Pemex - statistics & facts
Petróleos Mexicanos, commonly known as Pemex, is the second largest oil and gas company in Latin America and Mexico’s national oil corporation. Founded in 1938, the state-owned company once had exclusive rights over oil production and distribution in the country, until an energy reform in the early 2010’s put an end to its monopoly. However, it still remains one of the most valuable Mexican brands.
Despite the above mentioned challenges, thanks to surging oil and gas prices in 2022 and 2023, Pemex was able to turn a net profit for the first time in 10 years, giving a positive outlook for the following years.
Upstream production with notable output decrease in last decade
In its glory days, Pemex produced on average over three million barrels of oil per day, turning Mexico into Latin America’s most prominent crude producer. However, after years of mismanagement, corruption allegations, and a lack of investment in new oil fields, the company struggled with a notable decrease in output. In 2023, Pemex’s crude oil production averaged 1.86 million barrels per day, which represents a decline in output of more than 30 percent in comparison to a decade earlier. Similarly, its natural gas production has fallen by roughly two billion cubic feet per day since 2008.Downstream challenges
In addition to, and partially a result of the decline in crude production, Pemex’s downstream segment also faces a myriad of challenges. As competition with foreign brands tightens, the number of Pemex gas stations continually shrunk in the second half of the past decade and has since stalled. To add further strain, Mexico’s oil corporation experiences major organizational problems, in particular, securing oil and gas infrastructure. Despite strengthened security measures, more than 12,000 fuel theft occurences in the pipelines owned or operated by Pemex were registered in 2023, incurring revenue losses worth billions of Mexican pesos.Despite the above mentioned challenges, thanks to surging oil and gas prices in 2022 and 2023, Pemex was able to turn a net profit for the first time in 10 years, giving a positive outlook for the following years.
