Pemex to become "better company" with energy reform, says Lozoya

Pemex to become "better company" with energy reform, says Lozoya

Mexico

Pemex will modernize its corporate structure and improve its finances with the energy reform that was passed by Mexico’s government in December, the firm’s chief executive Emilio Lozoya has written in the latest issue of LatinFinance.

Acknowledging the challenges that greater competition will bring, Lozoya writes in the January/February issue of the magazine that the reform will allow Pemex to work “more like a corporation and less like a government agency”.

Pemex will examine ways to optimize its capital base, and new ways to finance non-core businesses. “With this transition, Pemex will remain the leading company in Mexico, with greater access to technology, and will embark on a gradual course to a much more solid financial position.”

The company plans to introduce a “more dynamic and efficient corporate structure”, and develop an “arm’s length relationship” with the federal government.

“The reform provides Pemex the means to overhaul and improve the economics all the way along the entire value chain,” Lozoya writes.

“We have the means and we will have the tools to become a better company and stronger source of wealth and prosperity for our country.” LF

Read the full article by Emilio Lozoya, chief executive of Pemex.

See also LatinFinance's coverage of Pemex's January 15 bond issue: Pemex may look at euros after $4bn triple-tranche sale