News Article

Mining Conflicts/ PEMEX Will Renegotiate Agreements

By Paloma Duran | Wed, 05/12/2021 - 11:22

International Nurses Day. President Andrés Manuel López Obrador recognized and thanked nurses for their work on International Nurses Day and highlighted the fundamental role they have played during the pandemic. “Nurses are the ones who spend the most time with patients. They have been, especially now with the pandemic, essential and fundamental heroines. They have been permanently caring for the sick and those infected by COVID-19.” Minister of Health Jorge Alcocer said the government is working to improve working conditions for nurses, who have been in greater demand due to the pandemic. “It is a deserved recognition that we give them, but it is also a day for reflection and commitment."

SEGOB has promoted the resolution of several mining conflicts. Head of the Ministry of Interior (SEGOB) Olga Sánchez Cordero said the ministry has promoted several agreements for the resolution of six mining conflicts in Mexico and stressed that stakeholders' positions and concerns have been heard to reach beneficial agreements. In addition, Cordero asked Americas Gold and Silver and its workers to work together to reopen the San Rafael mine that has been blocked for more than 14 months. Americas Gold and Silver has said that the situation is due to organized crime that has blocked the mine under the guise of a labor dispute between unions that does not exist. However, López Obrador has said that it is because the union is not being accepted and as a result, he has instructed Minister of Foreign Affairs Marcelo Ebrard to communicate with the Canadian government to address this problem.

PEMEX will renegotiate hydrogen plant agreements. Octavio Romero, Director of PEMEX, said that PEMEX is aiming to buy two hydrogen plants that were sold by the previous government. The plants are essential for producing clean fuels. Romero noted that the government has paid US$49 million and US$27 million for each plant over three and a half years and for this reason, López Obrador has instructed PEMEX to renegotiate the deals related to the plants with the goal of repurchasing them. "We are rebuilding the oil industry. For the first time in 14 years, the fall in oil production has stopped. We are already rehabilitating refineries, processing more oil, building the new refinery, and in 2023, we will stop buying gasoline abroad."

Energy Reform has had negative effects on gas prices. Romero stressed that the liberation of LP gas prices in Mexico has not reduced costs but has increased corruption. Romero explained that LP gas prices are very expensive in the country due to the Energy Reform. Prices were liberated in 2017. "This generated abuses by many distributors who have increased their profit margin in a barbaric way ... over time this has not helped at all; on the contrary, it has widened the gap," said Romero.

No impunity on the subway accident. López Obrador said that Mexico City Mayor Claudia Sheinbaum is incorruptible and, therefore, there will be no impunity in regard to the Mexico City subway accident. "She has personally spoken with the families of the victims and I am sure we will soon find out what went wrong. She will inform us about everything and those responsible will be found. There will be no impunity for anyone."


Click HERE for full transcript in Spanish


Paloma Duran Paloma Duran Junior Journalist and Industry Analyst