Commodities
Gulf Refiners Are Balking at Watery Mexican Oil in Blow to Pemex
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US oil refiners along the Gulf Coast are snubbing shipments from Mexico and instead turning to Colombia and Canada amid complaints that Petroleos Mexicanos is increasingly delivering crude that’s unfit to make gasoline and diesel.
Refiners in Texas and Louisiana are demanding discounts and repeatedly complaining about the high water content in crude currently coming from Mexico, according to people with knowledge of the situation who asked not to be named citing private discussions. That’s upending flows of crude that the processors have relied on for the past half century.