More of Pemex Creativity How does Pemex manage to reduce its debt obligations by U.S.$ 5.0 Billion in the 3rd quarter while losing U.S.$ 4.6 billion in the 3rd quarter and after having lost U.S.$ 2.7 Billion in Q2. and about U.S. $ 1.86 Billion in Q1? Lose U. S. $ 9.14 Billion and pay down U.S.5.0 Billion in debt!!!
Where did it get the money to pay down the debt? Production is up a tiny bit if you believe Pemex production numbers ( and I don’t), but expenses are growing, there has been no reduction in staff or operating expenses. Virtually all of the development drilling costs on its 20 new fields is being carried by the drilling companies, which is increasing Pemex payables every day.
https://www.reuters.com/article/pemex-debt/pemex-financial-debt-falls-to-102-bln-mexican-finance-minister-idUSL2N26O1O9
https://www.spglobal.com/platts/en/market-insights/latest-news/oil/102819-pemex-reports-first-quarterly-production-gain-in-14-years
Maybe we need to get their accountants in to run some of our finances.
The worse that Pemex does, the better it is for ROE and other outside companies.