Pemex creates subsidiary to sell petroleum products, gas, petrochemicals
Mexican state oil company Petroleos Mexicanos (Pemex) said on Tuesday its board has approved the creation of a new subsidiary to sell petroleum products, gas and petrochemicals domestically.
Pemex Chief Financial Officer Alberto Velazquez will head the new subsidiary and Antonio Lopez, deputy director of financial risk management and insurance, will step into his role, Pemex said.
"This proposal advances the structural changes that Pemex's management has been implementing in order to strengthen the most important productive company in the country," the company said in a statement.
Pemex said the move was aimed at seeking a bigger share of the local market and would not lead to higher costs for the company.
Reforms spearheaded by Mexico's previous administration opened up the country's energy sector to foreign and private producers, but President Andres Manuel Lopez Obrador's government has battled to roll these back. Lopez Obrador has said he wants to revive both Pemex and state power utility Comision Federal de Electricidad.
In July, he said Pemex would distribute gas to consumers.
The American Petroleum Institute, a top U.S. oil lobby, recently raised concerns about Lopez Obrador's energy policies, arguing they undermined investor confidence and violated Mexico's trade commitments.
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