For 76 years, Mexico’s state-owned oil company Petroleos Mexicanos, or Pemex, has been the government-enforced monopoly over all of the country’s oil and gas industry efforts. Roughly one-third of all of Mexico’s tax revenues is derived from Pemex, according to Reuters.

Like many other countries with government-owned oil and gas monopolies, Mexico has not reinvested enough in Pemex for it to function properly as a production and exploration company. In 2012, Pemex paid $69.4 billion in taxes on $69.6 billion in pretax profits, a 99.7%tax rat...


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