US, WASHINGTON (ORDO NEWS) — Mexican oil company Pemex reported a decrease in the value of exports of Mexican mixture almost to cost – 14.54 dollars US per barrel.
The figure reflecting the average price level for various regions and supply formulas was posted on the company’s website with a delay in connection with the celebration on the eve of the 82nd anniversary of the expropriation of the country’s natural resources.
The daily decrease in the price of the Mexican mixture by 22.57% lowered it to an 18-year low amid fears of a global recession and Saudi Arabia ‘s statements about a sharp increase in production and lowering prices for its oil after the collapse of the OPEC + deal.
On the eve of Pemex CEO Octavio Romero Oropesa, according to the results of 2019, the average cost of oil production in the company rose to $ 14.2 per barrel, although at fields, including Taekit, Iksachi, and Mulach, it is 4.8 dollars.
Pemex management rejects claims that the company is unprofitable, pointing to a 29% EBITDA in 2019 and an increase in daily production of 175 thousand barrels per day compared to January 2019.
After the onset of the oil crisis, Pemex, a Mexican oil corporation, announced that it had the resources to ensure liquidity of all operations and debt servicing through revolving credit lines and, in addition, it received insurance payments from the pool of insurers envisaged when the oil price fell below $ 49 per barrel.
At the end of 2019, the company’s debt to international creditors amounted to $ 103.7 billion. The decrease in daily production was 7.4% compared to 2018 (1.678 million barrels per day), annual revenue fell 16% to $ 73 billion.
Support for the oil and gas industry and the state-owned company Petroleros Mexicanos (Pemex) has been declared one of the priorities in the financial policy of the current government. Mexico’s budget for 2020 includes $ 4.3 billion for the capitalization of Pemex, and the tax burden in 2020-2021 will be 128 billion pesos (more than $ 6.7 billion).
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