Petroleos Mexicanos, Mexico's state- owned oil company, reduced the amount of crude oil it supplies to Texas refineries operated by Royal Dutch Shell Plc and Valero Energy Corp. as falling production curbs exports...
Petroleos Mexicanos, Mexico's state- owned oil company, reduced the amount of crude oil it supplies to Texas refineries operated by Royal Dutch Shell Plc and Valero Energy Corp. as falling production curbs exports.
The guaranteed amount of Mayan oil for a Deer Park, Texas, refinery jointly operated with Shell, Europe's biggest oil company, was cut by 15 percent, the Mexico City-based company said in a regulatory filing. Pemex also lowered oil supplies by 5.8 percent to the Port Arthur, Texas, refinery of Valero, the largest U.S. refiner.
Falling oil output is curbing Pemex exports to the U.S., which buys about 80 percent of the crude Mexico sells abroad. Sales to the U.S. dropped to 1.07 million barrels a day in May, the lowest since November 1995.
Mexico is the third-biggest supplier of crude to the U.S., after Canada and Saudi Arabia.
Output at Pemex's largest field, Cantarell, fell to an almost 12-year low in May, when crude exports dropped 22 percent to 1.376 million barrels. This pushed Pemex production to 2.797 million barrels, below a goal of 3 million barrels.
The revised Shell accord guarantees 170,000 barrels a day of Maya from May until 2023, Pemex said in the filing. Pemex provided Deer Park 200,000 barrels a day since April 2001. Shell has an option to increase how much oil it buys, Pemex said in an e-mailed statement today.
