Reuters logo
Mexico has not been approached about extending OPEC's oil cut: official
October 19, 2017 / 6:24 PM / a month ago

Mexico has not been approached about extending OPEC's oil cut: official

HOUSTON (Reuters) - Mexico has not yet been consulted by the Organization of the Petroleum Exporting Countries (OPEC) about a plan to extend a production cut through the end of 2018, the country’s deputy energy minister, Aldo Flores, said on Thursday.

The logo of the Organization of the Petroleum Exporting Countries (OPEC) is pictured at its headquarters in Vienna, Austria September 21, 2017. REUTERS/Leonhard Foeger

Several non-OPEC producers, including Mexico, last year joined with OPEC to drain a global inventory glut in a move that has helped crude prices recover this year.

“We have not been involved in the discussions about this extension. So far, we are under the same framework of the last meeting,” Flores told journalists at the end of an energy conference in Houston.

Mexican officials do not plan to attend the cartel’s next meeting in November as non-OPEC countries were not invited this time, Flores added.

The Latin American country’s crude output has declined in recent months since an earthquake and several tropical storms affected state-run Pemex’s operations, including its storage capacity.

In September, Mexico’s oil output fell to 1.73 million barrels per day (bpd), 10 percent less than the previous month according to official figures. Pemex’s goal of producing an average of 1.94 million bpd this year is unchanged, Flores said.

Mexico, which recently requested to join the Paris-based International Energy Agency (IEA) that represents oil-consuming nations, will begin building a 30-day reserve of gasoline and diesel once its membership is approved by the Senate.

Flores said that state-run and independent oil companies in Mexico will be required to build inventories, which will be in addition to their operational storage. The deadline for having the storage ready is 2025.

Reporting by Marianna Parraga; Editing by Cynthia Osterman

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below