November 8, 2012 / 12:21 AM / 5 years ago

Mexico's Pemex says it will need $10 bln in financing for 2013

MEXICO CITY, Nov 7 (Reuters) - Mexican state oil monopoly Pemex will need roughly $10 billion in financing for 2013, similar to the amount required this year, the company’s finance director Ignacio Quesada said on Wednesday.

Quesada said Mexico’s incoming government led by President-elect Enrique Pena Nieto, set to take office on Dec. 1, will rubber-stamp Pemex’s authorized financing for next year.

Pena Nieto will also get to pick the successor to current Pemex Chief Executive Officer Juan Jose Suarez Coppel.

Mexico’s 2013 federal budget, which is currently being put together, must be passed by the end of the calendar year.

Quesada would not say which markets Pemex would tap for its 2013 financing needs, but he did say that Mexico usually turns to credit markets in the United States, even though the company is weighing other options.

Mexico, the world’s seventh largest oil producer, typically borrows to fund investment projects or refinance debt.

“The current administration is trying to put things in place in a way so that the next administration may, at least initially, not be able to stop,” said Lourdes Melgar, an energy expert at the EGADE Business School in Mexico City.

She added that while outgoing officials may try to lock in current priorities, like ultra-deep water drilling in the Gulf of Mexico, the funding for these projects could still be modified or reversed before the end of the year.

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