Reuters quoted the company as saying in a statement: "The (budget) adjustment is of sufficient size that the execution of the major projects is being deferred."
Last week, the budget cuts of $4.16bn have received the approval from the company’s board of directors. This development has further delayed the previously announced plans to upgrade its refineries, the company said.
The company earlier announced its plan to add deep conversion coking units to three of its six refineries.
The upgrades were to be carried out at Salina Cruz, in southern Oaxaca; Tula, in central Hidalgo; and Salamanca, in central Guanajuato, in Mexico. These upgrades were part of the company’s $20bn investment plan, according to Reuters.
Currently, Pemex is the only supplier of refined products such as gasoline, diesel and liquefied petroleum gas in Mexico, reports The Wall Street Journal.
