On her first day as president of Mexico, Claudia Sheinbaum announced that oil production will be limited to 1.8 million barrels per day during her administration.

The move has generated mixed opinions in the energy industry. Merlin Cochran, general director of the Mexican Association of Hydrocarbon Companies (AMEXHI), said that limiting production might not be the best thing for the country or the oil industry.

Cochran recalled that Petróleos Mexicanos (Pemex) has the capacity to produce up to 2.4 million barrels per day, which demonstrates the potential of the Mexican industry.

However, the decision to limit production appears to be motivated by the need to supply refineries with an adequate mix of hydrocarbons for their operation. The official warned that limiting production could put the country in a difficult position in the long term, especially if consumption capacity cannot absorb all that is produced.

Cochran suggested that Mexico should harness its oil potential using international best practices and focus on reducing emissions without restricting production, as the country needs oil revenue to finance other important projects.

For his part, Javier Estrada, director of Energy Analytics, stressed that Pemex is at a critical stage, focusing on the development of marginal and small fields to obtain early production. Although the state-owned company has managed to stop the decline in production, the challenge lies in finding a balance between the development of short- and long-term projects to maintain production stability in the future.

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