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Mexican cartels steal billions from oil industry

2 years 2 months 1 week ago September 25, 2014 Sep 25, 2014 Thursday, September 25 2014 September 25, 2014 12:43 AM in News
Source: Associated Press
By: Hunter Robinson

CIUDAD MIER, Mexico - Mexico has overcome 75 years of nationalist pride to reform its flagging, state-owned oil industry.

But as it prepares to develop rich shale fields along the Gulf Coast, and attract foreign investors, another challenge awaits: taming the brutal drug cartels that rule the region and are stealing billions of dollars' worth of oil from pipelines.

Figures released by Petroleos Mexicanos last week show the gangs are becoming more prolific and sophisticated. So far this year, thieves across Mexico have drilled 2,481 illegal taps into state-owned pipelines. That's up more than a third from the same period of 2013.

Pemex estimates it's lost some 7.5 million barrels worth $1.15 billion.

Pemex director Emilio Lozoya calls the trend "worrisome."

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