Trafigura lands Mexico trading contract

MEXICO CITY, December 22, 2017 – Mexico’s National Hydrocarbons Commission (CNH) awarded multinational energy trader Trafigura a contract to commercialise domestically produced crude for three years, starting on January 1, 2018.

The company will be responsible for marketing oil produced under the new PSC and licence agreements granted to private companies since Mexico’s 2014 energy reform, the CNH said in a statement on Thursday.

The decision to grant Trafigura a contract comes after a failed auction in early November. Last week, a new tender was held and while the proposals from the only two participants did not have the proper electronic signatures, the CNH chose Trafigura as the winner.

The Swiss-based company will make USD 0.18 for every barrel sold. The other bidder, PMI Comercio Internacional, offered a take of USD 0.21 per barrel.

PMI Comercio Internacional is NOC Pemex’s trading arm. Since it was established in 1989, it has marketed all of Mexico’s state-owned oil and gas.

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