Pemex slashes crude exports as Olmeca refinery starts up

Mexico's state oil company Pemex exported 779,000b/d of crude in July, a drop of 26% from 1.05Mb/d in the same month last year, as it diverted more of its output to its own refineries.

Pemex's crude exports to the Americas fell 58% to what appears to be a record monthly low of 343,000b/d, according to a report released by the company on Friday. 

The NOC’s worldwide exports of its benchmark Maya-grade crude, which accounted for 52% of the total, dropped by 29%. Shipments of its lighter Isthmus-grade crude fell 41%.

The drop in crude exports coincides with the official start of operations at the 340,000b/d Olmeca refinery in the port of Dos Bocas in Tabasco state. 

In July, the US$18bn refinery processed 65,000b/d of crude, according to Pemex's report.

Under the administration of outgoing President Andrés Manuel López Obrador, Pemex has prioritized achieving domestic self-sufficiency in fuels such as gasoline and diesel. 

As well as launching the Olmeca refinery, which has been hit by major cost overruns and delays, Pemex is investing in improving the utilization rates at its existing refineries.

Pemex's total output of refined products rose 18% from last year to 1.07Mb/d in July. Diesel production was up 34% and gasoline output rose 8%.