Resource Management in Latin America
Recent years have brought important changes to the oil sector in several Latin American producing countries. Though regional reports have suggested a move toward tighter state control over the industry, under scrutiny, the region in fact reveals a much more diverse environment of trends and practices.
Some countries have relied on state-owned monopolies or a mix of public and private companies, and others have consigned the oil sector to private enterprise and the free market.
Originally published in Spanish in 2007, this survey by economist Humberto Campodonico offers detailed insights into the approaches to oil sector management in eight Latin American countries between 2000 and 2005. The analysis of this period is crucial to understanding the recent transformation of the regional environment for petroleum operations.
The report assesses each country’s performance against a common set of questions: What legal changes to the upstream sector were enacted in recent years? What changes, if any, resulted in investment flows to the upstream sector? How have financial indicators for national oil companies (NOCs) and other state-owned oil been affected? And, how have governments benefited from revenue generated by petroleum exploration and production? Although the report does not offer cross-comparisons, it provides valuable information for anyone seeking to understand the choices each country has made as it develops its oil reserves.
