In a recent article on Mexican CFE, Bloomberg reports that CFE will submit bids to the energy ministry in January 2015 seeking geothermal projects as well as development areas. The upcoming auction is the first step of the overhaul of the Mexican energy market, we reported before.
Mexico’s energy overhaul approved last year modified a constitutional article to allow for private investment in geothermal projects and CFE is considering partnering with foreign entities.
“There is a great opportunity for geothermal energy in Mexico,” Ochoa said. “It has not been explored much and has been difficult to develop. I am convinced that this legal change is going to result in geothermal energy taking off.”
The energy ministry has 120 days to determine the geothermal areas that CFE will maintain, while remaining areas will be auctioned off in subsequent open bidding rounds, Ochoa said. CFE will also consider establishing joint ventures with private companies to develop geothermal projects, he said.”