GLOSSARY AND NOMENCLATURE CONDENSATE. Liquid hydrocarbons obtained from natural gas recovered in conventional surface separators at producing oil and gas fields. Includes liquid hydrocarbons condensed in natural gas pipelines. CENTRE REGION: Edo. de México, Distrito Federal, Morelos, Tlaxcala, Hidalgo and Puebla. NORTHEAST REGION: Chihuahua, Durango, Coahuila, Tamaulipas and Nuevo León. CRUDE OIL. Excludes condensates and natural gas liquids production. The crude oil recovered can be light or heavy as follows: HEAVY CRUDE OIL. Crude oil with API gravity less or equal than 27. Most of this oil is produced in the Campeche Basin. LIGHT CRUDE OIL. Crude oil with API gravity range from 27 to 38. This type is produced in the Campeche Basin and others areas in the country. NORTHWEST REGION: Baja California, Baja California Sur, Sonora and Sinaloa. CENTRE-WEST REGION: Nayarit, Zacatecas, Aguascalientes, Jalisco, Colima, San Luis Potosí, Guanajuato, Querétaro and Michoacán. SOUTH- SOUTHEAST REGION: Veracruz, Guerrero, Oaxaca, Chiapas, Tabasco, Campeche, Yucatán and Quintana Roo. PUBLIC PRICES. The public prices that are presented correspond to different reference places and are shownn in the folllowing table: LIGHTER CRUDE OIL. Crude oil with API gravity higher than 38. This type of crude oil is produced in the Mesozoic areas of the Southern Region PRODUCT REFERENCE PLACE Regarding crude oil marketing, Mexico exports three varieties with the following typical characteristics: MAYA. Heavy crude oil, 22 API gravity and 3.3 weight % sulfur. ISTMO. Light crude oil, 33.6 API gravity and 1.3 weight % sulfur. OLMECA. Very light crude oil, 39.3 API gravity and 0.8 weight % sulfur. DOMESTIC SALES. Invoiced sales by PEMEX to distributors and national customers throughout the country. Natural gas LPG Jet fuel Heavy fuel oil Acrylonitrile Ammonia Vinyl chloride Styrene Monoethylene glycol FG Ethylene oxide High density polyethylene Low density polyethylene Toluene Central sector additional base with warning FOB price embarking center Abasolo Mexico city airport Producing Center Tula Embarking Center Tula Producing Center Cosoleacaque Producing Center Pajaritos REGIONALIZATION FOR SALES OF REFINED PRODUCTS. Starting from 2002 the regionalization used by the Presidency of Mexican Republic is adopted. 60_PEMEX Statistical Yearbook 2005
DRILLING RIGS IN OPERATION. Average number of rigs daily engaged in drilling wells and corresponding activities such as disassembling, transport, and maintenance. DRY NATURAL GAS. It is natural gas free of heavier liquid hydrocarbons (natural gas liquids) consisting of ethane, propane, butanes and natural gasoline. FIELD (PRODUCING). Fields with producing wells, which include producing and water injection wells in operation and productive wells temporarily shut-off. LIQUEFIED PETROLEUM GAS (LPG). It is a gaseous mixture of propane and butane in different proportions. It is obtained during the fractionation of the natural gas liquids or during the fractionation of the crude oil itself. Lighter fraction of crude oil used for domestic and carburetion purposes. oil or natural gas. Pemex produces petrochemicals and other products that are classified as basic petrochemicals according to the government resolution published on November 13, 1996 in the government s official daily bulletin. The following basic petrochemicals can be manufactured only by the state through Pemex or wholly-owned Pemex s subsidiaries. 1.- Ethane 2.- Propane 3.- Butanes 4.- Pentanes 5.- Hexane 6.- Heptane 7.- Carbon black 8.- Naphthas 9.- Methane, when it proceeds from hydrogen carbides originate in the reservoirs located in national territory and is used as raw material in industrial petrochemical processes. Aditionally some products manufactured by Pemex are not strictly petrochemicals, nevertheless they are traditionally considered so since they are raw materials or by products of petrochemical plants. NATURAL GAS. Light paraffin hydrocarbon mixture, meanly methane, with small amounts of ethane and propane, and in variable proportions of nitrogen, carbon dioxide and hydrogen sulfide. Natural gas can be associated with crude oil or in independent form in unassociated gas wells. NATURAL GASOLINE. It is a highly volatile mixture of pentanes and heavier hydrocarbons as part of the natural gas liquids. Normally it is added to the automotive gasoline to increase its vapor pressure, as well as for starting gasoline engines to low temperatures. The natural gasoline is also used in petroleum industry providing isobutane and isopentane, which are used in the alkylation process. PETROCHEMICAL PRODUCTS. Are those chemicals which are derived in whole or in part from crude PROCESSES OF PEMEX REFINACIÓN ALKYLATION. Process by means of which an isoparaffin (of short chain) combines with an olefin in the presence of a catalyst to form other isoparaffin (of large branched-chain) called alkylate which has a high-octane. CRACKING. Cracking process of great oil molecules in smaller ones. When this process is reached only by application of heat, it is known as thermal disintegration. It is known as catalytic disintegration if a catalyst is used; and as hydrocracking process if it is made in a hydrogen atmosphere. DISTILLATION. Process that consists of heating up a liquid until their more volatile components get their vapor phase in order to be separated, therefore they are recovered in liquid phase by condensation. The meanly target of the distillation is to separate a 61_PEMEX Statistical Yearbook 2005
mixture of several components taking advantage of their different boiling points, or to separate the volatile materials from the nonvolatile ones. FRACTIONATION. It is a distillation process in which small fractions are separated from a hydrocarbon mixture. HYDRODESULFURIZATION. This process eliminates sulfur by its transformation into hydrogen sulfide from a gaseous stream, which it can be easily separated and transformed to elemental sulfur. NORTHEASTERN MARINE REGION: Cantarell and Ku-Maloob-Zaap. SOUTHWESTERN MARINE REGION: Abkatún-Pol-Chuc and Litoral de Tabasco. SOUTHERN REGION: Bellota-Jujo, Cinco Presidentes, Macuspana, Muspac and Samaria-Luna. NORTHERN REGION: Burgos, Poza Rica-Altamira and Veracruz. ISOMERIZATION. Process by means of which the fundamental structure of a molecule is rearranged but nothing is added to or taken away from the original molecule. Butane is isomerized into isobutane for being used in isobutylene alkylation and other olefins for high-octane hydrocarbon production. REFORMING. It is a process that improves the octane number (antidetonation quality) of fractions of gasoline by modifying their molecular structure. It is known as catalytic reforming because a catalyst is used. REFINING CAPACITY. Capacity per day in operation, not capacity per calendar day. The capacity per day in operation refers to the maximum volume processed by a plant working without interruptions. Capacity per calendar day includes the normal interruptions due to maintenance and other causes. REGION. Geographycal coverage assumed by Pemex Exploración y Producción for administrative division. The headquarters are located along the coast of the Gulf of Mexico: Poza Rica, Ver. (Northern Region), Villahermosa, Tab. (Southern Region) and Ciudad del Carmen, Cam. (Northeastern Marine Region and Southwestern Marine Region). INTEGRAL ASSETS. Administrative subdivision of each region. As a result of the restructuring of the regions around their main integral assets, these are distributed as follows: RESERVES PROVED RESERVES (1P). Volume of hydrocarbons measured at atmospheric conditions that can be economically produced with the methods and applicable exploitation systems at the moment of the evaluation, as much primary as secondary. PROBABLE RESERVES (2P). Amount of hydrocarbons estimated at specific date, in perforated or not perforated traps, defined by geologic and geophysical methods, located in adjacent producing deposits areas where it is considered that probabilities exist of obtaining technically and economically production of hydrocarbons, at the same stratigraphic level where proven reserves exist. POSSIBLE RESERVES (3P). Amount of hydrocarbons estimated at specifi c date, in non perforated traps, defi ned by geologic and geophysical methods, located in distant areas from the producers, but within the same producing geologic province, with possibilities of obtaining technically and economically hydrocarbon production, at the same stratigraphic level where proven reserves exist. SAN JOSÉ AGREEMENT. In August 3, 1980 Mexico entered into an agreement with Venezuela to provide each one 80,000 barrels of crude oil daily and refined products to several Central America and Caribbean countries under favourable sale conditions 62_PEMEX Statistical Yearbook 2005
SOUR GAS. It is natural gas containing hydrogen sulfide and carbon dioxide (these last one in greater concentrations up to 50 ppm). WELLS DRILLED. Are those whose rotary drilling operation has been concluded and have cemented casing, but the activities of completion still have not started. SPECIAL TAX ON PRODUCTION AND SERVICES ( SDPS). In the 2004 fiscal year, only were monthly taxed the gasolines and diesel for automotive use with a taxing formula that mix international prices references, cost of distribution and other factors. WELLS COMPLETED. Drilled wells whose total depth has been reached; casing has been run and cemented and is ready to produce after being perforated contiguously to the producing zone; tubing is run; and control and flow valves are installed at the wellhead. WELLS. According to their function, wells are classified in exploratory, which include stratigraphic test wells, and development, which include injection wells. According to the degree of completion, they are classified in wells drilled and wells completed. WET GAS. It is natural gas that contains more than 3 gallons of liquid hydrocarbons per thousand cubic feet of gas. Notes: The totals may not add due to rounding. Annual changes are on a weight basis. The amounts for domestic sales and foreign commerce come from operative areas and they cannot coincide with the figures given by financial areas due to the time elapsed between physical delivery of the product and its account record. 63_PEMEX Statistical Yearbook 2005
NOMENCLATURE C Celsius degrees kg/cm 2 Kilogram per square centimeter km Kilometer m Meter bd Barrels daily Mbd Thousand barrels daily MMb Million barrels MMbpce Million barrels of crude oil equivalent Mm 3 Thousand cubic meters MMMpc Billion cubic feet MMpcd Million cubic feet daily Mt Thousand tonnes FG Fiber grade MTBE Methyl tertiary-butyl ether SDPS Special Tax on Production and Services INPC National Price Index to Consumer VAT Value Added Tax CPG Gas Processing Center OPEC Organization of the Petroleum Exporting Countries PGPB Pemex Gas y Petroquímica Básica PIDIREGAS Projects of Productive Infrastructure of Long Term ppm Parts per million MMUS$ Million of U.S. dollars MM$ Million of Mexican pesos US$/b U.S. dollars per barrel US$/MMBtu U.S. dollars per million of Btu WTI West Texas Intermediate $/kg Mexican pesos per kilogram $/m 3 Mexican pesos per cubic meter... Negligible figure - Zero Value 64_PEMEX Statistical Yearbook 2005