PEMEX Lowers Debt: The Week in Oil and Gas

PEMEX closed 2025 with a financial debt of US$84.5 billion, down from US$97.6 billion at the end of 2024, reported Víctor Rodríguez, CEO, PEMEX. This marks the fifth consecutive year that PEMEX has successfully reduced its obligations, reflecting disciplined fiscal management. However, declining crude output, falling export revenues, and operational pressures on aging refineries challenge the state-owned company in meeting Mexico’s goal of fuel self-sufficiency.

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PEMEX Cuts Debt, Struggles with Fuel Self-Sufficiency Goals

Rodríguez stressed that the Mexican government remains committed to a long-term strategy of halting crude oil exports, increasing domestic processing, and expanding fuel production to meet local demand. While this approach aims to reduce dependence on foreign fuel, experts note it carries financial and operational trade-offs, placing additional strain on PEMEX’s budget and on national fiscal revenues.

Woodside Reports 50% Progress at Trion

Woodside Energy reported that the Trion ultra-deepwater oil project in Mexico reached 50% completion by the end of 2025, marking a major milestone for what is expected to become one of the most significant offshore developments in the country’s recent history. The update was included in Woodside’s quarterly report for the period ended Dec. 31, 2025, and reflects steady progress across engineering, procurement, fabrication and regulatory approval phases, despite the technical complexity and capital intensity associated with ultra-deepwater projects.

Woodside Acting CEO Liz Westcott, stated that the company delivered strongly against its 2025 business objectives, outperforming its production guidance while advancing key growth projects across its global portfolio. Within that context, Trion stands out as a cornerstone asset for Woodside in the Americas and a strategic project for Mexico’s offshore sector. Westcott stated that the Trion Project in Mexico was 50% complete at the end of the year, with hull assembly and the installation of all critical equipment on the topside modules now completed, underscoring the transition from early-stage development into a more execution-focused phase.

SENER Highlights Sustainable Fuel Dialogue

SENER highlighted steps forward in advancing the country’s sustainable fuel agenda by participating in a technical mission to the United States focused on ethanol and Alcohol-to-Jet (ATJ) technologies. The mission, involving government officials, industry players and technical experts, aimed to exchange best practices on the production, regulation and deployment of biofuels as part of Mexico’s wider energy transition strategy.

The trip underscores growing momentum in Mexico around clean and sustainable fuels, following recent legislative and regulatory changes aimed at expanding the role of biofuels in the country’s energy mix. Authorities say that ethanol and other biofuel technologies could play an important role in reducing reliance on fossil fuels, lowering emissions and strengthening energy security.

Sheinbaum Announces Major Expansion of Guaymas Pipeline

President Claudia Sheinbaum announced a significant expansion of the Naco–Hermosillo–Guaymas natural gas pipeline during a working visit to Guaymas, Sonora, marking a strategic development in Mexico’s efforts to strengthen energy infrastructure, support industrial growth and enhance national energy security. The project, which is being developed by CENAGAS, will involve an estimated investment of MX$131 billion (US$7.5 million) and aims to resolve longstanding constraints in gas supply and transportation in northwestern Mexico.

Sheinbaum, accompanied by Sonora Governor Alfonso Durazo and the Minister of Energy Luz Elena González, emphasized that the expanded pipeline will address a “historical problem” in moving natural gas from sources in Texas into Sonora and beyond. According to the president, all necessary permits and agreements are in place, and construction is scheduled to begin in 1Q26. The announcement represents a culmination of years of planning and policymaking focused on modernizing Mexico’s gas grid and reducing energy bottlenecks that have limited industrial competitiveness.