The changes promoted by the current administration to Pemex's tax regime have allowed for a gradual reduction in the income tax burden it transfers to the federal government, which fell from 128 percent to 60 percent of its profits in 2024, reported Octavio Romero Oropeza, director of the state-owned company.
As a result of this decision, he highlighted, he achieved a net debt reduction of $30 billion, reducing his liabilities from $131 billion at the beginning of his six-year term to $101 billion.
He explained that the change in exploration policy and the reorientation of its investments in well drilling allowed it to increase proven crude oil reserves, which went from 7 billion barrels (one of the lowest in recent years) to 7.5 billion barrels. This was possible thanks to the increase in new oil fields incorporated, which increased from eight during the previous six-year term to 51 during this administration.
Presenting a general report on the current state of Pemex, he emphasized that the recent discovery of eight fields adds 60 new wells, of which this administration will begin drilling 15, but will inherit a potential of 45. He reported that while the current commercial success rate for drilled wells hovers around 30 percent, it has reached 38 for Pemex discoveries.
President Andrés Manuel López Obrador celebrated the increase in Pemex's proven reserves as a legacy for future generations, allowing for price control, as the energy transition will take time. He believed this is due to the reorientation of investments toward exploration, which is crucial because oil production is still highly profitable, as it currently costs $15 to extract compared to a sales price of $70, or a profit of $55.
In his report, Romero Oropeza compared Pemex with private companies in various sectors: Pemex contributes 97 percent of oil and gas production, compared to 3 percent for private companies; in five and a half years, "it reached an incremental production of 562,000 barrels per day, compared to 59,000 barrels per day for the former (that is, nine times more)."
At the same time, the state-owned company has seen a sustained recovery in its presence in the domestic hydrocarbon market. While it accounted for 69 percent in 2020, it currently stands at 80 percent. This means that, at this time, 75.5 percent of Pemex's revenue comes from the domestic market. That is, "for the state-owned company, domestic sales are not only a stable but also a permanent source of income, contributing to its financial strength."
