Woodside Energy and Pemex have signed a non-binding memorandum of understanding covering new deep-water prospects in the Gulf of Mexico, from initial exploration through eventual extraction. The agreement also opens a channel for the two companies to trade technical know-how and share operating experience in the sector.
The MOU was signed in Mexico City after a meeting between Woodside chief executive Liz Westcott and Pemex chief executive Juan Carlos Carpio Fragoso. Westcott said the deal "opens the door to explore future opportunities to work together in Mexico's deepwater." She also credited Mexico's secretary of energy, Luz Elena González Escobar, for backing the two companies' continued work on the country's deepwater resources.
Built on the Trion project
The new MOU extends Woodside Energy and Pemex's work in Mexico's deep-water upstream sector beyond a project the two companies already run together. Woodside and Pemex jointly develop the Trion oil project, which sits roughly 180 kilometers offshore and about 30 kilometers south of the maritime line separating Mexico and the United States, in water 2,500 meters deep. Trion would be Mexico's first project in ultra-deep water, and first oil is targeted for 2028.
Ultra-deepwater fields lie far beyond the reach of a fixed platform. Operators instead rely on floating production systems tied to wells on the seabed by long risers, adding cost and engineering complexity to every stage of the work.
As of June 30, 2026, Trion was 64% complete, with a forecast capital investment of US$7.2 billion. Woodside operates the project and holds a 60% stake; Pemex holds the remaining 40%.
| Trion project | Detail |
|---|---|
| Location | About 180 km offshore, 30 km south of the US-Mexico maritime line |
| Water depth | 2,500 meters |
| Completion, June 30 2026 | 64% |
| Capital investment | US$7.2 billion |
| Ownership | Woodside 60% (operator), Pemex 40% |
| First oil target | 2028 |
| Forecast taxes and royalties | More than US$10 billion over the project's life |
Woodside said Trion is expected to bring more than US$10 billion in taxes and royalties to Mexico over the life of the project.
