Speaker Q&A Series – Ignacio Quesada, Managing Director, Alvarez & Marsal
With the Mexican Energy Series approaching, The Energy Dialogues team is running a Speaker Q&A Series to bring first-hand content from our speakers to our network.
We had the opportunity to speak with Ignacio Quesada, Managing Director at Alvarez & Marsal and expert in financial and strategic consulting for the energy industry, who has provided us a glimpse into the current business environment with this Q&A:
Q: Which of the partnerships that have been established since the reform do you consider to be a good example of what can be accomplished by the energy reform?
In general I have seen two types of partnerships:
- Solid where both sides have clear roles and contributions to the JV. In particular several ones where the foreign participant brings expertise and financial capabilities and the local one has Mexican knowledge, local operation and administration
- Weak where the foreigner is not a real player but more of a services provider trying to expand business scope and the local partner is a newcomer trying to start a new business
Q: Have you seen any new investment opportunities arising?
Apart from the traditional ones there are plenty of things happening in support investments, for example gathering and separation systems, transportation.
Q: What game plans do you think companies should have in place to deal with low oil prices?
Opportunities have to be robust because of the asset and in a long-term horizon. If high oil prices are necessary for the particular opportunity then probably it should not be developed with the current volatility in the market and lead times to develop the Mexican industry.
Q: What important developments do you think have emerged from the bid rounds?
We finally saw the oil companies participating. And we will start seeing changes of ownership or return of blocks from some of the initial rounds.
Ignacio Quesada will be participating in an Upstream Day panel discussion on working with government agencies, productivity, opportunity, and transparency. Join us for either Upstream, Midstream or Power & Electricity Day—or all three—and increase success by creating valuable partnerships as well as learning about the most pressing issues in the North American energy industry through discourse and networking. Register today.