Mexico to expand fuel storage capacity

Mexico is on a trajectory to more than double its national fuel storage capacity over the next three years thanks to USD 1.84 billion in investments in 23 new infrastructure projects, local media reported on Monday.

In an interview with El Economista, Energy Regulatory Commission (CRE) head Guillermo García Alcocer said that 17.7 million barrels of additional capacity will be added by projects that already have permits, as well as several currently under evaluation. The new storage capacity accounts for around 80% of Pemex’s current capacity at its fuel terminals.

According to the CRE, 14 Mexican states are set to see new midstream infrastructure and 12 projects representing 5.61 million barrels of capacity have already received permits.

As another means of expanding the national fuel transportation and distribution network and reinforcing the country’s petrol and diesel supply, the CRE is also working with Pemex to grant 11% of excess capacity in its own infrastructure to private companies. So far, two open seasons for pipeline and storage systems have taken place, with awards for the most recent, for infrastructure in northern Mexico, to be announced in mid-March.