Mexico to reduce oil exports

by The Associated Press

On Jan. 1, Mexico started reducing its oil exports by 100,000 barrels a day in line with cuts made by the Organization of Petroleum Exporting Countries.

The cuts will keep exports to an average of 1.56 million barrels a day up until June 30, down from the approximately 1.66 million barrels a day averaged in 2001.

In a news release, the Energy Ministry also applauded the agreement in late December among OPEC countries to reduce oil production by 1.5 million barrels a day for the first six months of the year.

“The Mexican government wishes to express its satisfaction for this decision,” the ministry said. “It is proof of OPEC’s interest in taking actions to find a balance between supply and demand to benefit producers as well as consumers.”

The ministry said it was also appreciative of the decisions taken by Angola, Norway, Oman and Russia to reduce oil output in cooperation with OPEC.

The ministry said its decision was made “strictly in the national interest” and confirms the commitment it made Nov. 14 to reduce its export platform if similar actions were taken by other producers. Mexico isn’t a member of OPEC but has worked closely with the organization in recent years to determine output levels in an effort to stabilize volatile oil prices.