The Mexican government will provide a capital injection of Peso 73.5 billion ($4.2 billion) for Pemex that analysts described as the first salvo in a battle to defend the survival of the state oil company. The finance ministry Wednesday described the money as a rescue as a time low oil prices have forced Pemex to cut capital spending, and cut its production forecasts. “If it is a rescue, it’s certainly not sufficient. Pemex has negative equity of about $70 billion,” said Luis Miguel Labardini, a partner of the Marcos y Asociados consultancy. The ministry said it would pay $1.5 billion immediately, to be deducted from the $5.5 billion in cuts made in February of the Pemex budget for this year. The rest of the $4.2 billion would be paid over the whole of 2016 for the payment of severances and pensions. But the ministry added: “This support is on […]