Mexico plans to build new refinery in Hidalgo state


13/08/2009 00:00 AST

Mexicos state-run oil company Pemex said on Wednesday it chose the central state of Hidalgo as the site for a new $9 billion refinery after the local government was able to secure land for the construction.

The city of Tula, Hidalgo was chosen in part for its proximity to Mexico City where demand is highest for refined petroleum products, Pemex chief Jesus Reyes Heroles told a news conference.

The government of Hidalgo state had delayed buying up the needed farmland due to the complexity of acquiring rural land in Mexico, where much of the property is communal, but it has since resolved the problems to clear the way for the project.

The new refinery is part of a $12.2 billion plan Pemex has for its two central refineries. Mexico has grown increasingly reliant on imports of refined products in recent years despite being a major crude oil producer and exporter. Rapidly growing demand has outstripped domestic refining capacity.

Pemex, which operates six refineries with a combined capacity of 1.54 million bpd, imported 341,000 bpd of gasoline last year. As recently as 2004, gasoline imports were only 95,000 bpd.

The new plan will increase Mexicos crude oil processing capacity by 250,000 barrels per day as well as convert much of the low-value fuel oil produced at the existing Tula and Salamanca refineries into high-value products such as gasoline.

Reuters
Global News
2016 | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | News Archive
Most Viewed Companies
Ticker Price Volume
SABIC 81.16 7,727,481
AMLAK 1.34 2,396,468
SIPCHEM 13.07 357,842
RIBL 10.94 960,659
STC 64.39 150,417
QNBK 140 124,731
TAWUNIYA 90.23 117,973
Recent News

Qatar’s investment in UK reaches QR150bn: British PM
Qatar’s investment in the UK has reached £30bn (nearly QR150bn), which is expected to grow further in the near future as the country remains well positioned to weather the economic challenges it face

Ooredoo and Qatar Chamber sign cooperation agreement
Ooredoo and the Qatar Chamber (QC) yesterday signed a major cooperation agreement that will see the two organisations work together to better represent Qatar’s business community and support the Qata

Qatargas to increase supply of LNG to Pakistan
Qatargas, the world’s largest producer of Liquefied Natural Gas (LNG), yesterday announced a long-term Sale and Purchase Agreement (SPA) with Global Energy Infrastructure Limited (GEIL) to meet the g

Etisalat to offer premium devices to SMBs
UAE-based telecom provider Etisalat has partnered with Intel and HP to provide the latest commercial devices to its Small and Medium Business (SMB) customers, as part of its latest Business Devices o

Saudi Arabia ups commissions on stock exchange trades
Saudi Arabia's market regulator raised the commission on trades on the kingdom's Tadawul stock exchange, which is seeking to attract foreign investors and sell state assets.

As well as rai

GulfBase GCC Index
Search By
  • Company Symbol
  • Company Name
  • Mutual Fund Name
  • News Content
Send this page to a friend

Poll

Looking ahead, what change you are more likely to make in investing in your domestic stock market?