Now attention is switching to former President of Mexico Peña Nieto.
President of Mexico not amused: “In three years there was no investment in exploration, no investment in drilling wells, and they rated Pemex very highly. Now that there is investment, they downgrade Pemex.”
His lawyer suggests if the price is too high, he may be willing to take his friend, former president of Mexico, down with him.
“Once. Only this year. Later on, that’s their problem”: Finance Minister. It doesn’t help that $3.4 billion in fuel was stolen in 2018, including by insiders. Crackdown now underway.
US rating agencies pressure Pemex and the new Mexican government. But Pemex is too big to fail.
“It’s not easy to distribute and sell the pilfered contents of 600 pipelines each and every day.”
With perfect timing as the new government embarks on restructuring Mexico’s oil industry.
“Even a small deterioration” in its perceived credit risk could take a big financial toll on Mexico itself.
Tectonic shifts and clouds of uncertainty after Sunday’s election.
It lost $18 billion in Q4 on declining revenues and production, has $102 billion in debt, and now its world is changing.