Billionaire Carlos Slim Bets Big on Oil: $1 Billion Investment Revealed
Editorial Team (ET)April 25, 2025
Latin America’s richest man, Carlos Slim, has made waves in 2024 with a $1 billion investment to expand his oil production and refining portfolio. Known for building a telecom empire through América Móvil SAB, Slim has diversified his holdings over the years. Now, at 84, he is doubling down on fossil fuels, a move that underscores his confidence in the enduring demand for oil despite global pushes for greener energy.
Strategic Investments in PBF Energy and Talos Energy
Through his family’s investment office, Control Empresarial de Capitales, Slim has taken bold stakes in two major players in the oil industry. A $602 million investment in U.S. refiner PBF Energy Inc. has increased his stake to 25%. Similarly, a $326 million purchase of Talos Energy Inc. shares has given him control of 24.2% of the Houston-based oil producer.
This strategic maneuver has not gone unnoticed. In October, Talos Energy adopted a “poison pill” policy to prevent Slim from acquiring more than 25% of its stock, a clear indicator of the board’s concerns about his growing influence. Despite these challenges, Slim’s moves reflect his deep commitment to capitalizing on oil’s enduring relevance.
Expanding Control Over Mexico’s Energy Sector
Slim’s investments are not confined to U.S.-based companies. In December, he increased his stake in a Mexico joint venture with Talos Energy, taking control of 80% of the partnership. This move, valued at $82.7 million, strengthens Slim’s position in Mexico’s energy sector, particularly in the lucrative Zama oil field, one of the country’s most promising recent discoveries.
In another ambitious project, Slim pledged $1.2 billion to develop the Lakach offshore gas field. Partnering with Mexico’s state oil firm, Pemex, and Spain’s Fomento de Construcciones y Contratas SA, this venture highlights Slim’s commitment to advancing Mexico’s energy capabilities.
Navigating Challenges in a Shifting Market
Slim’s significant investments in oil come at a challenging time for his broader portfolio. His net worth, which surpassed $100 billion earlier this year, has dropped by 22% to $81.8 billion, largely due to declines in the Mexican peso and the performance of Grupo Carso SAB, his holding company.
Despite these setbacks, Slim has consistently demonstrated an uncanny ability to buy into opportunities during downturns. Talos Energy and PBF Energy have both faced sharp declines this year, with stock prices falling 35% and 42%, respectively. Slim’s acquisitions during these downturns suggest a long-term vision for recovery and profitability.
Why Fossil Fuels? Slim’s Rationale
Slim has been vocal about his belief in oil’s continued importance. In February, he expressed interest in refining and petrochemicals and announced plans to collaborate with firms experienced in Gulf of Mexico operations. These moves signal his confidence in the lasting demand for fossil fuels, even as the world increasingly shifts toward renewable energy.
Legacy and Long-Term Vision
As Slim continues to invest in diverse sectors, his foray into oil underscores his strategic thinking and resilience. By increasing his control over critical energy assets in Mexico and the United States, he is positioning his family to benefit from potential windfalls in a sector that remains vital to the global economy.
