April 8, 2020 |
Moody's on Tuesday said it expects Mexico’s state-owned oil company Pemex will need to tap all of its existing credit facilities this year despite another round of tax relief due to low market prices versus for oil.
“Given low oil prices and management's commitment to maintain capital investments high to sustain crude oil production at least stable, we estimate that Pemex will tap the totality of its existing $8.9 billion in committed credit facilities during 2020,” Moody’s said.
By drawing down
Rating agency says tax break will not be enough, debt likely to grow