only six productive shale gas and tight oil wells drilled in Mexico (a seventh was abandoned as non-productive), all producing from Eagle Ford equivalent. The national oil company Pemex has limited investment capital, and focuses its effort on what it sees as higher-return conventional oil and gas projects, rather than gas shales or tight oil. The US Energy Information Administration estimates Mexico's recoverable reserves of shale gas to be 681 trillion cubic feet, the fourth largest shale gas reserves in the world. In Mexico's case, the relevance of shale gas passed from official speeches to energy policy priorities, with two scenarios of production included in the Energy Strategy 2012. With five shale basins preliminarily identified, the business-as-usual scenario in the Strategy encompassed the development of only one shale gas play, with the more favorable scenario adding another play. For each scenario, production would start by 2016 with the output expected amounting to 15% and 29% from the total gas production expected by 2026. By early 2013, the thrill of shale gas started to transform, with less fanfare in the edition of the Strategy that year, recognizing that in spite of the considerable shale gas potential, the path of development chosen would be constrained by Mexico's legal and economic framework, with more favorable opportunities depending on the implementation of more ambitious measures, namely an energy reform that could complement the state-owned oil and gas monopoly of more than 75 years While this reform was eventually accomplished, other challenges must be surmounted. Mexico's shale oil and gas development close to the US border is hampered by the activities of organized criminal groups that include the theft of pipeline products and the extortion to companies in the extractive industries, along with lack of adequate infrastructure; overall, this has resulted in the low economic competitiveness of Mexico's shales in comparison with those across the border in the United States soil. It remains to be seen if the awaited Mexican energy reform will overcome these drawbacks. Owing to Mexico's weak rule of law and poor success in previous major industry reforms, the legal changes brought about might as well end up worsening the drawbacks in the energy sector and namely in the development of the country's shale resources. United States The first commercial gas well drilled in the US, in 1821 in Fredonia, New York, was a shale gas well producing from the Devonian Fredonia