Mexican Oil Company Pemex Launches Post-Reform Corporate Makeover


MEXICO CITY, Aug 20 (Reuters) - Mexico's national oil company, Pemex, said on Wednesday it had begun a corporate restructuring following the approval earlier this month of a historic energy overhaul that ended Pemex's decades-long monopoly.

The company will keep intact its highly profitable exploration and production unit while it consolidates poorer-performing divisions focused on natural gas, refining and petrochemicals into a single unit that will be known as Industrial Transformation, Pemex said in a statement.

The company will also establish three subsidiaries below the two units. One subsidiary will offer drilling services to new private and foreign entrants into the market, another will offer logistical and transportation services and a third will focus on electric power generation.

Company executives have said the new structure will boost Pemex's flexibility and efficiency.

The statement added that the company's new board of directors, which will include more independent members and eliminate union-held seats, will be set by October.

Beginning early next year, Pemex will ink its first-ever joint ventures with oil companies covering 10 blocks offering a geological mix of oil and gas fields both onshore and offshore.

Pemex estimates that the partnerships are expected to generate investment of about $32.3 billion.

(Reporting by David Alire Garcia; Editing by Lisa Shumaker)


Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.