Mexico oil company Pemex puts some deep-water oil exploration on hold with crude prices down

IndustriesAssociated Press

Mexico's state-run oil company says it will postpone some deep-water exploration projects in response to a steep fall in crude prices.

Petroleos Mexicanos director Emilio Lozoya says deep-water projects that have not already begun will be delayed.

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He added in Wednesday comments to local radio that there will also be personnel cutbacks at the company, but without giving details.

Mexico has been hit by falling global oil prices that began last year, even as it embarks on ambitious reforms that aim to modernize the industry through private investment and partnerships.

The country, which gets about a third of its income from oil, recently cut $8.4 billion from this year's national budget.

Pemex also announced this week that it would slash 2015 expenditures by a little over $4.2 billion.