Mexico is accelerating efforts to develop its domestic unconventional gas reserves, with lawmakers and state oil giant Pemex shaping a new framework of tax breaks and streamlined permits.
The initiative targets the Burgos Basin, a key shale region, as part of a broader strategy to reduce reliance on natural gas imports from the United States.
President Claudia Sheinbaum has explicitly endorsed the pivot toward unconventional gas development, marking a significant policy reversal from previous administrations that were more cautious about fracking.
The move comes as Mexico seeks to bolster energy security and stabilize domestic fuel costs.
Recent adjustments to fiscal subsidies for Magna gasoline and diesel have highlighted the sensitivity of the national budget to international energy prices.
By unlocking domestic shale resources, the government aims to create a more resilient supply chain that is less exposed to cross-border price volatility and geopolitical shifts.