As reported by The Energy Tribune, Brazil now outshines a number of other Latin American countries in new regional petroleum reserve rankings. As the article notes:

“…For the first time, Brazil has surpassed Mexico in terms of proved oil reserves, according to the country’s hydrocarbons regulator, A.N.P. Brazil boasted 12.6 billion barrels at the end of 2007, compared to Mexico’s 12.2 billion barrels. What is worse, Mexico’s reserves have been declining for years, while Brazil has made steady improvements.

The reasons for Mexico’s slip are clear. The country cannot attract foreign investors while staterun Pemex, with its weak investment portfolio, is the government’s cash cow. Now that the prolific Cantarell field is in natural decline, Pemex is struggling to discover and develop new fields. Brazil, meanwhile, enjoys a competitive energy sector that has reported several worldclass discoveries in recent months.

Not surprisingly, Venezuela still dominates Latin America, ending 2007 with 87 billion barrels of proved reserves. Brazil still lags far behind the two Latin American leaders in terms of production.