92 - Narco-Economics: Inside the Mexican Drug Trade
The Red Line
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The Debt of Pemex
I say Pemex is the most indebted oil company in the world today. I think it's $110 billion by now, even though much of it was contracted at lower interest rates. The Mexican finance ministry has to plow money into Pemex every year to help it to meet its commitments on that debt. But we were just in the middle of an oil boom where the demand and therefore price of oil was skyrocketing. So why wouldn't they simply raise the amount of oil they produce, sell it into the booming market and help pay off all their debt while the surprise was high? Why not pursue that as a solution?
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