Article: MEXICO: DEBT-RIDDEN STATE OIL MONOPOLY STRUGGLES TO COMPETE

Adrin Reyes
Inter Press Service English News Wire
04-01-2005
MEXICO CITY, Mar. 31, 2005 (IPS/GIN) -- The spectre of
bankruptcy is looming over Mexico's state oil monopoly, which
carries a burden of $86 billion in debt, while more than 60 percent
of its sales go to the state in taxes.
These factors, combined with its ageing infrastructure, are
making it more and more difficult for Petrleos Mexicanos (Pemex)
to compete with outside companies during this time of rising oil
prices.
The heavy tax burden and lack of investment in upgrading
infrastructure and exploration and prospecting are among the main
elements endangering the oil company, which was created by the
government of Lzaro Crdenas after ...

Related newspaper, magazine, and journal articles:

 
 
Newsweek Harper's Magazine The Washington Post Chicago Tribune Crain's Chicago Business PRNewswire Pediatric News The Nation Advertising Age The Economist (US) A FREE trial gives you access to over 80 million articles! Access over 6,500 publications with a FREE trial!