Posted on 10/26/2014 6:57:02 AM PDT by thackney
State-owned, Mexican oil company Petróleos Mexicanos reported a stiff loss and declining production in the third quarter of 2014, as Mexico nears a historic transition to an open energy industry.
Pemex said it lost 59.8 billion pesos or $4.4 billion during the July to September period, compared with a year earlier loss of 39.2 billion pesos or $2.9 billion.
The loss was driven by falling oil prices and declining production, among other reasons, executives told investors on a Friday conference call.
Pemex said it pumped an average of 2.4 million barrels per day in the most recent quarter, down about 4.3 percent from the same period in 2013. The decrease was primarily due to declining production in the Cantarell field, executives said, but was slightly offset by an increase in production of extra-light crude oil.
The loss and declining production are the latest in a long string of negative figures for the Mexican company. Bloomberg reported the loss was Pemex’s eighth in a row, while the production figures pushed the company to its lowest output in 24 years.
Pemex executives also addressed the reforms that many are expecting to revive the nation’s energy industry. Pemex is expected to undergo a restructuring that will make the company more competitive with the private companies soon to be allowed into the market.
“Both a new structure as well as increasing resource service and accountability will strengthen Pemex’s corporate governance,” said Rodolfo Villegas, Pemex’s treasury and finance subdirector.
“Pemex said it lost 59.8 billion pesos or $4.4 billion during the July to September period, compared with a year earlier loss of 39.2 billion pesos or $2.9 billion.”
By coincidence, government employees and politicians saw a $4.4 billion increase in their bank accounts during the same period.
Have they laid off all the unneeded employees, probably kept on the payroll for political reasons?
If you have ever driven in Mexico you will find two or three Pemex gas station in a single block. Each gas station has an employee per pump.
Of course not. Losing money is nothing new for them.
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