Mexico’s state oil company Pemex exported crude oil at a realized price of just US$57.24/b in May, the lowest since the pandemic, according to company statistics published on Wednesday.
Earlier this year, international refining companies which bought Pemex’s crude complained about high levels of water and salt in the oil and demanded discounts.
Global oil prices have also fallen this year on concerns about oversupply and weak economic conditions.
The May price reported by Pemex is the lowest since January 2021, when Pemex exported crude at an average price of US$52.4/b.
Volumes down
Pemex’s export volumes have slumped in recent years as the company’s production drops and it sends more of its crude to its own refineries for processing into gasoline, diesel and other products.
That strategy has helped reduce Mexico’s reliance on fuel imports from the US but has reduced Pemex’s dollar-based revenues.
In May this year, exports were just over 670,000b/d, down 26% from 911,000b/d in May 2024.
The company earned US$1.2bn from crude exports in May, a drop of 43% from US$2.1bn in May last year.
Pemex’s oil production in 2025 has fallen to around 1.6Mb/d from 1.8Mb/d in early 2024.
With US$101bn in financial debt, and around US$20bn owed to its suppliers, the company has slashed spending on exploration and production.
Credit ratings agencies have warned that the crisis at Pemex could affect Mexico’s own credit rating.
Earlier this week, President Claudia Sheinbaum said the government was preparing a plan for Pemex’s finances.