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Pemex to cut offshore oil crews to halt COVID-19's spread

Workforce loss not expected to further impact output

- Company to slash 50% of offshore personnel
Workers asked to give up 25% of wages

By Sheky Espejo/Platts

Petroleumworld 04 29 2020

Pemex is slashing the number of workers at its oil platforms to limit the spread of the coronavirus, allowing only essential personnel to remain, the company said Sunday.

Mexico's state-controlled oil and gas firm said the measure is expected to cut the number of workers at sea by 50%, including its own and outsourced personnel that make up the bulk of crews.

The company does not expect the cut to have an impact in production further past the agreed-to cuts in May under the output deal with OPEC+. Mexico agreed to cut its production by 100,000 b/d to 1.681 million b/d in May and June.

In March, Pemex produced 1.696 million b/d, less than 1% more than the previous month, according to official figures.

Local media reports from Campeche, one of the regions with the highest number of people employed by the oil and gas industry, calculated as many as 5,000 people could be sent back to land in the coming days.

Pemex did not respond to a request for comment.

Pemex so far has 248 confirmed cases of COVID-19 and 28 deaths, five of whom were current workers.


Blue-collar workers may not end up being the only ones who suffer directly from the impact of the coronavirus pandemic inside the company.

On Friday, Pemex asked employees to give up 25% of their net monthly wage voluntarily through December 2020 to help the company during the period of low crude prices. It was not entirely clear which workers were asked to take the pay cut.

At the end of 2019, Pemex employed little over 125,700 workers, according to its Q4 financial report sent to the Mexican Stock Exchange.

By Sheky Espejo from S&PGlobal Platts
04 28 2020



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