March 02, 2026 [Reuters]- Mexican state energy company Pemex narrowed losses sharply in the fourth quarter, booking a net loss of 155.23 million pesos ($8.62 million), a filing to the Mexican stock exchange showed on Friday.

Over the same quarter a year earlier, it booked a net loss of 350.46 billion pesos, the filing showed.

Pemex, which said it had received 395.3 billion pesos in support from the government last year, ended 2025 with a financial debt of $85.2 billion and a debt to providers of $24.18 billion.

The company still faces $13.4 billion in debt repayments due this year.

For years, Pemex has been trying to squeeze more barrels from several sharply declining fields, especially in the Gulf of Mexico, and produce faster from new ones.

It repeatedly said it would reduce crude oil exports, much of which goes to U.S. refineries, as it refines more at home.

Pemex sent an average of 1.14 million barrels per day of crude oil to its own refineries. Over the same quarter a year earlier, Pemex processed 786,000 bpd.

Ramping up refining has been a priority for the government, which has sought to lessen dependence on fuel imports by building a new refinery in the port of Dos Bocas and investing heavily in its outdated infrastructure.

Despite government support, its operations remain constrained by budget limitations and mounting debts.

Crude oil production has not risen significantly and the driller struggles to meet the government’s ambitious production goal of 1.8 million bpd.

Together with its partners, Pemex pumped an average of 1.65 million bpd of crude oil and condensates during the fourth quarter of last year, broadly in line with the same quarter a year earlier.