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Pemex says it has lines of credit to pay 1,300 vendors
Pemex gas station via Wikimedia Commons

Pemex says it has lines of credit to pay 1,300 vendors

MEXICO CITY (AP) — Mexican state-run oil company Petroleos Mexicanos says it has obtained lines of credit allowing it to pay 85 percent of its vendors, more than 1,300 businesses.

Pemex said in a statement Tuesday that at the close of 2015 it had debt of $8.4 billion of which it has paid about $1.1 billion.

Company director Jose Antonio Gonzalez Anaya met with the heads of business organizations Monday, explaining that Pemex was experiencing a liquidity problem but was solvent.

In February, Pemex announced it would slash spending 22 percent and cut unprofitable production 100,000 barrels per day. It will cut $5.5 billion from its 2016 budget because of low world oil prices.

Mexico had estimated that the price of oil in 2016 would be $50, but it is now forecast at $25.

In related news, Mexico’s Pemex to open 5 gas stations in US.

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