Latest news with #Pemex
Yahoo
4 days ago
- Business
- Yahoo
Mexican authorities seize more than 3 million liters of stolen fuel
MEXICO CITY (Reuters) -Mexican authorities said they seized more than 3 million liters (792,516 gallons) of illegally stored fuel at a property in the country's southeast state of Tabasco, the latest in a string of major fuel-related seizures across the country. WHY IT'S IMPORTANT The seizure on Thursday is part of Mexico's ongoing battle against fuel smuggling, which includes both the theft of fuel from state-run oil firm Pemex's pipelines and imports under false classifications to evade taxes. KEY QUOTES "Eighteen vehicles, three pieces of machinery, and 3,904 metal-structured containers containing the hydrocarbon, identified as a petroleum derivative, were secured," Mexico's security cabinet said in a joint statement on Thursday. Mexican President Claudia Sheinbaum said on Friday the seizures have to do with a recent system of "traceability" of fuel imports from their origin until they reach the point of sale. CONTEXT State-owned Pemex has for years faced rampant theft of crude and refined products through illegal pipeline taps across Mexico, resulting in massive losses. BY THE NUMBERS Over the past weeks, authorities have discovered 1.5 million liters of fuels in two raids in the state of Tabasco and 10 million liters in the state of Tamaulipas from a ship from the United States that had arrived weeks before in Mexico.
Reuters
4 days ago
- Business
- Reuters
Mexican authorities seize more than 3 million liters of stolen fuel
MEXICO CITY, May 30 (Reuters) - Mexican authorities said they seized more than 3 million liters (792,516 gallons) of illegally stored fuel at a property in the country's southeast state of Tabasco, the latest in a string of major fuel-related seizures across the country. The seizure on Thursday is part of Mexico's ongoing battle against fuel smuggling, which includes both the theft of fuel from state-run oil firm Pemex's pipelines and imports under false classifications to evade taxes. "Eighteen vehicles, three pieces of machinery, and 3,904 metal-structured containers containing the hydrocarbon, identified as a petroleum derivative, were secured," Mexico's security cabinet said in a joint statement on Thursday. Mexican President Claudia Sheinbaum said on Friday the seizures have to do with a recent system of "traceability" of fuel imports from their origin until they reach the point of sale. State-owned Pemex has for years faced rampant theft of crude and refined products through illegal pipeline taps across Mexico, resulting in massive losses. Over the past weeks, authorities have discovered 1.5 million liters of fuels in two raids in the state of Tabasco and 10 million liters in the state of Tamaulipas from a ship from the United States that had arrived weeks before in Mexico.
Yahoo
7 days ago
- Business
- Yahoo
Opinion - Why U.S.-Mexico energy interdependence must be strengthened
Over the last decade, the U.S. has emerged as an energy superpower, not only in terms of production but also as a dominant exporter of natural gas and refined petroleum products. This transformation has redefined the U.S. trade balance in energy, turning a long-standing deficit into a robust surplus. Nowhere is this shift more consequential than in the U.S.-Mexico energy relationship. The U.S. Energy Information Administration estimates that natural gas exports to Mexico reached 199.2 billion cubic feet in January. That number is stunning when we consider that in January of 1990, the U.S. exported less than 1 billion cubic feet to Mexico, and by January 2012 was still only exporting 23.4 billion. Today, Mexico imports more than 70 percent of its natural gas from the U.S., and a significant share of its gasoline, diesel and jet fuel as well, valued at $33.63 billion in 2024. These imports are not a luxury — they are essential for Mexico's industrial growth, transportation system and power generation. For Mexico, reliable access to competitively priced U.S. energy is essential to sustaining economic growth, enabling industrial competitiveness and stabilizing the electric grid. At the same time, for the U.S., Mexico has become an indispensable customer, so much so that any downturn in Mexican demand would ripple through U.S. refineries, gas producers and the infrastructure companies that have built pipelines and terminals to serve the southern market. This is a story of mutual interdependence, yet it is too often overlooked in political and policy debates in both countries. In times of flux for U.S foreign relations, and with a Mexican government committed to the principle of energy sovereignty, it is worth recognizing that the energy trade across our shared border is one of the most strategically important economic relationships we have — and one that deserves proactive stewardship. Mexico's demand for natural gas has grown dramatically in recent years, driven by a combination of industrial expansion and the shift from oil-fired to gas-fired electricity generation. Yet domestic production has not kept pace. Pemex, the state-owned oil and gas company, continues to underperform and investment in gas exploration and production has plummeted, while private investment has struggled to gain traction amid regulatory uncertainty. As a result, imports from the United States have filled the gap, with cross-border pipeline flows reaching record highs. In 2024, the U.S. exported over 1 million barrels per day of refined petroleum products to Mexico, making it the single largest market for U.S. refiners. Mexico's aging refinery fleet cannot keep up with domestic demand for gasoline and other products. The new Olmeca refinery at Dos Bocas, Tabasco, offers hope for Mexican refining, but without ongoing investment, other Mexican refineries will continue to operate at well below their capacity. Gasoline exports from the U.S. will continue to be essential for Mexico for many years to come. The stakes are high. Mexico's manufacturing sector, including its booming automotive and aerospace industries, depends on stable and affordable energy. So does the everyday functioning of its economy. If energy supplies were to falter due to political decisions, infrastructure failures or global price shocks, Mexico's economy would slow, with cascading effects across the region. For U.S. gas producers and refiners, Mexico represents more than a convenient export market — it is a crucial buffer against domestic oversupply and price volatility. The shale revolution has unlocked massive quantities of gas in Texas, Louisiana and Appalachia. Meanwhile, U.S. refineries, particularly along the Gulf Coast, are some of the most efficient and high-capacity facilities in the world. They depend on consistent offtake to remain profitable. The symbiosis is clear: Mexico needs reliable energy imports to power its economy, and the United States benefits enormously from growing Mexican demand. This dynamic has created jobs on both sides of the border, from Texas gas fields to Mexican manufacturing plants. It has also fostered deeper integration of infrastructure, with cross-border pipelines, rail links and storage facilities, with much more investment needed in the coming years. Yet this interdependence is not without risk. In recent years, political uncertainty and nationalist rhetoric have threatened to disrupt the flow of energy trade. Mexico's efforts to reassert state control over its energy sector, including revisions to electricity market rules, slow permitting for private infrastructure, and the nationalization of certain assets, have introduced friction into what was once a smooth and expanding partnership. In the U.S., political calls for energy dominance sometimes overlook the benefits of energy exports, while cross-border trade issues ranging from tariffs to environmental disputes can add further complexity. Climate-related concerns and the energy transition add another layer, as both countries seek to balance fossil fuel trade with renewable energy goals. If Mexico's economy stumbles due to political instability, energy shortages, or falling investment, demand for U.S. gas and fuel will decline. And that could spell trouble for American producers and workers who depend on that export income. Rather than retreating into nationalist positions or letting the energy relationship drift, policymakers on both sides of the border should treat U.S.-Mexico energy interdependence as a strategic asset. This means ensuring policy stability and regulatory cooperation to maintain open energy trade channels. It means investing in cross-border infrastructure and exploring joint ventures in storage, liquefied natural gas and clean energy to future-proof the relationship. It means reinvigorating the bilateral energy dialogue to manage risks and formally strengthening the energy relationship through the USMCA review. In the years ahead, Mexico will need more energy to power its ambitions, and the U.S. is uniquely positioned to supply it. But that relationship must be nurtured, not taken for granted. A strong, growing Mexico is good for the U.S. And a thriving U.S. energy sector is good for Mexico. The energy relationship that binds our countries is not just a pipeline, but a shared economic future. Let's protect it. Duncan Wood is an independent analyst and former president of the Pacific Council on International Policy. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
The Hill
7 days ago
- Business
- The Hill
Why U.S.-Mexico energy interdependence must be strengthened
Over the last decade, the U.S. has emerged as an energy superpower, not only in terms of production but also as a dominant exporter of natural gas and refined petroleum products. This transformation has redefined the U.S. trade balance in energy, turning a long-standing deficit into a robust surplus. Nowhere is this shift more consequential than in the U.S.-Mexico energy relationship. The U.S. Energy Information Administration estimates that natural gas exports to Mexico reached 199.2 billion cubic feet in January. That number is stunning when we consider that in January of 1990, the U.S. exported less than 1 billion cubic feet to Mexico, and by January 2012 was still only exporting 23.4 billion. Today, Mexico imports more than 70 percent of its natural gas from the U.S., and a significant share of its gasoline, diesel and jet fuel as well, valued at $33.63 billion in 2024. These imports are not a luxury — they are essential for Mexico's industrial growth, transportation system and power generation. For Mexico, reliable access to competitively priced U.S. energy is essential to sustaining economic growth, enabling industrial competitiveness and stabilizing the electric grid. At the same time, for the U.S., Mexico has become an indispensable customer, so much so that any downturn in Mexican demand would ripple through U.S. refineries, gas producers and the infrastructure companies that have built pipelines and terminals to serve the southern market. This is a story of mutual interdependence, yet it is too often overlooked in political and policy debates in both countries. In times of flux for U.S foreign relations, and with a Mexican government committed to the principle of energy sovereignty, it is worth recognizing that the energy trade across our shared border is one of the most strategically important economic relationships we have — and one that deserves proactive stewardship. Mexico's demand for natural gas has grown dramatically in recent years, driven by a combination of industrial expansion and the shift from oil-fired to gas-fired electricity generation. Yet domestic production has not kept pace. Pemex, the state-owned oil and gas company, continues to underperform and investment in gas exploration and production has plummeted, while private investment has struggled to gain traction amid regulatory uncertainty. As a result, imports from the United States have filled the gap, with cross-border pipeline flows reaching record highs. In 2024, the U.S. exported over 1 million barrels per day of refined petroleum products to Mexico, making it the single largest market for U.S. refiners. Mexico's aging refinery fleet cannot keep up with domestic demand for gasoline and other products. The new Olmeca refinery at Dos Bocas, Tabasco, offers hope for Mexican refining, but without ongoing investment, other Mexican refineries will continue to operate at well below their capacity. Gasoline exports from the U.S. will continue to be essential for Mexico for many years to come. The stakes are high. Mexico's manufacturing sector, including its booming automotive and aerospace industries, depends on stable and affordable energy. So does the everyday functioning of its economy. If energy supplies were to falter due to political decisions, infrastructure failures or global price shocks, Mexico's economy would slow, with cascading effects across the region. For U.S. gas producers and refiners, Mexico represents more than a convenient export market — it is a crucial buffer against domestic oversupply and price volatility. The shale revolution has unlocked massive quantities of gas in Texas, Louisiana and Appalachia. Meanwhile, U.S. refineries, particularly along the Gulf Coast, are some of the most efficient and high-capacity facilities in the world. They depend on consistent offtake to remain profitable. The symbiosis is clear: Mexico needs reliable energy imports to power its economy, and the United States benefits enormously from growing Mexican demand. This dynamic has created jobs on both sides of the border, from Texas gas fields to Mexican manufacturing plants. It has also fostered deeper integration of infrastructure, with cross-border pipelines, rail links and storage facilities, with much more investment needed in the coming years. Yet this interdependence is not without risk. In recent years, political uncertainty and nationalist rhetoric have threatened to disrupt the flow of energy trade. Mexico's efforts to reassert state control over its energy sector, including revisions to electricity market rules, slow permitting for private infrastructure, and the nationalization of certain assets, have introduced friction into what was once a smooth and expanding partnership. In the U.S., political calls for energy dominance sometimes overlook the benefits of energy exports, while cross-border trade issues ranging from tariffs to environmental disputes can add further complexity. Climate-related concerns and the energy transition add another layer, as both countries seek to balance fossil fuel trade with renewable energy goals. If Mexico's economy stumbles due to political instability, energy shortages, or falling investment, demand for U.S. gas and fuel will decline. And that could spell trouble for American producers and workers who depend on that export income. Rather than retreating into nationalist positions or letting the energy relationship drift, policymakers on both sides of the border should treat U.S.-Mexico energy interdependence as a strategic asset. This means ensuring policy stability and regulatory cooperation to maintain open energy trade channels. It means investing in cross-border infrastructure and exploring joint ventures in storage, liquefied natural gas and clean energy to future-proof the relationship. It means reinvigorating the bilateral energy dialogue to manage risks and formally strengthening the energy relationship through the USMCA review. In the years ahead, Mexico will need more energy to power its ambitions, and the U.S. is uniquely positioned to supply it. But that relationship must be nurtured, not taken for granted. A strong, growing Mexico is good for the U.S. And a thriving U.S. energy sector is good for Mexico. The energy relationship that binds our countries is not just a pipeline, but a shared economic future. Let's protect it. Duncan Wood is an independent analyst and former president of the Pacific Council on International Policy.
Yahoo
24-05-2025
- Business
- Yahoo
Pemex plans restructuring, jobs cuts to achieve $540m in savings
Mexico's state-owned oil company, Petróleos Mexicanos (Pemex), is planning a corporate restructuring that includes cutting more than 3,000 tenured jobs to reduce costs and improve operational efficiency, reported Bloomberg, citing an internal company document. The document outlines a plan to eliminate 3,114 tenured positions – approximately 28% of Pemex's operational personnel budget for the year. The proposed measures aim to generate savings of roughly 10.5bn pesos (around $540m), a move that would support the heavily indebted company's attempts to stabilise its finances and increase oil output. Although the savings represent just over 2% of Pemex's projected $22.75bn operating budget for 2025, the restructuring includes reallocating 5.25bn pesos from the personnel budget to its exploration and production division to boost output. The company is grappling with declining production, which has dropped to 1.62 million barrels per day, an 11% decline year-on-year and close to a four-decade low due to the country's maturing oilfields. Additional components of the restructuring include the elimination of three sub-directorates within the production division, the closure of nine management areas, and the consolidation of job functions to streamline operations and decision-making. The proposed job cuts would mark a reversal of earlier assurances made by President Claudia Sheinbaum, who stated in February that the company would not reduce its workforce. The cuts could also provoke tensions with Pemex's influential unions, which represent more than 80% of its roughly 130,000 employees. Pemex reported its fourth consecutive quarterly loss earlier this year and ended 2024 with around $30bn in losses. Its total financial debt stood at $101bn as of the first quarter of 2025. The company is currently working with the federal government to manage $18.7bn in debt maturing next year. Neither Pemex nor the Energy Ministry provided comment on the restructuring plans. "Pemex plans restructuring, jobs cuts to achieve $540m in savings" was originally created and published by Offshore Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
