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The News
Friday 18 of September 2020

Pemex Loses Billions During 2015


A view of Mexico's national oil company Pemex's refinery in Salamanca, in Guanajuato,photo: Reuters/Edgard Garrido
A view of Mexico's national oil company Pemex's refinery in Salamanca, in Guanajuato,photo: Reuters/Edgard Garrido
The net loss was a result of a reduction in revenues caused by the global drop in oil prices, among other factors

The drop in oil prices represented a net loss of 712.6 billion pesos ($40 billion) for Petróleos Mexicanos (Pemex) during 2015.

Pemex, in its 2015 Annual Report presented to the Permanent Committee of the Mexican Congress, acknowledges that it suffered a significant decrease in the price of the Mexican crude oil export. In 2014, Mexican oil was valued at $85.4 per barrel on average, with its price dropping to $43.2 per barrel in 2015.

This meant a decrease of approximately 50 percent, which negatively impacted Pemex’s finances and affected the estimates of its hydrocarbon reserves, because investments in this area were reduced.

As of Dec. 31, 2015, the net loss was 712.6 billion pesos, 447 billion pesos more than what was recorded the previous year.

The net loss was a result of a reduction in revenues caused by the global drop in oil prices, increased foreign exchange losses caused by the peso depreciation against the dollar and the recognition of impairments of assets by 477 billion pesos due to falling oil prices and increases in benchmark rates.

In the document, Pemex reported that it had experienced a negative net worth of 1.3 trillion pesos, that is, 563.9 billion pesos more than the 767.7 billion pesos recorded as of Dec. 31, 2014.

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Pemex acknowledges that it suffered a significant decrease in the price of the Mexican crude oil export. Photo: Flickr