Pemex Issues $1.5 Billion Bond To Refinance Massive Debt -- October 10, 2020

Link here.

• first time since receiving a BBB- rating, Pemex raises new debt
• 6.875% coupon
• $10 billion bid for the bond
• already the most-indebted energy company in the world
• $100 billion in debt prior to this new bond
• despite efforts by AMLO to ameliorate debt crisis
• Pemex given tax relief
• reversal of liberalization measures taken by the previous government
• hope springs eternal
• bond substantially oversubscribed
• production:
• previous forecast: 2.027 million bpd
• new forecast: 1.857 million bpd on average
• most recent: 1.692 million bpd -- much below its forecast for the year
• will have to have spectacular months going forward to get back to forecast average