MercoPress. South Atlantic News Agency

Mexico keeps increasing oil production

Mexico's crude production increased almost 11% in August reaching 3.41 million barrels per day, government owned petroleum giant Pemex said Wednesday in Mexico City.

Pemex announcement comes a day after Mexico expressed support for the OPEC decision to keep current supply commitments with an additional two million barrels per day in the last quarter of 2005, beginning next October, with the purpose of stabilizing world oil markets.

During the first eight months of 2005 Mexico's average production was 3.33 million bpd. Over 70% of Mexican oil is Maya heavy crude and the rest Istmo light and Olmeca extra light crude.

Although Mexico is not a member of OPEC it's one of the world's leading oil producers and actively participates with measures leading to the stabilization of crude prices and even sent an observer delegation to the cartel's September 19/20 meeting in Vienna.

The Mexican Energy Ministry said in a release that it shares the concern "regarding recent events that have affected the price of energy products in international markets and their possible negative impact for the world economy".

The Ministry reiterated Mexico's commitment to "support efforts to stabilize the international petroleum market by bringing (our) production to the maximum (level) ... based on (our) technical and budgetary abilities".

Pemex also announced it will evacuate 200 workers from two offshore oil platforms in the northern Gulf of Mexico in anticipation of category 5 hurricane Rita considered possibly the worst and most dangerous storm to hit the Texas coastline.

However oil output will not be affected since the Ocean Whittington and Hacuryu platforms are engaged in drilling exploratory wells.