Ballesteros, 51, confirmed on Monday that he was suffering from a brain tumor and he was operated on the following day.
However, 48 hours after that operation Ballesteros' condition took a turn for the worse.
"The patient Severiano Ballesteros has presented a dropping in his levels of consciousness," said the hospital in a statement. It added that Ballesteros had undergone a second operation which had improved his condition.
"His current condition is stable and he is currently being looked after in intensive care," it said.
Ballesteros officially retired from professional golf in 2007 after a glittering career in which he won the British Open on three occasions (1979, 1984 and 1988) the U.S. Open (1987) and the Masters (1980 and 1983).
One of the most popular golfers of recent times, he was renowned for his attacking style of play.
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