Content 1 A Snapshot of PEMEX Upstream Midstream & Downstream Overall Financial Performance Business Outlook 1
O&G: The Industry Moving the World According to the IEA, by 2040, crude oil demand is expected to grow 6% up to 103 MMbd, while natural gas consumption increases by 50% Btoe World energy 10.0 9.4 consumption 2014 100% = 9.4 Btoe1…
PEMEX: The Most Important Company in Mexico 8th Crude oil producer 8th Drilling company 5th Producer of petrochemicals in Main producer of oil, gas and Mexico refined products in Mexico 1st Producer of phosphates in LATAM 14th…
Distribution of PEMEXs Reserves1 PEMEX holds 95% of Mexicos hydrocarbon reserves MMMboe (billion barrels of oil equivalent) Prospective Reserves Resources2 Oil and Gas Basin Gas 1P 2P 3P Non Conv. (90%) (50%) (10%) Conv.…
2017 Achievements Trion block through a farm-out with BHP Billiton Consortium formed by PEMEX, Chevron and Inpex was awarded Block 3 North in deep waters PEMEX was awarded two blocks in shallow waters through consortia with DEA…
Key Highlights as of September 2017 Average production platform in line with the annual target of 1,944 Mbd Uninterrupted fuel supply throughout the country despite hurricanes and earthquakes Accumulated net result increased by…
Content A Snapshot of PEMEX 2 Upstream Midstream & Downstream Overall Financial Performance Business Outlook 7
Upstream: Current Status and Challenges PEMEX continues to be a main player in the O&G industry The challenge has been replacing Cantarell, a giant field that produced by itself 2 MMbd, to stabilize and eventually increase production…
Industry Cost Leader The development of exploitation strategies focused on shallow waters has allowed PEMEX to maintain very competitive production costs, as compared to most of its peers in the oil and gas industry. Lower production…
Upstream: New Production Frontiers Underinvestment and reduced access to know-how has limited intensive exploitation of new complex frontiers to stabilize and increase production Deepwater Infrastructure1 Shale Potential2 1…
Upstream: Business Plan With profitability as its ultimate goal, the Business Plan contemplates increased production and investment through different business schemes such as JVs and farm-outs to maintain and gradually increase the…
Upstream: Farm-outs at a glance Farm-Out Trion Crdenas-Mora Ogarrio Nobilis-Maximino Ayn-Batsil Winner will be Will be part of a BHP Billiton Cheiron Holdings DEA Deutsche Erdoel announced in CNHs Winner new bidding (Australia)…
Upstream: Recent Developments (Trion & Block 3) Trion Perdido Fold Belt Block 3 PEMEXs Assignments Trin Farm-Out Round 1.4 Deep Waters Great White Oil and Gas Field 28 3D Seismic Km 179 Km Matamoros 1 Maximino Block 3 North…
Upstream: Recent Developments (Crdenas-Mora & Ogarrio) Round 1.2 Round 1.3 Farmouts Crdenas- Mora and Ogarrio Exploration blocks Mora Ogarrio Crdenas Crdenas-Mora Ogarrio Cheiron Holdings offered a cash tie-break of DEA…
Upstream: Upcoming Developments (Additional farm-outs) Nobilis-Maximino Ayn-Batsil 3P Reserves: 502 Million barrels of oil 3P Reserves: 359 Million barrels of oil equivalent equivalent Oil type: Heavy oil Oil type: Light oil…
PEMEX discovered the biggest onshore reservoir in 15 years: Ixachi-1 Result of great exploration efforts and investments during the last 30 years Original volume of 1,500 million barrels of oil equivalent (MMboe) 3P Reserves of…
Content A Snapshot of PEMEX Upstream 3 Midstream & Downstream Overall Financial Performance Business Outlook 17
Midstream: Investment Opportunities Further gasoline storage capacity and pipelines are required in Mexico. The U.S. has 27 times more infrastructure to supply fuel and 45 times more storage terminals than Mexico Gasoline Storage Days…
Downstream: Current Status and Challenges Infrastructure1 Capacity 6 Refineries in Mexico 1,942 Mbpd2 and one in U.S.A. 9 Gas Processing 5,912 MMcfd3 Centers 2 Petrochemical Complexes 1,694 Tpa4 Main causes for non…
Midstream & Downstream: Business Plan Underinvestment, supply mandates and cost recognition are being and will continue to be addressed in the upcoming years to reverse the accumulated losses in the midstream and downstream…
Midstream & Downstream: Upcoming Developments The Mexican fuels market is moving towards an open, competitive and market-driven price structure; stages 1, 2 and 3 have been completed, and it will be fully liberalized by November 30…
Content A Snapshot of PEMEX Upstream Midstream & Downstream 4 Overall Financial Performance Business Outlook 22
Financial Performance Until the third quarter of 2017, average operating income is USD 3,163 million Debts maturity profile was extended to 7.5 years. Operating Income 20,000 USD million 10,000 0 -10,000 -20,000 1Q12…
PEMEX Recorded a Positive Net Result from January to September 2017 Nine consecutive months of positive net result since 2012, when the price of the Mexican Crude Oil Mix was 2.3 times higher Net Result and Mexican Crude Oil Mix…
Net Indebtedness Trend Since 2016, financial deficit 250 240 has decreased. In addition, 223 net indebtedness for 2017 is 195 substantially lower than 200 previous years, confirming the Billion Pesos 150 142 trend stated in our…
PEMEX 2017 Financing Activities In July, PEMEX carried out a bond transaction with the following characteristics: The reopening of two reference bonds due 10 and 30 years, and yield to maturity of 5.75% and 6.90%, respectively. This…
Diversified Debt Structure PEMEXs portfolio strategy has prioritized the development of new sources of financing to diversify its investor base and currencies To reduce external impacts, the company has chosen a hedging strategy that…
Credit Rating Agencies recognize PEMEXs strategic importance for Mexico 2017 PEMEX annual rating revisions highlight: Expectation of Close linkage to improved Mexican Key energy Stable finances profitability Government & supplier…
Markets respond positively to PEMEXs strategy PEMEXs efforts and business strategy have yielded tangible results, as shown in the spread between PEMEXs 10Y benchmark and both Mexicos UMS 10Y and US Treasury. 29 Source: Bloomberg
Final Remarks PEMEX has tackled short-term challenges with determination and today has stable finances Budget adjustment Strengthening of financial balance Renewed access to financial markets and active debt management Primary surplus…
Content A Snapshot of PEMEX Upstream Midstream & Downstream Overall Financial Performance 5 Business Outlook 31
Financial Outlook: Scenarios with Realistic Premises 2017 marks an inflection point: Primary Surplus (first time since 2012): 8.4 billion pesos Attainable Production Platform: 1.944 million barrels per day Conservative Price…
Loading...
