. gh Nevertheless, in spite of this opinion, additional proof is lack-i a ing and on this point, perhaps, the last word has not yet been

said. the "If I had time, I might make an approximate estimate oi

is the petroleum reserves that remain in the Golden Lane, maK-:he ing use of the subterranean structural maps and taking into in consideration the small virgin spaces that remain. We have

ng frequently made good approximate estimates of reserves in the ire light of the position, in the fraction of the structure «n* r

A S P E C T S O F T H E P E T R O L E U M I N D U S T R Y I N M E X I C O 107

examination, of the mean original level of salt water and its pwanl movement in relation to a certain quantity of pe­

troleum produced, determining in this way the relation be-, e n tKe total volume of the recipient limestone, obtained

from the structural maps, and that of the cavern-like spaces vhic'i 'were full of oil and gas; other complementary data \vii_' likewise taken into account in each particular case. l'od.iv. it might be proved by this, or by any other method ,,, t ju ra t ion , that the reserves which remain in the Golden I me consist of petroleum that has remained locked in certain Hi!tU iv.)lated caverns, connected with those already drained ,inl\' b\ v e l T narrow channels, or of petroleum confined in n-iiinn'ilttions already partly drained but isolated by cones of •-.ill water caused by the rapid suction of the oil, which u0v, n uhes the wells by more tortuous channels. There also i-cma.'n. :n my opinion, a few secondary anticlinal spurs with • ir.:ll u-oumulations which have not yet been touched.

"'I hi- great District of Panuco-Cacalilao-Ebano forms a Ji.v>ter apart because of the structural form of its deposits, it, infinitude, etc. It is unnecessary to repeat here that the ni'iiulumi industry in Mexico was born in Ebano and that tin.- jsvi in which the productive fields of Panuco-Cacali-li.) .is • irregularly distributed is enormous, no less than four limuliv.! square kilometers. Little is now being produced in ihi, ;:iVit District; part comes from the pumping out of old \svl!s and part from wells in known zones. There still Knuiri very important virgin reserves in this immense dis-:iu-t. tit hough a great number of the wells drilled have been illy hulcs,

"I he immense oil-bearing structure of Panuco-Cacalilao-|l>i:-» consists of something of a large, flattened, irregular iliin.i-. or, let us say, a bitried limestone table-shaped mountain um-u-d with protuberances and furrowed by depressions. The mount tin is cut in various directions by faults, by fissures of s iryiuj, length and by fracture zones, besides containing iranv <. avities caused by circulating water, similar to those th.u are found in flat, chalky regions of tropical countries > r to those called 'Karst.' Now then, the cavern, the frac­tures, and the broken zones are the spaces that have been tilU-il with salt water, oil, and gas. When certain wells have iimie in, we have picked up from them angular pieces of •iiiti'M.nio covered with a coating of travertin; from others, nearly round limestone pebbles, and, lastly, even pieces of st.u.if liuis. There have even been cases in Panuco where on t'whin.: this limestone (called 'Tamaulipas') with the drill sinn, it has submerged, as into the hollow of a grotto. There ;s no doubt that the fracture zones are occasionally irregular; "ut that these and the fractures are at times entirely straight "< proved by the fact that wells had to be located with a transit in order exactly to follow the straight line between two good wells. The broken zones, caverns and fractures are 'r-tiTconriected by a network of much smaller fractures and tondiiir-i. I estimate that there are broken zones of 20 to 30 motets m width and the secondary fractures and conduits con-•i-'-'iing them generally have a width that may be reduced to t«taction of an inch. In order to form an idea of the t ' i « ru u . j 0 n 0£ j.jjg n e t w o r k 0f f a u l ts crossing the great lime-- t u n e ">esa, it is sufficient to look at the planes resulting •""i (lie breaking of a block of 'Tamaulipas' limestone by

'tr'Kini; h against the ground.

, '" certain regions of the Panuco-Cacalilao-Ebano Dis­trict otlier important causes have influenced the orientation

. """iber of the zones and fractures. We refer to the vol-•l"'C action so characteristic of the Ebano and Tulillo fields, ^ "sistiug of isolated basaltic plugs which are either hidden .... '''-• popping. Inasmuch as the cavities and fissures of the Tain •'-ttitpas' limestone, situated at an average depth of i --*••»" mucsLune, snua teu at- an aveiage ucpui u» lif'"f fil^ mete i"s are only very slightly reflected in the crust •i ,V:i'- . ' e s c o vering them, it is understandable how dif-

' • •' is to locate, not the secondary fractures, which is

impossible, but even the fracture zones or their vicinity in which the secondary fractures abound. Nevertheless, to a patient study of the volcanic influences; of the distribution of the visible basaltic plugs; of the distribution of various seepages; and the angular constancy of the planes of fracture, etc., the present writer owes his success in locating productive wells in Ebano and Tulillo and in the location in 1901, with Mr. E. L. Doheny, of the first commercially productive well in Mexico.

"The intercommunication existing chiefly between the fracture zones or faults, although it may be by very narrow conduits, affords the possibility of wells that drain the pe­troleum accumulations lodged in those zones even at great distances; and, in reality, the magnitude of the production of a well depends on the size of the conduit which it strikes, a circumstance which explains the great differences in the productivity of wells in close proximity, as well as the vary­ing depths of their productive levels. A foot of distance, or even less, between two wells may be sufficient to vary their phenomena of production, as well as to turn one into a large producer and the other into a dry hole. It should be re­membered that a tiny fissure, of no more than a few milli­meters, may be capable of producing many thousands of barrels per day when it is opened by the drill, in view of the high pressure at which most of the wells have been brought in.

It would not be an easy task to estimate the oil reserves still existing in this great structure, inasmuch as its true boundaries are not yet known; and although, both to the South and to the West, the great structure is cut by faults, we do have to admit that these reserves are considerable and that the decline in production is not justified in this district for reasons that can be imputed either to the oil deposits or, perhaps, even to the producers.

"Nevertheless, it should not be thought that these reserves are so great that they could increase our production on a very large scale if, at a given moment, all the obstacles to intense production were removed and active drilling were renewed.

"I doubt that Mexico will recover in the near future the production it had in 1921, not as a direct consequence of the world overproduction of oil, but simply because of the time that has been permited to elapse without making explorations in the country and because in order to recover that produc­tion it would be necessary to drill a great number of wells, for which neither the locations nor the drilling organizations are prepared."

As a result of the foregoing study of the oil zones and productive fields in Mexico, the following conclusions may be noted:

1.—There are large zones of possibly oil-bearing lands along the coast of the Gulf of Mexico (gulf Coastal Plain) and in the Northern part of the States of Coahuila, Nuevo Leon, and Tamaulipas, that is to say, the region along the frontier with the United States of America. The large oil companies established in the country have made superficial explorations, by geological and geophysical methods, in these zones, for the purpose of locating the structures which are favorable to the accumulation of petroleum.

2.—Test drilling on a large scale with the aim of dis­covering new producing fields has not been carried on in the possibly oil-bearing zones from 1934 to 1937, as almost all wells drilled during this period were located in fields already under exploitation.

3.—With the exception of the Poza Rica field, which was discovered in 1930 and which is now in full production, all the other Mexican fields in exploitation have been declining during the last few years and may be considered on the road to exhaustion.

4.—Drilling with a view to discovering new fields could only be carried out with large capital, as there are no inde-

108 M E X I C O ' S O I L

pendent operators, "petroleum prospectors," who in other 5.—One of the chief obstacles to the existence and opcr-countries drill the wildcat wells and who, in the United ation of independent wildcatters in Mexico is the lack of pub, States, for example, have been responsible for the discovery lie carrier pipelines to insure the transportation of the oil of a great number of productive fields. which they might discover as a result of their work.

V E I L S D R I L L E D

Since 1901, when uninterrupted and industrial exploita- water. Almost all these wells were drilled after 1917, that tion, properly speaking, began, the total number of wells is> following the establishment, by means of Article 27 of drilled in our country has been 5,698; of these 2,687 have ^e Constitution, of the principle of national sovereignty over , • it , , t h e Peti'oleum of the subsoil. In fact, of the total numbe-been commercially productive and 3,011 have been aban- 0f 5,698 wells drilled in 36 years, only 279 were drilled prior doned either because they were dry holes or gave only salt • to 1917.

WELLS COMPLETED IN MEXICAN PETROLEUM ZONES, UP TO DECEMBER 31, 1936

Year

T O T A L S

1917 191S . . 1919 19 20 1921 1922 1923 1924 1925 1926 1927 1928 1929 1930 1931 1932 1933 1934 1935 1936

( I I Xunibcr of j . welts

1 2,687

174

43 23 3 1 69

20 fi 138 25!) 0 a Q

298 318 204 14 8 114

71 57 31 53

37

PROD Initial

Cubic meters

102,243

43,043 87,979 70,405

280,514 582,243 229,019 140,721 159,210 173,101 186,049

61,002 17,558 17,670

9,750 8,408 3,398 7,473 5,370 4,522 4,889

L'CTIVB WELLS daily production

Barrels

643,109

270,741 553,383 442,847

1.764,438 3.062,252 1.440,530

SS5.135 1.001,431 . 1.0S8,824 1.170,248

383.702 110,439 111,182

61,327 52,886 21,373 47,006 33,777 28,444 30,752

Wei were ;

aftei was t

s which bandoned drilling

erminated

3,011

105

Total number of completed

wells

5,698

43 41

11 ' 321 265 467 699 801 80S

310 218

87 50 93

145 SO 67

Although the maximum of productive capacity was reached in 1921, the largest number of wells was drilled in 1926; after this year drilling decreased steadily until 1932. In 1933, the number of wells drilled again increased and this activity was considerably intensified in 1934, only to fall off again in 193 5 and 1936, notwithstanding which these two latter years were marked by a strong rise of production, an in­crease even more notable during the present year.

We may see, by way of illustration, that while in 1933 average daily production was 93,15 3 barrels, in 1934 it rose to 104,581 barrels; in 1935, to 110,248 barrels; in 1936, to 112,405 barrels; and, during the first five months of the present year, the average has been 136,105 barrels. If it is remembered that together with this increase in production, particularly during the last two years and what has elapsed of the present year, there has been a decrease in the number of wells drilled, we must arrive at the conclusion that the exploitation of the existing wells is being somewhat forced; and we say "somewhat," because a good deal of the increased production comes from the remarkable Poza Rica fields, still in its infancy, and from the important field of El Plan in the Northeastern part of the Isthmus of Tehuantepec.

This situation, if prolonged for several years, may lead to a serious decline in our production, due to depletion of the over-exploited petroleum, deposits; and this would lead to serious consequences with respect to exports and, still worse, to our domestic consumption, now rapidly increasing.

Enormous areas considered to be possibly oil-bearing arc being held as reserves by the oil companies, as it is observed that practically no new drilling is being done in them, and the wells which have been completed during the last few years are nearly all located in extensions of already known and developed fields.

As a demonstration of the oil-bearing possibilities of Mex­ican territory, we may note that while in 1934, in the United States of America, the average daily production per well was of 7.5 barrels, in Mexico it was 99 barrels, and that while the daily production per well in the United. States was 8.1 barrels in 193 5, the Mexican average per well was 105.2 bar­rels. And we should add that in the United States, in oraer

to maintain the high level of production required by the enormous industrial and other demand, a very large number of wells is drilled annually. Thus, in 1934, 18,197 wells, and in. 1935. 21,420, were completed in that country. During the

ASPECTS OF T H E P E T R O L E U M I N D U S T R Y IN M E X I C O 109

resent year, an average of 2,000 wells per m o n t h are being

completed. *

Of the to ta l number of product ive wells drilled in Mexico t om 1901 t 0 1936, which, as we have already seen, number 1 <;s7 1,229 have been plugged. Of the remainder, some l'oOO have cont inued to be exploited dur ing the last three years. In the subsequent tables corresponding to December of each of the three years 1934 to 1936, it will be seen tha t th" greatest volume of product ion has been obtained from the light crude oil-producing fields, and among these, Poza Rica ,

where the average o u t p u t per well, in December , 1936, reached 3,3 87 barrels a day, is ou ts tanding . Fol lowing the wells of this famous field are those of El Plan, in the N o r t h ­east par t of the I s thmus of Tehuantepec , where the average product ion per well dur ing the same m o n t h and year was 595 barrels a day. The same tables show t h a t in daily o u t p u t per well, Alazan field, in the T u x p a m zone, occupies th i rd place, a c i rcumstance which is highly interest ing, as this is a field which, a l though good, has from the beginning held a rather secondary place in our product ion, and in wh ich the wells at present being exploited are 17 years old.

A V E R A G E LIFE O F WELLS B R O U G H T I N A S P R O D U C E R S I N M E X I C A N OIL FIELDS, U P T O

D E C E M B E R 3 1 , 1936

(Classification by fields, in geographical order, and present status of these wells)

F I E L D S

P L U G G E D

No. of

wells

W E L L S

Average life in

years

W E L L S N E I T H E R

P L U G G E D N O R

E X P L O I T E D I N

1936

Average

No. of life in

wells years

W E L L S E X P L O I T E D

D U R I N G 1936

Average

No. of life in

wells years

T O T A L N U M B E R O F

W E L L S C O N S I D E R E D X 3RODUCTIVE U P T O

D E C E M B E R 31, 1936

Average

No. of life in

wells years

TUTALS 1,229

China, N. L North Tamauiipas Kouth Tamauiipas 2 Valles, S. L. P. 2 Ebano, S, L. p._ and Ver 74 Han ..Marcos, Coah El lnm6n 2 Caealilao, Pfinuco, Ver 274 North Eanuco, Ver 54 Central P&nuco, Ver 407 JOast Panuco, Ver 9 Topila, Ver 59 l'iiuiuncia and Ag'uacato, Ver S3 Ozuluama, Ver. 4 San .Toronimo, Ver 3 Man Sebastian, Ver Tantoyuea, Ver 1 Chicmicillo and San Miguel, Ver 3 Tamiahua, Ver 1 Teprlate, Chinampa, etc., Ver 96 Totcoo-Cerro Azul, Ver 26 Tepetzintla, Vor Tttiieuijo, Ver 11 Tierra Amarilla, Ver 3 Alazan, Ver 6 I'otrero del Llano, Ver Cerro Viejo, Ver 10 Tierra Blanca-Chapapote, Alamo, Ver. . . . 50 1.1 Molino, Ver 1 •Tardln, Paso Real, Ver 27 Kan Isidro, Ver 10 Cltlaltepec, Ver 4 l~'°w. Rica, Ver l-'urboro, Ver 3 Tonala, Isthmua 6 s an Eulalio, Isthmus 2 l*<>nccj)ol6n, Isthmus 2 Ixhuallan, Isthmus 6 *>1 Wan, Is thmus 1 Caponcftn, Isthmus Soledad, Isthmus 1 '•Mlisoia, Isthmus 29 Tocuanapa, Isthmus 4 S;«'lat, Isthmus Rolen, Tab 3

..J^j™ha.,_Chiapas •• a from the Petroleum Bureau of the Department of National Economy.

5.0 1.0 7.2

10.5 2.7 6.6 •1.9 6.6 8.6 3.9 5.0 5.C

2.0 3.3 1.0 5.4 2.3

21.6 12.0 IB.4

2.6 5.5 7.0 2.7 1.1 7.0

19.7 4.5 2.5 3.0 4.7 2.0

2.0 5.0

13.5

353

3

32

1 12 14

1.25 4

35

12.6

0.3

8.9

12.0

9.6 6.3

13.1.

9.0 12.2 12.4

15.0

1,143

7 14

1 0 1 1

39 1 7 2

71.

180 11

30 24

1 4 1

4

3

2 1 6

5 1 1 2 2

1

7.2

15 .6

14 .8 14.0

13.0

4.8 24.0

23 .3 26 .5

11 .0 7.0

9

102 43

1

8 2

11

1.3 35

6.0

6.0 22.1

4.5

15.2 2.0

12.5 23.3

31.0 10.0 27.5

16

123 7

35

51

9.2

2.1 4.0

1.0 10.8 9.1 8.8

10.7 8.5

12.8 11.1 2.0 9.8 7.0

13.3

13.3 12.1

8.0 21.3 17.0 12.7

9.7 10.9

6.2

1.3 18.8 5.0 5.1

2.3

8.9

8.0

2,725

3

7 16

2

207 1.

42 4 5 8 1 3 9

7 1 2

24 12 4

65 5 8 1 5

15 1

250 70

6

17 12

9

13 25 86

1 55

1 0 4

17 15

1 3 1 13

2

15 38

2 4

80 4

2 5 4

0.3 2 .1 4 .1 1.0

8.1 1.0

10 .8 5.3 7.7

7.8 7.8

1 0 . 6

7.6 4.4 8.9

7.0 6.1

11 .8 1.0

10 .5 8.5

13.0 1 5 . 8 19.2 16 .6 14 .8

7.0

7.7 7.0 4.5

1.1 7.0 1.6

20.5 5.0 4.8

3,0 11 .0

2.3

12 .5 1 8 . 0

7.5 13 .5

31 .0 4.7

27.5

"The data we cite on wells and production per well in the TJ. S. A. are taken from the U. S. Bureau of Mines, Wash ins -° n : S t n t ements No. 152, Jan. 22, 1937, pp. 7 and 8; and No. 155, March 11, 1937, p. 8.

110 M E X I C O ' S O I L

WELLS UNDER EXPLOITATION IN MEXICAN OIL ZONES, DECEMBER, 1934

Z O N E S Number of wells under exploitation

PRODUCTION DURING MONTH

Cubic meters Barrels

AVERAGE DAILY PRODUCTION

Cubic meters

AVERAGE DAILY YIELD PER WELL

Cubic meters Barrels

T O T A L S 1,057 544,565 H E A V Y C R U D E <Sp. G r a v i t y , 0.95 or

m o r e ) 620 152,433 A l t a m i r a 8 2,560 E b a n o 99 33,315 121 L i m S n 36 4,010 C a c a l i l a o ( P a n u c o ) 152 49,472 P a n u c o ( v a r i o u s ) 268 57,203 T o p i l a 53 4,860 S a n J e r 6 n i m o 3 776 S a n S e b a s t i a n 1 237

L I G H T C R U D E (Sp. G r a v i t y , l e s s t h a n 0.95) 437 392,132 C o m a l e s 3 122 D o s B o c a s 1 337 C h i c o n c i l l o - S a n M i g u e l U 1,490 T e p e t a t e - C h i n - A m a t - Z a c 102 49,992 T o t e c o a n d C e r r o Azul 42 49,206 M o r a l i l l o 1 544 T i e r r a A m a r i l l a 8 529 A l a z a n 2 2,832 P o t r e r o de l L l a n o 10 13,232 C e r r o Vie jo 11 5,041 T i e r r a B l a n c a - C h a p a p o t e - A l a m o 37 45,930 J a r d f n 5 910 P a s o R e a l 28 5,854 M e c a t e p e c 3 607 P o z a R i c a 5 80,727 E u r b e r o 8 671 T o n a l a 85 48,767 El P l a n 26 74,493 F i l i s o l a 51 10,948

Data from the Petroleum Bureau of the Department of National Economy.

3.425,314

958.804 16,102

209,551 25,223

311,179 359,80V

30,570 4,881 1,491

2.466,510 767

2,120 9,372

314,450 309,506

3,422 3,327

17,813 83,229 31,708

288,900 5,724

36,822 3,189

507,773 4,220

306,744 468,561 68,863

17,566.61

4,917.19 82.58

1,074.68 129.35

1,595.87 1,845.26

156.77 25.03

7.65

12.649.42 3.94

10.87 48.06

1,612.65 1,587.29

17.55 17.06 91.36

426.84 162.61

1,481.61 29.35

188.84 16.35

2,604.10 21.65

1,573.13 2,403.00

353.16

110,493.98

30,929.13 519.43

6,759.74 813.61

10,038.02 11,606.69

986.08 157.44

48.12

79,564.85 24.78 68.37

302.30 10,143.57

9,984.05 110.39 107.31 574.65

2,684.82 1,022.82 9,319.33

184.61 1,187.80

102.84 16,379.79

136.18 9,894.99

15,114.87 2,221.38

16.62

7.93 10.32 10.86

3.59 10.50

6.89 2.96 8.34 7.65

28.95 1.31

10.87 5.34

15.81 37.79 17.55

2.13 45.68 42.68 14.78 40.04

5.87 6.74 5.45

520.82 2.71

18.51 92.42

6.92

104.54

49.88 64.93 68.28 22.60 66.04 43.31 1S.61 52.48 48.12

182.07 8.26

68.37 33.59 99.40

237.72 110.39

13.41 287.33 268.48

92.98 251.87

36.92 42.42 34.28

3,275.96 17.02

116.41 581.34

43.56

WELLS UNDER EXPLOITATION IN MEXICAN OIL ZONES, DECEMBER, 193 5

Z O N E S

T O T A L S H E A V Y C R U D E : (Sp. Clravil

P a n u c o ( v a r i o u s ) T o p i l a

L I G H T C R U D E (Sp. G r a v i t y , 0.95)

A l a z a n

y, 0.95 or

l e s s t h a n

T i e r r a B l a n c a - C h a p a p o t e - A l a m o

E l P l a n

Number of wells under exploitation

1,014

54 3 8

67 162 252

50 3 1

471 1 9

102 43

8 1

9 12 24

5 21

2 10

6 138 27 51

PRODUCTION DURING 1 MONTH J

Cubic i meters Barrels j

582,933

120,811 2,298

18,400 46,264 48,541

4,382 866

60

462,122 356 863

87,201 45,233

537 424

2,694 4,950 4,932

33,101 735

6,236 255

128,834 21

51,734 83,536 10,480

3.666,648

759.901 14,455

115,736 291,001 305,322

27,563 5,447

377

2.906,747 2,239 5,428

548,494 284,516

3,378 2,667.

16,945 31,136 31,022

208,205 4,623

39,224 1,604

810,366 132

325,407 525,442

65,919

AVERAGE DAILY PRODUCTION

Cubic meters

18,804.29

3.897.13 74.12

593.54 1,492.38 1,565.84

141.35 27.93

1.93

14,907.16 11.48 27.83

2,812.93 1,459.12

17.32 13.67 86.90

159.67 159.09

1,067.77 23.70

201.16 8.22

4,155.93 0.67

1,668.83 2,694.70

338.06

Barrels

118,278.98

24,512.95 466.21

3,733.36 9,387.07 9,849.13

889.09 175.67

12.13

93,765.26 72.20

175.05 17,693.32

9,177.86 108.94

85.98 546.60

1,004.32 1,000.67 6,716.27

149.07 1,265.29

51.70 26,140.79

4.21 10.496.94 16,949.66 •2,126.39

AVERAGE YIELD PEP

Cubic meters

18.54

7.18 9.26 8.85 9.21 6.21 2.83 9.31 1.93

31.65 11.48

3.09 27.57 33.93

2.16 13.67 43.45 17.74 13.25 44.49

4.74 9.57 4.11

415.59 0.11

12.09 99.80

6.62

DAILY WELL

Barrels

116.62

45.14 58.28 55.72 57.94 39.08 17.78 58.55 12.13

199.07 72.20 19.45

173.46 213.44

13.62 85.98

273.30

111.53 83.39

279.84 29.81 60.2a 25.85

2.614.0S 0.70

76.06 627.77 41.69

Data from the Petroleum Bureau of the Department of National Economy.

A S P E C T S O F T H E P E T R O L E U M I N D U S T R Y I N M E X I C O 111

WELLS UNDER EXPLOITATION IN MEXICAN OIL ZONES, DECEMBER, 1936

Z O N E S Number of wells under Exploitation

PRODUCTION DURING MONTH

Cubic meters Barrels

AVERAGE DAILY PRODUCTION

Cubic meters Barrels

AVERAGE DAILY YIELD PER WELL

Cubic meters Barrels

TOTALS HEAVY C R U D E (Sp.

m o r e ) A l t a m i r a E b a n o Caca l i l ao ( P a n u e o ) 1 'anuco ( v a r i o u s ) . T o p i l a San J e r S n i m o S'an S e b a s t i a n . . . .

G r a v i t y , 0.95

LIGHT C R U D E : (Sp. G r a v i t y , l e s s t h a n 0.95)

Dos B o c a s Ch iconc i l l o -San M i g u e l T e p e t a t e - C h i n a m p a - A m a t l a n - Z a c To teco a n d C e r r o A z u l T i e r r a A m a r i l l a Mora l i l lo A lazan T*otrero de l L l a n o Cer ro Vie jo T i e r r a B l a n c a - C h a p a p o t e - A l a m o J a r u i n P a s o R e a l I 'oza R i c a F u r b e r o TonalS. 131 P l a n F i l i so l a

,003

543 12 86

162 239

40 3 1

460 1

104 37

7 9

31 5

20 16

5 122

35 49

677,223

133,225 4,655

33,563 45,046 44,230

4,623 751 357

543,998 536 9 71

43,071 39,054

600 369

2,675 4,942 4,153

23,583 353

4,984 267,084

30 40,322

102,485 8,786

4.259,733

837,985 29,280

211,111 283,339 278,206

29,079 4,724 2,246

3.421,748 3,372 6,108-

270,917 245,650

3,774 2,321

16,826 31,085 26,122

148,337 2,220

31,349 1.679,958

189 253,625 644,631

55,264

21,845.90

4,297.58 150.16

1,082.67 1,453.09 1,426.77

149.12 24.22 11.51

17,548.32 17.29 31.29

1,389.38 1,259.80

19.35 11.90 86.29

159.41 133.96 760.74

11.38 160.77

8,615.61 0.96

1,300.70 3,305.96

283.41

137,410.71

27,031.77 944.50

6,809.99 9,139.93 8,974.38

937.96 152.34

72.39

110,378.93 108.75 197.00

8,739.20 7,924.14

121.71 74.85

542.76 1,002.68

842.60 4,785.05

71.58 1,011.24

54,192.18 6.03

8,181.40 20,794.48

1,782.64

21.78

7.91 12.51 12.58

8.96 5.96 3.72 8.07

11.51

38.14 17.29

3.91 13.35 34.04

2.41 11.90 43.14 22.77 14.88 24.54

2.27 8.03

538.47 . 0.19

10.66 94.45

5.78

136.99

49.78 78.71 79.19 56.42 37.55 23.45 50.78 72.39

239.95 108.75

24.62 84.03

214,17 15.21 74.85

271.38 143.24

93.62 154.36

14.32 50.56

3,387.01 1.21

67.06 594.12

36.38

Data from the Petroleum Bureau, Department of National Economy.

Worthy of mention for the same reason are the Toteco .unl Cerro Azul wells, the average daily yield of which was 214 barrels per well in the same month of December, 1936, and whose average life in that month was 12.1 years. In the same month, the average yield per well in the Tierra Blanca-Chapapote-Alamo field was 154 barrels per day, and the wells then had an average life of 11 years.

At present, of the wells under exploitation the oldest are those in the Tierra Amarilla field in the Tuxpam zone, as they have been producing for an average of 21.3 years; they •>re followed by those of Furbero, which have an average life of 18.8 years; then those of Alazan, mentioned above; following are those of Chiconcillo and San Miguel, and those of Tepetate and Chinampa, all of which have an average life of 13.3 years; next come those of Topila, in the Southern 1'anuco basin, which are 12.8 years old; then the above-men­tioned Potrero del Llano wells, 12.7 years old; and, successive­ly, those of Toteco, already cited, those of Paciencia and "guacate in the Panueo basin, etc., etc.

Of the plugged wells, those ranking with longest life are 1 lose of Tangiiijo, near the Tamiahua Lagoon in the Tuxpam ft'gion, which reached an average life of 21.6 years; after |»cni come the Furbero wells, with 19.7 years of life, a field

which the existence of petroleum has been known for many >'cars back.

wh' ? taWe giving the average life of the wells, from n u i ' V - ^ 6 t a ^ e n t ' l e foregoing data, there is shown the her1 f r W 6^S P*u8Sed i n e a c k fie^ a n d the average num-tho ' ' e a r s during which they were under exploitation; in though0 C 0 U i n in appears the number of wells which, al-0£ J ? , ^ y e t plugged, were not worked in 1936 and for each The tV j 8 ' v e n the average life since they were brought in. exploit 1 - C ° * u m n s i v e s the s a m e data by fields, for the wells 0r tL

ln 1936. The last column shows the average life, 'n M ?e ,n e t a la v e i fage, for all.wells brought in as productive

I c a n fields. "We especially recommend this table, as

we are not aware that a tabulated record of this kind has been made in any other country.

The data cited and those given in the table referred to, are only averages, for individually, a great many of the Mex­ican wells have been under continuous exploitation for more than 20 years. Examples:

No. of the well

A l a z a n . Chi jo i . F u r b e r o . F u r b e r o . Gonza l ez . C ice ro . P o t r e r o de l L l a n o . P o t r e r o de l L l a n o T i e r r a A m a r i l l a . T i e r r a A m a r i l l a . 3 T i e r r a A m a r i l l a . 4 T i e r r a A m a r i l l a , 6 T i e r r a A m a r i l l a , 9 T i e r r a A m a r i l l a . 12-15 A l a m o . 1 a n d 2 L o m a de l Pozo . 1 S a n t a F e . 5 a n d 6

4 7

27 30

1 1 2 4 2

Years

( T e m a p a e h e , T u x p a m , V e r . ) . . . . 2 4 ( C h a p a c a o , P a n u e o , V e r . ) 23 ( F u r b e r o , P a p a n t l a , V e r . ) 25 ( F u r b e r o , P a p a n t l a , V e r . ) 23 ( P a n u e o , V e r . ) 20 ( B u e n a v i s t a , P a n u e o , V e r . ) . . . 2 3 ( T e m a p a e h e , T u x p a m , V e r . ) . . . . 2 6 ( T e m a p a e h e , T u x p a m , V e r . ) . . . . 2 6 ( T i e r r a A m a r i l l a , T u x p a m , V e r . ) 2 5 ( T i e r r a A m a r i l l a , T u x p a m , V e r . ) 2 4 ( T i e r r a A m a r i l l a , T u x p a m , V e r . ) 2 4 ( T i e r r a A m a r i l l a , T u x p a m , V e r . ) 23 ( T i e r r a A m a r i l l a , T u x p a m , V e r . ) 2 3 ( T i e r r a A m a r i l l a , T u x p a m , V e r . ) 22 ( C i c u a q u e , T e m a p a e h e , V e r . ) . . 23 ( R e g i 6 n S u r de P a n u e o , V e r . ) . . 21 ( C a m p o d e T a m b o y o c h e , Top i l a ,

V e r . ) 23

A great many other wells of great longevity in the Mex­ican fields might still be cited, but we shall limit ourselves, to conclude this paragraph, by mentioning the famous Cerro Azul No. 4, the largest well in the world, which was brought in in February, 1916, in the Cerro Azul field within the Golden Lane, with an initial daily production of 260,000 barrels and is still producing an acceptable yield, so that it is now 21 years old. Another well in the same field, No. 1, has been worked for 24 years.

The majority of the wells being worked at present and in previous years belong to the fields of the Panueo and Tamesi

112 M E X I O ' S O I

River basins, due to the fact that in that region the oil lands have been divided among the greatest number of operators.

To conclude this section, we present a table of the wells completed during the years 1934 to 1936 giving, by com­panies, the number of productive wells obtained, their total productive capacity, and the number of wells abandoned each year because they ran dry or to salt water. It will be ob­served in this table that some companies, such as the Huas-teca Petroleum Co., drilled the largest number of wells in

1934 but reduced activities in 1935, and in 1936 did not complete a single well. The Aguila company in these years obtained the largest producing capacity, due to the fact that it has drilled in the fields which are at present the richest, those of Poza Rica, in Papantla, and El Plan, in the North­eastern area of the Isthmus of Tehuantepec. The majority of wells which appear as producers of gas are those drilled in the frontier region of Northeastern Mexico, some of which are supplying this fuel to the factories of Monterrey.

WELLS DRILLED IN MEXICAN OIL FIELDS IN THE YEARS 1934, 193 5 AND 1936

OWNING COM? ANY Wells aban­doned

1 9 3 4

Wells in pro­duction

Initial daily

produc­tion

Cubic meters

Wells aban­doned

1 9 3

Wells in pro­duction

S

Initial daily

produc­tion

Cubic meters

T O T A L S

Cia. Mex . d e P e i r . "Bl A s u i b " S o u t h e r n F u e l & Re f in ing ' Co P. J . J o n k e r , S. en C Cia. de I n v e r s i o n e s A z t l a n , :i. A Gulf C o a s t Corp Cia . M e x i e a n a d e O l e o d u c t o a " i m p e r i o "

S. A. M e x i c a n P e t r o l e u m Co I n t e r n a t i o n a l P e t r o l e u m C o Alex , S m i t h C o n s o l i d a t e d Oil Co. of Mex ico F i d e l C. M a r t i n e z \V. H. S o u t h e r l a n d s y Socios Cia. P e t r . T a n c a s n e q u e y A n e x a s J u a n Ig-nacio de A l b a Cia. P e t r o l e r a " M e r c e d e s " M e x i c a n S i n c l a i r P e t r . Co rp C o n t r o l de A d m i n i s t r a c i o n (1-1 i ' e t r 61e j

N a c i o n a l M e x i c a n Gulf Oil Co N e w E n g l a n d F u e l Oil C o T e o d o r o M e z a M o r e n o S t a n f o r d y Cia Cia. P e t r o l e r a " E l C h a r r o " Cia. C a r b o n i f e r a de C. Mier Ohio M e x Oil Corp K e r n M e x Oi l f ie lds , S. A Cia. P e t r o l e r a P a n u c o M a h u a v e a F r a n c i s c o M a z a y L u z B t i e n n e de M a z a . . H a m i l t o n y D e v i n e Cia . P e t r . A l d a m a s y B r a v o R i c h m o n d P e t r o l e u m C o De l a P e n a y L o p e z F i l i g r a n a P e n n M e x F u e l C o T u x p a n P e t r o l e u m C o P e t r 6 1 e o s d e Mexico ( P e t r o m e x ) A m e r i c a n I n t e r n a t i o n a l F i i e l Cia. E x p l o t . d e Y a c i m i e n t o s P e t r . Cia. P e t r o l e r a T i t a n i a B i a s C . M a r M e t l a c P e t r o l e u m Co. P e d r o S a n c h e z N a v a r r o

88

39 11

2

17 5 1 1 1

22 5 1

1

5,370

2,722 42 11 1G

G a s

1,713 27G

7

G a s

32

543

12 1

3 12

35 12

1 1

4,522 3,812

3 9

21

13 212

G a s

404

16 10

Wells aban­doned

1 9 3

Wells in pro­duction

6

Initial daily

produc­tion

Cubic meters

,S89

5,533 4

47

10

32

Gas

150 158

Gas 363

488 79

24

Data from the Petroleum Bureau of the Department of National Economy.

On finishing this brief report, we add a comparative table on the most notable wells in the world, according to our own data and to those of a world-known oil magazine, The Oil Weekly, of Houston, Texas. It will be seen in this table that various Mexican wells are listed in the front rank, far ahead of the others, and among them is "Potrero del Llano No. 4 ," of the "Golden Lane," which has been the largest individual producer in the world. Up to December, 1936, it had produced 117,325,294 barrels. "Cerro Azul No. 4," also in the "Golden Lane," appears in second place; this well came in with 260,000 barrels daily in 1916, and since then has produced a total of 83,635,861 barrels. In the same

table, among other highly productive Mexican wells, only two others are cited: "Casiano No. 7," in the Northern part of the "Golden Lane" and "Zurita No. 3 ," in the Panuco River basin. Following the Mexican wells and likewise i°l

their individual production, come one in Russia, with U>" 000,000 barrels, and then several in the United States, tW largest of which has produced 6,124,136 barrels.

These data, which speak for themselves, together wit'' the favorable geological characteristics of large regions o» Mexican territory, especially on the coastal plains of the Gu'1

of Mexico, strengthen our conviction, which has been cor­roborated by facts as well as by opinion of geologists, tna

A S P E C T S O F T H E P E T R O L E U M I N D U S T R Y I N M E X I C O 113

• pr0«iivcts for future exploitation are very bright, and l j,c wli.u is needed is exploration of new fields, independently , w lu i may still be done in the way of extending the fields

ilicidy Known, as well as deeper drilling in the latter, in scirch «f new productive horizons.

Till- MOST FAMOUS WELLS IN THE WORLD

The American petroleum magazine, The Oil Weekly, in its Jjly ly» 1933 issue, stated that: "To find the most pro­

ductive and amazing oil wells that the world has ever known, it is necessary to turn to 'known Mexico,' where a consid­erable number of wells have produced individually more oil than has been yielded by whole fields of the greatest propor­tions anywhere else."

The following data, cited from this publication and from the official figures of the Petroleum Bureau of the Mexican Department of National Economy, on the wells which have individually produced the most petroleum in the world, cor­roborate the above statement:

WELLS AND LOCATION Date brought in Date of the last recovered pro­

duction

xi r. x i c o • .'Dtrero del Llano No. 4," of Cfa. Mexioana de Petroleo "El

Aguila," S. A., in the Golden Lane, Ttixpam Region Dec. 23, 1910 Deo. 31, 1936 •Csrro Azul No. 4," of the Huasteca Petroleum Co. in the

Golden Lane, Tuxpam Region. . ' . Feb. 16, 1916 Dec. 31, 1936 '•t. asiano No. 7," of the Tamiahua Pet. Co., in the Golden

Lane, Tuxpam Region Sep, HF 1910 Nov. 30, 1919 "Zurita No. 3," of the Mexican Sinclair Petroleum Corp., in

the Panuco River Basin Feb. 21, 1914 Dec. 30, 1928

JI 1; s s i A

"Well 54," of Lot 147, Grozny Field 1917 1927

V N ] T E D S T A T E S

• I 'jwden-Anderson No. 11," of the Texas Company, in the Church Field, Crane County, Texas Aug. 9, 1927 Dec. 15, 1932

"No. 20-A," of the Midwest Refining Co., Section S. E. 25-40-79, In Wyoming 1918

' Hoffman No. 1," of the Superior Co., in North Dome Kettle-man Hills, Calif Sept. 1930 1932

'•-logg No. 58," of The Texas Co., in the Western Columbia Field, Brazoria County, Tex May 18, 1921 Dec. 1, 1932

"\ ates No. 5D,'' of the Mid-Kansas Oil and Gas Co. ano. of the Transcontinental Oil Co. in Yates Field, Pecos Coun­ty, Tex Sept. 7, 1928 Jan. 1, 1932

V E N E Z U E L A "I'arroso No. 2," of the Venezuelan Oil Concessions, Ltd., in

La Rosa Field, Maracaibo Basin Dec. 16,1922 Dec. 26, 1922

Total production up to the date

indicated

18,652,670 M3 117,325,294 Bbls.

13,280,741 M3 83,535,861 Bbls. 11.900,000 M3 75.000,000 Bbls.

3.412,803 M3 21,466,531 Bbls.

2.385,000 M3 15.000,000 Bbls.

973,738 M3 6.124,812 Bbls.

846,516 M3 5.324,000 Bbls.

768,500 M3 4.833,865 Bbls.

745,710 M3 4.690,000 Bbls.

734,580 M3 4.620,000 Bbls.

159,000 M3 1.000,000 Bbls.

R E F I N E R I E S A N D G A S A B S O R P T I O N P L A N T S

Hie fust refineries installed in Mexico were only primary UIM1II.UU111 plants for the separation of the light components »i (.IIKL- petroleum, particularly gasoline and kerosene for donii'suv markets; the residue obtained was used as fuel oil to supply the demand of the National Railways and of a few indnsi:-;t.s established in the country.

At tlK- present time, most of the old refineries have been epl itcil by modern and more efficient plants, in which a

£'">u vai-u.ty of products is obtained.

Hu- increasing demand for gasoline for automobile con-sunipn.n lias obliged the. companies to install cracking plants, > means of which it has been possible to double the yield

o t RiviliiiM from Mexican crude oils.

•> I'-iuiL-imore, the demand for large quantities of asphalt, . 4u-u\l in. tjjg i n t e n s j v e construction of bituminous-coated high-

•'>•• in this country, and the high price paid for Mex-a 'i •Kplnlt in foreign markets, have stimulated the establish-

nt "1 modern "asphalt plants" for the processing of Pa-. . . Cri,''«!, a heavy petroleum from which asphalt of ex-to T^ '' l I ' Y' an(^ *n UP t0 a 60 per cent proportion of the

ll Miiiune of crude treated, is obtained. In \ *" " l s t a ^ a t : i o n of cracking plants in Mexican refineries

«vn of great importance to the national economy, as it

makes it possible to obtain the gasoline necessary for domestic consumption by the processing of a much smaller quantity of petroleum than would have been required in the former primary distillation plants.

If, for example, we take the refining of Poza Rica crude, which is the richest in gasoline content, we find that it yields, by normal distillation methods, only 27 per cent of the volume treated, whereas if the same crude is submitted to cracking in a modern cracking plant, the gasoline yield is equal to 60 per cent of the crude treated.

Moreover, the gasoline obtained from Mexican crudes through normal distillation in the old primary plants has an octane rating of less than SO; while the gasoline produced from the same crudes through the cracking method reaches an octane rating between 65 and 70.

As is well known, the octane rating represents the anti­knock value of any gasoline; it is determined by means of a special motor in which the gasoline is tested, comparing it with various mixtures of two hydrocarbons, one of which, the iso-octane, is practically anti-knock, while the other, the heptane, produces intense knocking in the motor. The octane rating of gasoline thus tested by comparison is the percentage of octane contained in the mixture of octane and heptane

A P P E N D I X T O T H E COMMISSION'S R E P O R T 539

5ELRETARIA DE LA EEQfflSMIA MACIDRAL OFIC1NA DE GEOGRAFiA ECONOMICA

n i«

CAMPOS PETROLEROS DE LA REGION DE PANUCO-TOPILA

(DE LA"CARTA PETROLERA" DEL

|NG. JOSE LOPEZ-PORTILLO.)

ESCALA I ; 100 OOO

MEXICO, D.F.FEB. 1933

TOMADA DE TRAGER

APPENDIX 5. Oil Fields of the Panuco-Topila Zone.

540 M E X I C O ' S O I L

APPENDIX 6. Oil Fields of the Tuxpam Zone and the Golden Lane