"Mexico's Oil Politics Keeps Riches Just Out of Reach"

"VENUSTIANO CARRANZA, Mexico -- To the Mexican people, one of the great achievements in their history was the day their president kicked out foreign oil companies in 1938. Thus, they celebrate March 18 as a civic holiday.

Yet today, that 72-year-old act has put Mexico in a straitjacket, one that threatens both the welfare of the country and the oil supply of the United States.

The national oil company created after the 1938 seizure, Pemex, is entering a period of turmoil. Oil production in its aging fields is sagging so rapidly that Mexico, long one of the world's top oil-exporting countries, could begin importing oil within the decade."

Clifford Krauss and Elisabeth Malkin report for the New York Times March 8, 2010.

Source: NYTimes, 03/09/2010