Mexico plans to build new refinery in Hidalgo state


13/08/2009 00:00 AST  Reuters

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.

Global News
2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | News Archive
Most Viewed Companies
Ticker Price Volume
UPP 1.3 124,807,273
SABIC 87.2 7,105,330
ALMARAI 91.13 237,738
SAGRINSURANCE 31.11 491,288
RIBL 17.19 1,548,346
EEC 38.92 6,283,857
EMAAR 8.15 63,839,151
Recent News

Oil futures score weekly gain of nearly 8%
Crude-oil futures settled with a loss on Friday as a drop in the U.S. stock market and ongoing debt woes in Greece fed concerns about energy demand, but after posting gains over the past six sessions

Crude Oil Caps Biggest Weekly Gain in Four Years as Rigs Drop
Oil capped the biggest weekly advance in more than four years in New York on speculation that the drop in U.S. rigs will crimp production.

Futures climbed 7.9 percent this week amid expectat

EUR/USD pares gains after strong UoM report
The euro pared gains against the U.S. dollar on Friday, as a strong U.S. consumer sentiment report lent support to the greenback, while earlier euro zone inflation data continued to boost the single

Attitude Shifting Towards USD?
The FXCM US Dollar Index is looking vulnerable. Last week the index broke out from a clear triangle pattern on the daily charts to a record a new multi-year high. This advance was short-lived, howeve

SR18.7 billion plan to revive economy of Yemen
The Saudi-Yemeni Business Council intends to invest SR18.7 billion in Yemen to revive the nation’s economy, a council member said here Thursday.

Abdullah bin Mahfouz told Arab News the Yemen

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

Poll

Which of the following do you think is the best long-term investment?