Mexico's Pemex Unlikely to Get Credit Rating Upgrade, Moody's Says

June 29, 2021
(Photo: CC BY-SA 4.0 Cvmontuy / Wikimedia Commons)

(Photo: CC BY-SA 4.0 Cvmontuy / Wikimedia Commons)

Ratings agency Moody's Investors Service said on Tuesday that a credit upgrade of Mexican state oil company Petroleos Mexicanos is unlikely given its consistent negative free cash flow generation, despite a recovery in oil prices.

Moody's said that its Ba2 credit rating for Pemex, as the company is known, includes the assumption of "very high government support in case of need and very high default correlation between Pemex and the government of Mexico."

"An upgrade is unlikely given the negative outlook for Mexico's Baa1 rating and Moody's expectations for continued negative free cash flow for Pemex," Moody's said in a statement.

(Reporting by Anthony Esposito, Editing by Rosalba O'Brien)

No comments

More Popular Posts

About Crude Oil Facilitators

Crude Oil Facilitators are dedicated global brokers and facilitators of crude oil buying and selling. We work directly with crude oil buyers and crude oil sellers worldwide. We are a United Kingdom and Nigerian based firm, privately owned and devoted to the brokering of crude oil and other petroleum products buying and selling.

We have buyers and sellers of;

1. Nigerian Bonny Light Crude Oil, BLCO

2. D2 Diesel Fuel, JP54 Jet Fuel, Mazut etc.

3. Saudi Light Crude Oil, SLCO

4. Iraqi Light Crude Oil

If you are a buyer or seller of crude oil or other petroleum products or have mandate to buy or sell any of the above oil products, do contact us because we could be of help.

To contact Crude Oil Facilitators, click here ». To learn more about Crude Oil Facilitators, click here

Crude Oil Facilitators