ESAI Energy has followed Latin American energy markets closely for decades. In 2014, ESAI Energy published Tipping the Scale: Latin America Refined Product Markets and their Impact on the Americas, the Atlantic Basin, and East of Suez to 2020. This multi-client study presented a detailed outlook on the region’s refining investment, its supply and demand of refined products, and how its product deficits and surpluses will impact pricing and trading in the Western Hemisphere and beyond. It built upon ESAI Energy’s 2012 multi-client report, One-Two Punch: East Coast Spurns Europe, Gulf Coast Targets Latin America, which focused on changes in U.S. product markets and addressed the expansion of USGC exports to Latin America and the Caribbean. These reports have provided valuable insight on the growth of Latin America as a key sink for exporters and traders in refined product markets in recent years.
Our insight into Latin America has traced the diversity, complexity and volatility that defines the energy industry in this region, collectively one of the largest exporters in the world. We have provided insight on Venezuela from the Apertura Petrolera in the 1990s, through the government seizure of petroleum assets in the following decade, and up to the recent social and economic crises affecting this key OPEC member. We have followed closely the development of Brazil’s energy industries through in-depth analysis of investment in offshore oil deposits, the refining sector and the biofuels industry, which is the second largest in the world. We have established the flexibility to cover conditions in a free market crude importer like Chile as much as a tightly controlled crude exporter like Ecuador.
Since 2001, ESAI Energy has published Latin America Watch. This monthly report focuses on upcoming changes in the region’s crude and product markets in the near, medium and long term. It provides data and forecasts on supply, demand and balances in key Latin American countries and analytical insight into how these markets will evolve. Meanwhile, because politics remains a key variable in determining the trajectory of petroleum and alternatives markets in the region, Latin America Watch maintains a tight grip on the pulse of change in energy-related political affairs and policies. In June 2013, the publication detailed the expected impacts of Mexico’s landmark energy reform six months before its approval by the Mexican Congress.
Latin America’s oil production is moving toward greater exploitation of non-conventional resources, its export markets are migrating to Asia, its refining sectors are confronting the need for greater sophistication, and its refined product deficits are gaining greater influence on global trade and price benchmarks. ESAI Energy helps its clients manage these and other changes with insightful quantitative and qualitative analyses of a region that contains substantial opportunities and challenges.