Share

Petrobras and Similar Oil Companies Are Struggling. Now What?

By Stephen Kurczy

Latin American governments are warming to foreign investment in oil and gas, but the shift may not last.

Calling it a “crisis” would be an understatement. Across Latin America, several state-run oil companies that thrived during last decade’s commodities boom are now hemorrhaging billions of dollars a month, seeking emergency funds, laying off workers — and facing fundamental questions about what their future should look like. Following the sustained plunge in global oil prices, Mexico’s Petróleos Mexicanos (Pemex) reported $32 billion in losses last year, Brazil’s Petróleo Brasileiro (Petrobras) lost nearly $10 billion, and Venezuela’s Petróleos de Venezuela S.A. (PDVSA), which does not...

Read this article on the Americas Quarterly website. | Subscribe to AQ.

Related

Explore