{"id":4076,"date":"2021-06-30T16:39:23","date_gmt":"2021-06-30T22:39:23","guid":{"rendered":"http:\/\/accesstomexico.mx\/blog\/?p=4076"},"modified":"2021-07-01T16:42:20","modified_gmt":"2021-07-01T22:42:20","slug":"natural-gas-oil-production-up-in-mexico-as-pemex-capex-set-to-increase","status":"publish","type":"post","link":"https:\/\/accesstomexico.mx\/blog\/natural-gas-oil-production-up-in-mexico-as-pemex-capex-set-to-increase\/","title":{"rendered":"Natural Gas, Oil Production Up in Mexico as Pemex Capex Set to Increase."},"content":{"rendered":"\n
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NATURAL GAS INTELLIGENCE<\/strong><\/a><\/p>\n\n\n\n

Natural gas production in Mexico totaled 3.84 Bcf\/d in May, up from 3.61 Bcf\/d in May 2020, according to the latest data from upstream regulator Comisi\u00f3n Nacional de Hidrocarburos (CNH).<\/p>\n\n\n\n

State oil company Petr\u00f3leos Mexicanos (Pemex) supplied 3.63 Bcf\/d of the total, up from 3.37 Bcf\/d in the year-ago month and 3.53 Bcf\/d in the preceding month.<\/p>\n\n\n\n

Pemex production of natural gas from oil-directed wells, aka associated gas, rose by 5% year\/year, while its non-associated gas production climbed 14.5%.  <\/p>\n\n\n\n

Private sector natural gas production totaled 208.1 MMcf\/d, down from 231 MMcf\/d in May 2020.<\/p>\n\n\n\n

Mexico\u2019s crude oil production, meanwhile, averaged 1.68 million b\/d for the month, up from 1.64 million b\/d a year ago, but down from 1.7 million b\/d in April.<\/p>\n\n\n\n

Pemex oil output totaled 1.62 million b\/d, up from 1.59 million b\/d in May 2020 but down slightly from 1.63 million b\/d in April , CNH data showed.<\/p>\n\n\n\n

Private sector oil production rose 15.7% y\/y to average 65,238 b\/d in May.<\/p>\n\n\n\n

In a June investor presentation, Pemex said it plans to double capital expenditures (capex) to 225 billion pesos, or about $11.3 billion in 2021 versus 2020.<\/p>\n\n\n\n

The Dos Bocas oil refinery under construction in Tabasco state will account for 20% of capex this year, Pemex said. <\/p>\n\n\n\n

In 2022, capex is forecast to be 324 billion pesos ($16.3 billion), with Dos Bocas accounting for 36% of the total.<\/p>\n\n\n\n

Pemex expects oil production to average about 1.9 million b\/d in 2021 and 2 million b\/d in 2022, and to plateau at 2.2 million b\/b in 2024.<\/p>\n\n\n\n

Exploration and production capex is expected to toal 289.9 billion pesos ($14.5 billion) in 2021, up from 180.5 billion pesos ($9.05 billion) realized in 2020.<\/p>\n\n\n\n

Increased investment by Pemex \u201cseems to have favorably influenced [Pemex] oil production, which has stabilized around 1.7 million b\/d with the expectation that it will increase by an additional 100,000 b\/d by the end of 2021,\u201d wrote BBVA Research analysts arnulfo Rodr\u00edguez and Carlos Serrano in a note on Tuesday.<\/p>\n\n\n\n

However, pandemic-induced oil demand and price destruction in 2020 worsened Pemex\u2019s already precarious financial situation, the researchers said.<\/p>\n\n\n\n

The company reported negative equity of 2.4 trillion pesos ($120.6 billion) and negative working capital of 466 billion pesos ($23.4 billion) as of March 31.<\/p>\n\n\n\n

Rodr\u00edguez and Serrano said that tax breaks and capital injections by Mexico\u2019s government have helped mitigate the adverse impacts of the pandemic, and \u201cconsiderably reduced\u201d Pemex\u2019s net debt. <\/p>\n\n\n\n

The researchers said it is \u201cquestionable\u201d that Pemex will receive similar government support packages over the coming years as it did in 2020 and 2021.<\/p>\n\n\n\n

\u201cTo improve its finances in a more permanent manner, [Pemex] will have to better control its operating costs and focus its investments in the most productive oilfields,\u201d they said. <\/p>\n\n\n\n

Rodr\u00edguez and Serrano also recommended that Pemex resume its farmout program to attract capital and knowhow from the private sector, \u201cin particular in deep waters.\u201d<\/p>\n\n\n\n

Finally, they warned, \u201cPemex will have more difficulties obtaining financing on competitive terms due to the increasing number of global investors adopting environmental sustainability criteria in their investment decisions.\u201d<\/p>\n\n\n\n

Andrew Baker. (2021). Natural Gas, Oil Production Up in Mexico as Pemex Capex Set to Increase. USA. Natural Gas Intelligence<\/em>. Recuperado de <\/strong><\/p>\n\n\n\n

https:\/\/www.naturalgasintel.com\/natural-gas-oil-production-up-in-mexico-as-pemex-capex-set-to-increase\/<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

NATURAL GAS INTELLIGENCE Natural gas production in Mexico totaled 3.84 Bcf\/d in May, up from 3.61 Bcf\/d in May 2020, according to the latest data from upstream regulator Comisi\u00f3n Nacional de Hidrocarburos (CNH). State oil company Petr\u00f3leos Mexicanos (Pemex) supplied […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-4076","post","type-post","status-publish","format-standard","hentry","category-uncategorized","clearfix"],"_links":{"self":[{"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/posts\/4076","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/comments?post=4076"}],"version-history":[{"count":1,"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/posts\/4076\/revisions"}],"predecessor-version":[{"id":4078,"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/posts\/4076\/revisions\/4078"}],"wp:attachment":[{"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/media?parent=4076"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/categories?post=4076"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/tags?post=4076"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}