PEMEX Falls in Global 500 Ranking

Finance Minister Rogelio Ramírez de la O confirmed his ministry’s support for PEMEX is not going anywhere. In other news, OPEC+ countries are going ahead with their long-fought production deal despite US’ calls for adjustments.

Ready for more? Here’s the week in Oil & Gas!

Mexico

OPEC Will Go Ahead and Increase Production Despite US’ Complaints

OPEC+ has announced plans to move forward with its previously stipulated increase in oil production despite White House calls for greater output. Following weeks of harsh negotiations, members of the Organization of Petroleum Exporting Countries (OPEC) together with other ten allies, agreed on July 18 that output will be raised to 400,000 barrels per day starting August. This comes as a defiance to non-member US administration under President Joe Biden, who had asked the organization to increase output even further to help control prices. “At a critical moment in the global recovery, this is simply not enough,” stated Jake Sullivan, national security adviser to the US government.

Finance Minister Confirms Continuation of Support to PEMEX

Mexico’s Finance Minister, Rogelio Ramírez de la O, said the ministry will continue its support to state-owned PEMEX, but that no new constitutional legislations will be carried out. “We want to be very emphatic in emphasizing to the market, to analysts and to Congress that the government is committed to continue supporting PEMEX,” said the minister. These efforts come as a direct result of President López Obrador’s push for a greater proximity between both organisms, and to discuss important matters. The minister revealed that the relationship has already produced a greater foundation for PEMEX, in regards to fiscal and financial matters.

PEMEX falls 150 Places in Global 500 List

Mexico’s state oil company Petróleos Mexicanos (PEMEX) has fallen 150 places in the Fortune Global 500 ranking. This means falling 150 places to the 257 Global position. In 2018, the year President López Obrador took office, the company was listed at 107. Also, adjusted rankings for the company stem from PEMEX’s efforts to redirect its business to ensuring national energy self-efficiency, incrementing production, and halting exports.

International

Majority of fossil fuels need to stay underground to avert climate disaster, scientists say

The vast majority of fossil fuel reserves around the world must remain underground to have even a 50 percent chance of meeting current temperature goals: no higher than 1.5 degrees Celsius above pre-industrial levels. This represents a three percent yearly reduction through 2050 in oil & gas production. The findings criticize industry and policymakers' rhetoric in the so-called “energy transition.”

U.S. Coast Guard receives over 2,000 water pollution reports after Hurricane Ida

The United States Coast Guard confirmed Thursday that it had received over 2,000 reports, of which 350 are specific to oil spills, of water pollution due to Hurricane Ida. At the time, it had assessed about 800 reports. The southeast coast of the state of Louisiana is most affected; containment efforts are already underway. So far, oil spills have been attributed to a dislodged pipeline which used to be owned by Houston-based Talos Energy.