Pemex says discovers shallow water oil fields in southern gulf

Mexican state oil giant Pemex has discovered new shallow water oil fields in the southern Gulf of Mexico, and could contribute 200,000 bpd to production fairly quickly, the company said on Wednesday.

The total proven, probable and possible reserves of the fields could be as high as 350 million barrels of crude-oil equivalent, Pemex CEO Emilio Lozoya told an oil conference in Guadalajara, dubbing it a recent find of great magnitude.

"It's a recent achievement and one of great magnitude," Lozoya said.

The find could deliver a boost to government revenues, which relies on Pemex to provide about a third of the federal budget.

Pemex said in a statement the finds were its biggest exploration success in the last five years after the discoveries in Tsimin-Xux and Ayatsil, also in the southern Gulf.

The new finds were also expected to generate production of 170 million cubic feet of gas per day.

Output at Pemex has fallen from a peak of 3.4 million bpd in 2004 to less than 2.4 million bpd today.

Following a reform to end the company's oil and gas monopoly, Pemex also faces the prospect of tough competition from oil majors and other private companies coming to Mexico.