Private Sector SectorRecommendations

8° Meeting of the USMEX

Energy Business Council September 17th,2020

Recommendations

17Sep2020 2

1. Strengthening Energy Security

2. Boost Power Planning, Trade, & Integration

3. Expand Development & Financing of Cross-Border Energy Projects

4. Promotion of Working & Technology Cooperation

These recommendations were presented at the 7° meeting of this Council, in Washington DC on November 5th 2019

Recommendation Focus

Strengthening Energy Security

17Sep2020 3

Key Aspects of Recommendation #1

1. The energy sector plays a critical role in US/MEX economic recovery. There is a significant need to improve energy

infrastructure in Mexico to strengthen North America’s Energy security and take advantage of USMCA’s potential.

• A significant number of US companies have their manufacturing in Mexico, but with the signature of the USMCA and the

recent risk to the supply chain raised by COVID-19, there is an opportunity to increase the manufacturing base in Mexico.

2. Manufacturing companies require a reliable energy system with competitive prices.

• Mexico needs to very rapidly increase the gasoline/diesel reserves in order to guarantee supply.

• A reliable transmission and cybersecure electric power system is a must, and a bigger share of clean energy is required now

by most companies, though many regions still need access to gas.

• Competition is a key element to guarantee reliability thru suppliers' diversification and competitive prices.

• Proper functioning of energy markets is a relevant price for competitiveness.

3. A diverse generation matrix is key to ensuring a stable source of electricity. All forms of clean energy (gas, nuclear,

solar, and wind) should be considered in a balanced manner.

4. Abundance of energy resources in the US are available to Mexico.

• Maintaining free trade and competition among suppliers of energy goods, services, and equipment is critical.

• This is an opportunity for the Region to expand energy options and resources to maximize the reliability of energy systems

on both sides of the border.

5. The participation of the Private Sector in the construction of energy infrastructure allows reduced costs and

maximization of government budgets

• These mechanisms have proven to be useful in order to strengthen energy security.17Sep2020 4

Reducing Energy costs is key to attracting investments

17Sep2020 5

Commercial and industrial Power prices

(USD/ Kwh)Commercial and industrial Power prices

(USD/ Kwh)

Diesel price

(USD/ liter

https://es.globalpetrolprices.com/

Key Questions

1. What is the best way for the private sector to assist the Mexican government in meeting its energy policy

goals?

2. Besides the service contracts, which areas, geographical or functional, are the Mexican government

willing to allow private investment in the energy sector?

3. What US & Mexican companies need to do to unlock more than 150 projects (US$ 60 billions of

investment) in Mexico ?

4. Which areas are the US and Mexican government willing to boost in the Cross border Infrastructure?

USA - Mexico

1. The energy sector is a key element in strengthening trade integration between Mexico and the US and is necessary to

unlock USMCA’s potential in the region.

2. The development of energy infrastructure is a fundamental engine for North America’s economic recovery, growth, and

social development.

3. Energy infrastructure projects require long term certainty in the rule of law and regulatory stability,

4. Governments need to give the private sector agility in securing permits, clarity in authorizations and procedures, and

follow procedures according to what is established by law.

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Private Sector SectorRecommendations

Thank you !

8° Meeting of the USMEX

Energy Business Council September 17th,2020

A g e n d a

Welcome Remarks. (20 min).

Secretary Rocío Nahle, Ministry of Energy of Mexico.Ambassador Christopher Landau, U.S. Embassy in Mexico.Deputy Under Secretary for International Trade Joseph C. Semsar, U.S. Department of Commerce.Assistant Secretary Ted Garrish, U.S. Department of Energy.Under Secretary of Foreign Trade, Luz María de la Mora, Ministry of Economy of Mexico.

Presentation of the Council’s Recommendations. (30 min).

The U.S. and Mexican Sections will present a summary of the recommendations made by the Council’s Working Groups and discuss with the U.S. and Mexican government co-chairs.

Response to recommendations and U.S. Government Officials Outline (Energy Sector Priorities). (20 min).

Representatives from U.S. government will share recent updates and outline their priorities on energy policy with Mexico.

Response to recommendations and Mexican Government Officials Outline (Energy Sector Priorities). (20 min).

Representatives from the Mexican government will outline their priorities in the energy sector.

Closing, and Next Steps. (30 min).

Summary of the Meeting, U.S. and Mexico Private Sector Chairs.Next steps remarks. Head of the National Content Unit, Marcos Ávalos Bracho, Secretaría de Economía.Closing remarks. Deputy Under Secretary for International Trade Joseph C. Semsar, U.S. Department of Commerce.Closing remarks. Assistant Secretary Ted Garrish, U.S. Department of Energy.Closing remarks. Ambassador Martha Bárcena, Ambassador of Mexico to the United States. Closing remarks. Secretary Rocío Nahle, Ministry of Energy Mexico.

PRIVATE SECTOR SESSION

Executive Planning & Strategy Session. (15 min).

Opportunity for the U.S. and Mexico Private Sector Chairs to lead a discussion on the Committee’s medium- and long-term priorities.

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U. S. – MEXICO ENERGY BUSINESS COUNCIL8TH (VIRTUAL) MEETING 17 SEPTEMBER 202012:00 - 14:15 (CDT)

VIRTUAL PLATFORM: VOICEBOXER

A g e n d a

Mensajes de Bienvenida. (20 min).

Secretaria Rocío Nahle, Secretaría de Energía de México.Embajador Christopher Landau, Embajada de Estados Unidos en México.Vice Subsecretario Joseph C. Semsar, Departamento de Comercio de EE.UU.Secretario Asistente Ted Garrish, Departamento de Energía de EE.UU.Subsecretaria Luz María de la Mora, Secretaría de Economía de México.

Presentación de las recomendaciones de las Secciones Empresariales. (30 min).

Las Secciones de los Estados Unidos y México presentarán un resumen de las recomendaciones de consenso hechas por los Grupos de Trabajo del Consejo y participarán en una discusión con los copresidentes de los Estados Unidos y el gobierno mexicano.

Respuesta a recomendaciones y presentación sobre prioridades del sector energético del Gobierno de EE. UU. (20 min).

Representantes de agencias gubernamentales de los Estados Unidos darán respuesta a las recomendaciones de las anteriores reuniones del Consejo y resumirán sus prioridades en materia de política energética con México.

Respuesta a recomendaciones y presentación sobre prioridades del sector energético del Gobierno de México. (20 min).

Representantes del gobierno mexicano darán respuesta a las recomendaciones de las anteriores reuniones del Consejo y expondrán sus prioridades en el sector energético.

Lectura de minuta, cierre y próximos pasos. (30 min).

Lectura de la Minuta de la Sesión Ejecutiva, Presidentes de la Sección Empresarial de México y EE.UU.Resumen de siguientes pasos. Titular de Unidad Marcos Ávalos Bracho, Secretaría de Economía de México.Mensaje de cierre. Vice Subsecretario Joseph C. Semsar, Departamento de Comercio de EE.UU.Mensaje de cierre. Secretario Asistente Ted Garrish, Departamento de Energía de EE.UU.Mensaje de cierre. Embajadora Martha Bárcena, Embajadora de México en Estados Unidos. Mensaje de cierre. Secretaria Rocío Nahle, Secretaría de Energía de México.

Planificación ejecutiva y sesión de estrategia. (15 min).

Oportunidad para que los Presidentes de las Secciones Empresariales de los Estados Unidos y México lideren una discusión que cubra las prioridades del Comité en el mediano y largo plazos, así como cualquier otro tema pertinente.

SESIÓN EJECUTIVA PARA EL SECTOR PRIVADO

SESIÓN DEL CONSEJO DE NEGOCIOS DE ENERGÍA

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CONSEJO DE NEGOCIOS DE ENERGÍA MÉXICO – ESTADOS UNIDOS8ª REUNIÓN (VIRTUAL) 17 DE SEPTIEMBRE 202012:00 - 14:15 (CDT)

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U.S. – Mexico Energy Business Council

MEXICO Ministry of Energy:

1. Rocío Nahle García, Secretary of Energy. 2. Alberto Montoya, Under Secretary of Planning and Energy Transition. 3. Miguel Ángel Maciel, Under Secretary of Hydrocarbons. 4. Sergio Saldaña, Chargé d'Affaires, Under Secretariat of Electricity. 5. Heberto Barrios, Coordinator of Advisors of the Ministry of Energy. 6. Iván Bernal, Director, Undersecretariat of Hydrocarbons. 7. Walter Ángel, Advisor to the Under Secretary of Planning and Energy Transition. 8. Velvet Rosemberg, Director General of International Affairs. 9. Mónica Arellado, Director of International Nuclear Affairs. 10. Juan Carlos López, Deputy Director for North America, Europe and Asia. 11. Gustavo Rojas, Deputy Director, Direction General of International Affairs. 12. Karen Viridiana Ibarra, Liaison for Africa, Middle East and Oil Market. 13. Alejandro Moyo, Liason for Latin America, Direction General of International Affairs.

Ministry of Economy:

1. Luz María de la Mora, Under Secretary of Foreign Trade. 2. Marcos Ávalos, Head of the National Content Unit. 3. César Remis, Head of the International Negotiations Unit. 4. Lydia Antonio, Director General of Follow-up, Administration and Supervision of the Compliance of Trade Agreements. 5. Paola Iza, Deputy Director for the United States.

Ministry of Foreign Affairs:

1. Carlos Castillo, Director General of Bilateral Economic Relations.

Embassy of Mexico in the United States: 1. Martha Bárcena, Ambassador of Mexico to the U.S. 2. Gerardo Lameda, Representative of the Ministry of Economy at the Embassy.

Business Section:

1. Roger González, Global Vice President, CEMEX Energy. 2. Leopoldo Rodríguez, Vice President of Energy, Bal Electric. 3. Antonio Juárez, Director, AMESPAC (Oil and Services Companies Association). 4. Rodolfo Gamboa, Sr VP Oil & Gas, Newpek. 5. Abraham Zamora, VP Corporate Affairs, Nova Energy Infrastructure (IEnova). 6. Julian Willenbrock, CEO, Enlight. 7. Régulo Salinas, Director of Institutional Affairs, Ternium Mexico. 8. Hugo Gómez, Director General, Condumex, Carso Group. 9. Ricardo Ferreiro, CEO, Tecpetrol Mexico. 10. Katya Somohano, Director of Energy, Deacero. 11. José Manuel Becerra, Advisor, CEMEX Energy. 12. Tania Ortiz, Director General, Nova Energy Infrastructure (IEnova). 13. Salvador Ledón, Director of Government Affairs, General Electric Mexico.

Observers:

1. Héctor Camacho, National President of the National Chamber of the Transformation Industry (CANACINTRA). 2. Francisco Cervantes, President of the Confederation of Industrial Chambers (CONCAMIN). 3. Patricio Gutierrez, Vice President of the Petrochemical Industry of the Mexican Energy Council (COMENER) and CEO of Idesa Group. 4. José María Bermúdez, President of the National Association of the Chemical Industry (ANIQ) and Director General of Dow Mexico.

U.S.

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Departament of Energy: 1. Ted Garrish, Assistant Secretary, Office of International Affairs. 2. Beth Urbanas, Deputy Assistant Secretary for Asia and the Americas. 3. Kimberly Ballou, Senior Advisor for Mexico. 4. Ken Stevens, Senior Advisor of International Affairs. 5. Matt Cline, Director of the Office for the Americas.

Departament of Trade:

1. Joe Semsar, Deputy Under Secretary for International Trade. 2. Ian Saunders, Deputy Assistant Secretary for the Western Hemisphere Global Markets. 3. David Olsen, Mexico Desk Officer. 4. Alex Tercero, Mexico Desk Officer. 5. Victoria Yue, Senior Oil and Gas Trade Specialist. 6. Lawson Kluttz, Chif of Staff, Office of the Under Secretary .

Department of State:

1. Rachel Long, Energy Officer. Embassy of the U.S. to Mexico:

1. Amb. Christopher Landau, Ambassador of the U.S. to Mexico. 2. David Kovatch, Representative of the Department of Energy in the Embassy. 3. Braeden Young, Commercial Officere. 4. Claudia Salgado, Trade Specialist. 5. Andrew Winkelman, Energy Officer. 6. Stephen Alley, Minister for Commercial Affairs. 7. Nicole DeSilvis, Commercial Affairs Councelor. 8. Francisco Ceron, Senior Commercial Specialist.

Business Section:

1. Mike Brown, President of Burns & McDonnell International. 2. Robert Perez, Regional Leader and VP, South America and Mexico, Baker Hughes, a GE Company. 3. Hector Estrada, Manager in Mexico, Bechtel. 4. Anuar Barake, Vice President for Mexico and Latin America, Emerson Automation Solutions. 5. Cecilia de la Macorra, Director for the Americas, International Government Relations, ExxonMobil. 6. Tim Tarpley, Vice President of Government Affairs, Petroleum Services & Equipment Association. 7. Julian Alzate, Senior Regional Director, Latin America, Schweitzer Engineering Laboratories, Inc. 8. Mike Dembrak, Vice President of Key Account, Americas, Westinghouse Electric Company. 9. Suzanne Duvall, Westinghouse Electric Company. 10. Matt Pearce, Venn Strategies. 11. Peter Fawley, Venn Strategies. 12. Kris Carlson, Schweitzer Engineering Laboratories, Inc. 13. Eduardo Andrade, Burns & McDonnell Engineering Company. 14. Mike Talboy, Burns & McDonnell Engineering Company. 15. Ana Matute, Emerson Automated Solutions. 16. Miguel Carreon, Baker Hughes, a GE Company. 17. Paul Schulze, Hunt Consolidated Energy, LLC 18. Bill Bojorquez, Hunt Consolidated Energy, LLC

Consejo de Negocios de Energía México - EUA MÉXICO Secretaría de Energía:

1. Rocío Nahle García, Secretaria de Energía. 2. Alberto Montoya, Subsecretario de Planeación y Transición Energética. 3. Miguel Ángel Maciel, Subsecretario de Hidrocarburos. 4. Sergio Saldaña, Encargado de Despacho, Subsecretaría de Electricidad. 5. Heberto barrios, Coordinador de Asesores de la Secretaria de Energía. 6. Iván Bernal, Director de la Subsecretaría de Hidrocarburos. 7. Walter Ángel, Asesor del Subsecretario de Planeación y Transición Energética. 8. Velvet Rosemberg, Directora General de Asuntos Internacionales. 9. Mónica Arellano, Directora para Asuntos Nucleares. 10. Juan Carlos López, Subdirector para América del Norte, Europa y Asia. 11. Gustavo Rojas, Subdirector para Asuntos Nucleares. 12. Karen Viridiana Ibarra, Enlace para África, Medio Oriente y Mercado Petrolero. 13. Jorge Alejandro Moyo, Enlace para América Latina.

Secretaría de Economía:

1. Luz María de la Mora, Subsecretaria de Comercio Exterior. 2. Marcos Ávalos, Jefe de la Unidad de Contenido Nacional. 3. César Remis, Jefe de la Unidad de Negociaciones Internacionales. 4. Lydia Antonio, Directora General de Seguimiento, Administración y Supervisión del Cumplimiento de Tratados

Comerciales. 5. Paola Iza, Subdirectora para Estados Unidos.

Secretaría de Relaciones Exteriores:

1. Carlos Castillo, Director General de Relaciones Económicas Bilaterales Embajada de México en Estados Unidos:

1. Martha Bárcena, Embajadora de México en Estados Unidos. 2. Gerardo Lameda, Representante de la Secretaría de Economía en la Embajada.

Sección Empresarial:

1. Roger González, Vicepresidente Global, CEMEX Energía. 2. Leopoldo Rodríguez, Vicepresidente de Energía, Eléctrica Bal. 3. Antonio Juárez, Director, AMESPAC (Oil and Services Companies Association) 4. Rodolfo Gamboa, Sr VP Oil & Gas, Newpek.. 5. Abraham Zamora, VP Asuntos Corporativos, Nova Energy Infrastructure (IEnova). 6. Julian Willenbrock, CEO, Enlight. 7. Régulo Salinas, Director de Asuntos Institucionales, Ternium México. 8. Hugo Gómez, Director General, Condumex, Grupo Carso. 9. Ricardo Ferreiro, CEO, Tecpetrol México. 10. Katya Somohano, Directora de Energía, Deacero. 11. José Manuel Becerra, Asesor, CEMEX Energía. 12. Tania Ortiz, Director General, Nova Energy Infrastructure (IEnova). 13. Salvador Ledón, Director de Asuntos Gubernamentales, General Electric México.

Observadores:

1. Héctor Camacho, Presidente Nacional de la Cámara Nacional de la Industria de la Transformación (CANACINTRA). 2. Francisco Cervantes, Presidente de la Confederación de Cámaras Industriales (CONCAMIN).

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3. Patricio Gutierrez, Vicepresidente de Industria Petroquímica del Consejo Mexicano de Energía (COMENER) y CEO de Grupo Idesa.

4. José María Bermúdez, Presidente de la Asociación Nacional de la Industria Química (ANIQ) y Director General de Dow México.

ESTADOS UNIDOS Departamento de Energía:

1. Ted Garrish, Secretario Asistente, Oficina de Asuntos Internacionales. 2. Beth Urbanas, Vice Secretaria Asistente para Asia y las Américas. 3. Kimberly Ballou, Asesor Senior para México. 4. Ken Stevens, Asesor Senior de Asuntos Internacional. 5. Matt Cline, Director de la Oficina para las Américas.

Departamento de Comercio:

1. Joe Semsar, Subsecretario Adjunto de Comercio Internacional. 2. Ian Saunders, Subsecretario Adjunto para el Hemisferio Occidental. 3. David Olsen, Oficina para México. 4. Alex Tercero, Oficina para México. 5. Victoria Yue, Especialista senior en comercio de petróleo y gas. 6. Lawson Kluttz, Jefe de Oficina.

Secretaría de Estado:

1. Rachel Long, Oficina para México. Embajada de Estados Unidos en México:

1. Emb. Christopher Landau, Embajador de Estados Unidos en México. 2. David Kovatch, Representante del Departamento de Energía en la Embajada. 3. Braeden Young, Agregado Comercial. 4. Claudia Salgado, Especialista de Comercio. 5. Andrew Winkelman, Agregado Económico 6. Stephen Alley, Ministro Consejero de Asuntos Comerciales. 7. Nicole DeSilvis, Consejero de Asuntos Comerciales. 8. Francisco Ceron, Oficial Comercial Senior

Sección Empresarial:

1. Mike Brown, Presidente de Burns & McDonnell International. 2. Robert Perez, Líder Regional y VP VP, South America and Mexico, Baker Hughes, a GE Company. 3. Hector Estrada, Administrador en México, Bechtel. 4. Anuar Barake, Vicepresidente para México y América Latina, Emerson Automation Solutions. 5. Cecilia de la Macorra, Director para las Américas, International Government Relations, ExxonMobile. 6. Tim Tarpley, Vicepresidente de Asuntos de Gobierno, Petroleum Services & Equipment Association. 7. Julian Alzate, Director Regional Senior, Latin America, Schweitzer Engineering Laboratories, Inc. 8. Mike Dembrak, Vicepresidente de Cuenta Clave, Americas, Westinghouse Electric Company. 9. Suzanne Duvall, Westinghouse Electric Company. 10. Matt Pearce, Venn Strategies. 11. Peter Fawley, Venn Strategies. 12. Kris Carlson, Schweitzer Engineering Laboratories, Inc. 13. Eduardo Andrade, Burns & McDonnell Engineering Company. 14. Mike Talboy, Burns & McDonnell Engineering Company. 15. Ana Matute, Emerson Automated Solutions.

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16. Miguel Carreon, Baker Hughes, a GE Company. 17. Paul Schulze, Hunt Consolidated Energy, LLC. 18. Bill Bojorquez, Hunt Consolidated Energy, LLC.

Private Sector SectionRecommendations

Presented at the Official EBC meeting in Washington DC on November 5th

Washington, November 5th

Recommendation Set 1

Strengthening Energy Security

➢ Government Actions

➢ Create a task force of the EBC and US and Mexican governments to lead and execute this initiative.➢ Engage key Mexican, US and other international investors to identify infrastructure bottlenecks.➢ Work with SENER, Economia and CRE to establish an agenda to remove policy and regulatory bottlenecks.➢ Engage OPIC to create an accelerated program to consider proposals for finance, insurance and political risk.➢ Reach out to industry associations to engage on workshops on pipeline security and best practices. ➢ Establish implementation plan, milestones and investment targets.➢ Seek to have operational by end 1Q2020.

Recommendations

• #2 – Build midstream and downstream infrastructure to secure energy supplies.• #6 – Enhance the security, reliability and resilience of energy systems.• #7 – Maintain free trade of energy goods, services, and equipment.• - - - Maintain the mechanism of Oil Auctions and Farm Outs

Goal: Build resilient infrastructure and stable markets for refined products in Mexico.

Objectives

• Build resilient infrastructure and stable markets for Energy supplies, such as natural gas and refined products, in Mexico

• Mexico has only 3 days of reserves for refined products; subject to disruption; needs storage and better transit infrastructure.

• Oil prices projected to decline, leading to lower refined product prices. Opportunity to combine that with infrastructure investment to deliver price and stability benefits to Mexican consumers.

• US investors, PEMEX and Mexican commercial players have a shared incentive to explore and invest in infrastructure security – helping to take burden off the state.

Impact area

Energy

Security

Free Flow

of Goods

Midstream/

Downstream

Infrastructure

Reliability &

Resiliency

Agencies

• U.S. – DOE, USTR, Commerce, OPIC, NERC, FERC

• Mexico – SENER, CFE, CRE, CENACE, PEMEX, CENAGAS

Washington, November 5th

Recommendation Set 2

Boost Power Planning, Trade, & Integration

Recommendations

To increase the wholesale trade of electricity across the border, a binational regional electric system planning and project evaluation committee must be created to expand trade and buildout of new infrastructure while enhancing the security, reliability, and resilience of North America’s energy systems.

1. Encourage the Mexican Secretariat of Energy and CENACE to continue collaborating and enter into new agreements with the different electricity planning organizations in the US with the purpose of creating a comprehensive binational electric system planning and evaluation committee that would facilitate the buildout of an expanded, robust and resilient US-Mexico electricity grid.

2. Bolster the formation of a cross-border electricity marketplace that promotes streamlined and seamless wholesale trade, the efficient and continuous usage of existing cross-border facilities, and the basis for investments in new infrastructure.

3. Analyze in depth the different generation technologies available on both sides of the border and its sub-regions to take advantage of the complementary generation profiles for maximizing its use at any time maximizing the use of renewable technologies thus minimizing the use of fuel-based technologies for backup at any time.

Recommendations (cont.)

4. Support the initiative from DOE’s Office of Electricity (OE) to develop a kit for the North American Energy Resilience Model (NAERM) which will be a key component of the proposed binational electric system planning committee and therefore recommend the Mexican government to support this initiative.

5. Invite both governments to engage in a dialogue that would lead to a homogeneous regulatory environment that provides certainty to investments and fosters the free trade of electricity products -Energy, Capacity and Clean Energy Certificates - between both countries.

6. Support the US Government proposal to engage with relevant Mexican stakeholders to expand the U.S. Department of Energy’s Regulatory and Permitting Information Desktop RAPID Toolkit to include Mexican federal agencies with jurisdiction over cross border electricity transmission projects.

7. Encourage and support the US Government funding of the Pacific Northwest National Lab (PNNL) to support Mexico’s adoption of reliability and cybersecurity best practices.

8. Recommend the Mexican regulatory agencies to utilize NERCs resources that provide technical assistance to CRE and CENACE for enhancing the reliability and security of interconnected power systems between the two countries.

Objectives

• Expand the power connectivity between both countries to boost competitiveness through lower electricity prices, and build a stronger and resilient grid

• Increase the trade of wholesale electricity to decrease the carbon footprint and assure the construction of a resilient, reliable and secure energy infrastructure network

• Increasing the transparency and certainty on North American electric system regulations would mitigate development risks by accelerating permitting and providing legal and commercial certainty which will attract more investments.

• Improve competitiveness and energy security through technical assistance and best practices.

Agencies

• U.S. – DOE, FERC, NERC, ERCOT, WECC, CAISO

• Mexico – CFE, CRE, CENACE

Government Actions

• How can governments coordinate on grid modernization/resiliency?

• How to access/knowledge of U.S. regulations to help grid integration?

Impact Area

Free Flow of Goods

Reliability &Resiliency

Energy Security

Cooperation & Planning

Washington, November 5th

Recommendation Set 3

Expand Development & Financing of Cross-Border Energy Projects

Recommendations

• #2 – Build midstream and downstream infrastructure to secure energy supplies.

• #3 – Allow the NAD Bank to invest in energy infrastructure across both countries.

Government Actions

• What are the potential projects in midstream and downstream infrastructure, building redundancies and storage capacity (including power generation, natural gas, fuels and petrochemicals) that would bolster Mexico’s energy inventories and prevent disruptions?

• What strategies can Treasury explore to boost NAD Bank’s economic impact, including increasing capitalization, expanding its scope to other sectors beyond renewable energy and expansion of geographical jurisdiction?

Objectives

• Expand development and financing opportunities to more energy projects across the value chain, in support of the Mexican government program for the development of Southeastern Mexico and expand Nadbank's jurisdiction to cover all of Mexico.

• Secure energy inventories and build energy capacity.

Impact area

Boosting the NAD Bank

Midstream/

Downstream

Project

Financing

Agencies

• U.S. – DOE, Commerce, OPIC, Treasury, State

• Mexico –NAFIN,SHCP, SE

Washington, November 5th

Recommendation Set 4

Promote of Working & Technology Cooperation

Impact area

New Energy Exploration

Consultation, Planningand Technology Transfer

Workforce Development

Agencies

• U.S. – Commerce, DOE

• Mexico – Secretariat of Economy, CNH, ASEA, SEMARNAT, IMP

Government Actions

• How can DOE work with SENER to develop unconventional energy resources?

• What are the DOE programs that can be shared to boost human knowledge in Mexico?

• How can the Secretariat of Economy incentivize US companies to invest in youth training and technology transfer initiatives by increasing recognition of National Content rules?

Objectives

• Advance technology transfer and help build a qualified workforce in Mexico that could increase local content in Energy Projects.

• Boost Mexico and PEMEX’s production of untapped resources.

Recommendations

• #1 – Geosciences, Engineering, Automation, and Digitalization training/certification.

• #8 – Allow use of new energy exploration technologies and provide expert consultation.

Thank you!