Pemex Emissions Surge With Boom in Gas Flaring, Plant Repairs

(Bloomberg) -- Mexico’s oil giant Pemex pumped almost 40% more dangerous pollutants into the atmosphere during the second quarter as exploration crews flared off excess natural gas and facilities were temporarily shut for repairs.

Petroleos Mexicanos posted a 37% rise in carbon dioxide-equivalent emissions compared with the same period in 2020, and an 11% increase in sulfur oxide-equivalent pollution, according to a quarterly earnings report released on Wednesday.

The ramp-up in Pemex’s emissions bucks the trend in its northern neighbor, where the combination of stricter regulatory oversight and investor pressure has prompted drillers to curb air pollution. In Texas, the top U.S. crude-producing state, the burning off of surplus gas has fallen by almost 75% in the past two years.

The company said that it was including environmental, social and governance data in its earnings report in response to increased interest from investors in ESG metrics. It’s one of the first indications that Pemex is under pressure from bondholders to improve its environmental track record.

©2021 Bloomberg L.P.