1. The role of national content policies in the transformation of the oil and gas industry in Mexico September 2015

2. Crude Oil Investment vs. Production Crude oil production (million barrels per day) Investment in E&P (billion USD)

3. 3 21 laws 26 regulations Legislation Bolster CRE and CNH Creation of ASEA, CENACE, CENAGAS, FMP Institutions Transformation of PEMEX and CFE State Enterprises Development of National Suppliers and Contractors * Universal Electrice Service Funds Methodology for Local Content * Advising Council * Strategic Program for the Training of Human Resources * Modernization of the IMP * Creations of 3 research and development centers* Support to the National Industry Round Zero, Round One Rounds Energy Reform

4. Prospective Resources Source: CNH, reservas y recursos prospectivos al 1° de enero de 2015 * * * *

5. Production, reserves and prospective resources (billions of barrels of oil equivalent) Basin Cummu- lative Prod. Reserves 1P (90%) 2P (50%) 3P (10%) Cuencas del Sureste 46.711.415.621.3 Tampico Misantla* 7.41.16.212.8 Burgos* 2.60.30.50.8 Veracruz 0.90.2 0.3 Sabinas* 0.10.0 0.1 Deepwater GoM* 0.00.10.52.2 Plataforma de Yucatán 0.0 Total 57.7*13.022.937.4 Source: CNH, reservas y recursos prospectivos al 1° de enero de 2015 Prospective Resources ConventionalUnconventional Deep water 14.5 2.434.9 3.210.8 1.40.6 0.414.0 0.027.8 1.80.0 24.860.227.8 112.8 * Observed Recovey factor of 18% and an expected recovery factor of 30%

6. Source: Rystad Energy research and analysis Breakeven prices per project * * *

7. Future oil production will have higher costs of production & as a result there the space for capturing rent will reduce, so it is necessary to open opportunities for technology development Future oil and gas production in Mexico Oil production costs in Mexico have been low, opening space for oil rent capture. Prospective Resources

8. The success of the reform depends on the benefits for the Mexican society, not only on increasing production. Both the automotive and aerospace industries in Mexico are clear examples of the country´s capacity. Mexico can host a new industrial center for supplying goods and services for the world industry, cutting costs for operators in both sides of the Gulf of Mexico. It is in the best interest of the industry, national and international, to materialize these benefits. Future oil & gas production in Mexico

9. www.energia.gob.mx http://ronda1.gob.mx