The insolvency problems of Mexican steel giant Altos Hornos de México (AHMSA) are increasing, according to press reports, which indicate the state-owned Petróleos Mexicanos (Pemex) suspended the supply of gas, which is why the company is prevented from producing any steel.
"Since January 5, Pemex has cut off our gas supply, so I can say that the company is no longer producing steel, nothing is coming out of our production lines in Monclova," said Francisco Orduña, a spokesman for the steel company to the newspaper Reforma.
A few days ago, SteelOrbis requested information from AHMSA, but under the argument of potential news about a capital injection for the steel company, the company commented that they were in a "period of silence" with the press.
In addition to Reform, "El Periódico La Voz" published "IMSS seizes AHMSA" and "CFE cuts energy to Hercules."
Today, SteelOrbis requested confirmation from AHMSA. In addition, the communication departments of the IMSS social security institute were contacted to find out about the possible embargo and the state Federal Electricity Commission (CFE) to confirm the new power cut due to non-payment. However, no response was received by publication.
SteelOrbis reviewed the financial statements for the third quarter of 2022, considering this data, in the 22 days that AHMSA stopped producing steel, the company did not sell more than MXN 2.0 billion, a figure that at today's exchange rates is equivalent to $108 million.
According to the Reforma newspaper, citing the AHMSA spokesperson; Francisco Orduña, AHMSA has an annual production capacity of 6.0 million metric tons, so in the 22 days that it is without activity, no more than 346,150 mt were manufactured.