Mexican state-owned Pemex lost 10pc more product to fuel theft in 2024 despite increased surveillance and the detection of fewer illegal taps on its pipelines.
Stolen hydrocarbons — mainly gasoline and diesel, but also including some fuel oil, jet fuel and even crude — amounted to 17,000 b/d in 2024, up from 15,400 b/d a year prior, according to its 2024 annual report filed with the US Securities and Exchange Commission.
The rise came despite a 21pc drop in discovered illegal pipeline taps, which fell to 11,774 from 14,890 a year earlier. Pemex attributed the continued losses to the limited effectiveness of government efforts.
"The actions we have taken in conjunction with the Mexican government to reduce the illicit fuel market have not produced sustained improvement in recent years," Pemex said.
Under former President Andres Manuel Lopez Obrador's administration, Pemex implemented a stricter policy against fuel theft and moved some transition to truck from more theft-prone pipelines. But the illicit market remains widespread.
The finance ministry has estimated that stolen or illicit fuel could supply up to 30pc of Mexico's 1.2mn b/d gasoline and diesel demand. Much of it enters as mislabeled imported refined products as petrochemicals, additives or biofuels, which are exempt from excise taxes.
Earlier this month, the US administration said it uncovered a wide-ranging scheme by drug cartels to smuggle Mexican crude into the US, for sale in domestic markets or for re-exports.
Pemex estimates 2024 losses to fuel theft at Ps20.53bn ($1.05bn), up from Ps20.17bn the previous year.
Still, surveillance efforts helped reduce alerts from leak detection systems by 23pc, from 16,075 in 2023 to 12,414 in 2024. Pemex said all alerts were addressed and 18.4mn l (116,000 bl) of hydrocarbons were recovered.
