Pemex Posts 14th Straight Loss as Spending Cuts Crimp Output – Bloomberg

Petroleos Mexicanos posted a loss for the 14th consecutive quarter as massive spending cuts diminish the state oil producer’s ability to arrest years of declining production.The first-quarter loss narrowed to 62 billion pesos ($3.6 billion), from 100.5 billion a year earlier, Pemex, as Mexico’s biggest company is known, said in a statement Thursday. The result adds to about $55 billion of losses in the past three years.Jose Antonio Gonzalez Anaya, a former finance undersecretary appointed as chief executive officer in February, is leading a 100 billion-peso spending reduction to help the producer weather the oil market collapse and burgeoning debt. Almost half of that amount will be taken from the company’s exploration and production budget. Development plans in offshore areas such as deep-water fields near the U.S.-Mexico border will be deferred.The company’s 2015 output fell to 2.27 million barrels a day, the lowest since at least 1990, when the government started tracking production data.

Source: Pemex Posts 14th Straight Loss as Spending Cuts Crimp Output – Bloomberg

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