The Mexican government is considering a capitalization of Petróleos Mexicanos to bolster its working capital, but requires that the state oil company come up with a plan to cut costs and maximize profitability at a time of low oil prices , Finance Minister Luis Videgaray said Wednesday. Mr. Videgaray said at an energy conference that the federal government is concerned about Pemex but also about its contractors and suppliers who last year saw their payment times increased from 20 days to 180 days. The government has offered help via development banks for suppliers to secure better terms on factoring, where they can receive money upfront for receivables from Pemex, but suppliers are still dismayed by the changes. “We’re analyzing several options including a possible capitalization of the company that would translate into an improved balance sheet, particularly in working capital,” Mr. Videgaray said. The finance minister didn’t mention […]