High prices, low profits for Mexico's oil company - 2 Feb 08

Rising oil prices haven't translated into profits for every oil company across the globe.

Mexico's state owned Pemex is losing money. The company exports crude oil, but is forced to import 40 per cent of its petrol because they haven't built enough refineries to keep up with demand.

Low investment in infrastructure has also led some serious accidents.

Al Jazeera's Franc Contreras reports from Villahermosa, Mexico.

Category:

News & Politics

Tags:

• Franc
• Contreras
• aljazeera
• jazeera
• mexico
• oil
• pemex

[maurusting]

Keyan,

illegal immigrants send money to mexico and put money into the economy. The money exchanged in multi million/billion dollar deals goes mostly into the pockets of the elite class. They only pay out for government and corporate bribes, returning just enough into an economy to keep thier companies running. Profits for the rich, power for the rich, the surplus for the rich. The people only get the bare minimum, they are maintained. Follow the money, you will find the corruption.

[aflow1080]

How ironic. When Venezuelan people are getting great social services by testing part of their county's wealth thanks to prz Chavez. Mexico's are become football of Washington's politic and Mr. Calderon... the American Corporate stooge wants to sell the Mexican OIL fields. The only source that can liberate Mexican from Washington's political mocking and make them self reliance like Venezuelan people.

[StinkyFlyfart]

Oil oil oil.. stop it. As long as oil will exist in MX, it's politicians will stay selfish bastards and won't give a damn about it's ppl dying on the streets infront of their eyes. MX could be such a rich country if their damn corrupted government members would actually share and distribute it's wealth with the people. But noooooo, of course not. Fucken animals.

[xSeriox4]

Oil is what's keeping Mexico one step away from becoming first world country. Mexico needs to find more oil more zones. More oil will turn Mexico first world country. Gotta take care of that oil, and stop having accidents because that oil is the future of Mexico.

[magorem]

not let it happen?? im Mexican and im telling you that calderon is the one selling it.

[WolYou]

Yes! Invest! Drill everywhere! Get the oil out. Quality of live doesn't matter. Culture doesn't matter. It's all about getting money to be able to buy crap you don't need.

[DanDF2912]

The current administration is ager to sell PEMEX since it is really a profitable business for them particularly. The greatest source of gross national income in MX comes from PEMEX. Due to this industry MX offers free education, free health care, among other social services which are used by the poor people (the majority) who can't afford to pay private services. Instead of selling, MX should invest in more refineries and deep water drilling.Don't be missinformed by other media! MX needs ITS oil

[adilbro]

Well there is nobody who can sell a product which he fails to transport to the market/consumer!

the problem is the infrastructure, transportation, security and support. Mexico is at peace so these problems should be easily resolved compared to places like Iraq.

[JiveDadson]

There is no free market in oil in Mexico. The Mexican government nationalized the company in 1938. The company is in decline because its reserves have peaked and are not being replaced through exploration and development. It pays 60% of its income to taxes and royalties.

[LouisianaGatorGirl]

Al Jazeera, thanks so much for exposing the secret takeover attempt by Halliburton (Dick Cheney) of Pemex. Now that the world knows about it, I hope Halliburton and other foreign oil companies won't succeed in acquiring Pemex and that Pemex will always remain owned by the Mexican people.

[LouisianaGatorGirl]

How do you know that?

[aflow1080]

Calderon who like his Master Bush stole presidential election have done nothing but depriving Mexican people their and I don't think they will accept his cruel tactics to sell country's oil resources.