Photo: Deposit Photos

By KELIN DILLON

According to newly released financial audits of Mexico’s state-owned oil company Petróleos Mexicanos (Pemex), Pemex lost $32.20 per barrel of crude oil processed through the Mexican National Refining System (SNR) between 2019 and September 2023.

This marks a 168 percent increase in Pemex’s net losses between 2013 and 2018, where the oil company lost an average of $12 per barrel of crude oil.

Francisco Barnés de Castro, the previous commissioner of the Energy Regulatory Commission (CRE), noted that Pemex’s crude oil processing losses are uncharacteristically high when juxtaposed with global competitors’ profits.

In comparison to Pemex’s $32.20 per barrel losses, Brazilian oil company Petrobras earned $5.60 per barrel of crude oil, while American companies Marathon, ExxonMobil and Valero earned a respective $3.50, $3.19 and $1.60 per barrel between 2019 and 2022.

 “Although refining is a business with lower margins and profits than crude oil production, the vast majority of the world’s oil companies, both public and private, have been operating with profits,” said Barnés de Castro.

The news comes just days after big three rating agency Moody’s slashed Pemex’s rating by two levels from B1 to B3 as a result of the oil company’s lack of investment capital, its plans to expand its refining operations and continually faltering performance. 

The rating agency went on to predict that Pemex’s refining sector will continue to experience operating losses while the company as a whole will remain at risk of oil market volatility in the medium term. 

The price of Pemex bonds fell 1.29 percent on Monday, Feb. 12 following news of Moody’s ratings cut to the oil company.