16 de septiembre de 2019
ÚLTIMAS NOTICIAS:
English - News

Mexico's gov't pumps $5 bn in capital into Pemex

 Emergency services workers respond to a bomb threat on Sept. 25, 2017, at the Petroleos Mexicanos (Pemex) headquarters in Mexico City, Mexico. EPA-EFE FILE/Jorge Dan Lopez

Emergency services workers respond to a bomb threat on Sept. 25, 2017, at the Petroleos Mexicanos (Pemex) headquarters in Mexico City, Mexico. EPA-EFE FILE/Jorge Dan Lopez

Mexico City, Sep 11 (efe-epa).- The federal government said Wednesday that it was pumping $5 billion in capital into Petroleos Mexicanos (Pemex), bolstering the balance sheet and providing the state-owned oil company with financial stability.

"The government of Mexico will contribute equity in the national currency equivalent to $5 billion to Petroleos Mexicanos (Pemex)," the Finance and Public Credit Secretariat said in a statement.

The move is part of "efforts" by President Andres Manuel Lopez Obrador's administration to ensure Pemex's financial stability and "improve its profitability and strategic contributions" on a long-term basis to the Mexican economy, the secretariat said.

"The equity contribution will be funded with financial assets deposited in the Treasury of the Federation. Pemex will use these funds to reduce its debt along with measures that the company will announce soon to cut debt and improved its maturity profile," the secretariat said.

The equity infusion will not have an "impact on the net debt" of the public sector, the secretariat said.

Pemex said in a statement released at almost the same time that the $5 billion in capital provided by the federal government would be used "for the prepayment of bonds in the short part of the curve with maturities between 2020 and 2023."

The state-owned oil company also said that it issued seven-, 10- and 30-year bonds in transactions on international markets on Wednesday, refinancing short-term debt amid the equity injection from the Treasury.

"Finally, Pemex will launch an exchange offer to the effect of providing additional support to maturities in the short, intermediate and long part of the curve, in order to improve the company's amortization profile," the company said in a statement.

Pemex said "t is anticipated that this transaction will have participation of investors from the United States, Europe, Asia and Mexico. Goldman Sachs, J.P. Morgan, Citi, HSBC, Mizuho, Crédit Agricole and Bank of America will act as bookrunners."

Pemex is carrying total debt of more than $104 billion and has another $64 billion in pension obligations, accounting for 20 percent of Mexico's debt.

Lopez Obrador, who took office on Dec. 1, 2018, has vowed to fix Pemex's problems and make Mexico energy self-sufficient.

On July 16, the administration presented the Petroleos Mexicanos Business Plan, which included an 11 percent tax cut for the company and a capital infusion to bolster the balance sheet.

The business plan also calls for building a new refinery, but analysts contend that Pemex needs to expand exploration in deepwater areas to boost oil production, which has fallen to 1.64 million barrels per day (bpd). EFE

mqb/hv

Comentarios

Histórico de noticias
Honduran president asks CentAm to work together to overcome common enemies

Tegucigalpa, Sep 15 (efe-epa).- Honduran President Juan Orlando Hernandez on Sunday urged Central Americans to unite to face "common enemies," including...

Venezuelans in forefront of new delivery operations in Ecuador

By Daniela Brik

Maradona makes stumbling debut as Gimnasia coach

Buenos Aires, Sep 14 (efe-epa).- Diego Maradona had a bitter first outing as the new coach for Gimnasia y Esgrima La Plata, falling to Racing Club 2-1...

Argentina's gov't to present new budget amid economic woes

Buenos Aires, Sep 15 (EFE).- Finance Minister Hernan Lacunza will present the proposed 2020 budget to the Argentine Congress this week, a budget that will...

UN proposes better education, security to protect religious sites

By Mario Villar

Celebrities turn out to help Bahamas after Hurricane Dorian

San Juan, Sep 12 (efe-epa).- Almost half of the 2,500 people listed as missing after Hurricane Dorian devastated the northwestern Bahamas have been tracked...

Bolivian indigenous people try to recover in aftermath of Amazon fires

By Gabriel Romano

Migrant advocate says Mexican gov't hindered by political realities

By Juan Manuel Ramirez G.

Bahamas officials estimate 2,500 missing after Hurricane Dorian

San Juan, Sep 11 (efe-epa).- Bahamas emergency authorities estimate that some 2,500 people are missing after the devastating passage of Hurricane Dorian...

Trump doesn't rule out easing Iran sanctions to pave way for Rouhani summit

Washington, Sep 11 (efe-epa).- President Donald Trump on Wednesday did not rule out relaxing US sanctions on Iran in the coming weeks, amid rumors that he...

Mexico's gov't pumps $5 bn in capital into Pemex

Mexico City, Sep 11 (efe-epa).- The federal government said Wednesday that it was pumping $5 billion in capital into Petroleos Mexicanos (Pemex), bolstering...

Trump rips Fed, urges rate cuts and zero interest rates

Washington, Sep 11 (efe-epa).- President Donald Trump renewed his attacks on Federal Reserve policy makers on Wednesday, calling them "Boneheads" and urging...

Trump threatens Taliban on anniversary of 9/11

Washington, Sep 11 (efe-epa).- President Donald Trump on Wednesday - the 18th anniversary of the 9/11 terrorist attacks - promised to escalate combat...

Apple opts for classic look with new iPhones, focuses on camera improvements

By Marc Arcas

TV series "Monarca" shows Mexico that doesn't ride burros or wear sombreros

Mexico City, Sep 10 (efe-epa).- The television series "Monarca," which will air on Netflix on Sept. 13, depicts a Mexico that is "current, that doesn't ride...

Tenharim tribe, the guardians of the Amazon, battling against wildfires

By Fernando Bizerra

Trump dumps national security adviser Bolton after months of disagreements

(Update 2: adds byline, rewrites throughout)

Custo highlights his move to Italy in daring New York fashion show

By Nora Quintanilla

Trump: US-sponsored peace talks with Taliban are dead

Washington, Sep 9 (efe-epa).- President Donald Trump on Monday said that US peace talks with the Taliban are "dead" after he suddenly cancelled a meeting he...

Expo shows colorful diversity of Bolivia's indigenous clothing

By Yolanda Salazar

US launches investigation of Google for anti-trust violations

Washington, Sep 9 (EFE).- The attorneys general of 50 US states and territories on Monday announced the launching of a macro-investigation against tech...

Brazilian president starts physical therapy following surgery

Sao Paulo, Sep 9 (efe-epa).- Brazilian President Jair Bolsonaro, who underwent abdominal surgery over the weekend, was given permission by his doctors on...

Mexican flag-maker's fight against Chinese competition

By Juan Manuel Ramirez G.

Cruise trade group invites tourists to visit Bahamas after Dorian

Miami, Sep 9 (efe-epa).- The Florida-Caribbean Cruise Association (FCCA) is inviting tourists to visit the Bahamas in the wake of Hurricane Dorian, which...