Mexico plans to build three new refineries between 2023 and 2029

Mexico plans to build three new refineries between 2023 and 2029.

One of them is the project that was canceled in 2013: the new refinery in Tula, Hidalgo. The other two new refineries will start being built in 2023 and 2026 or 2027.

In the 2015-2029 plan released on December 30, the Energy Ministry foresees investments for 412.8 billion pesos (US$23.7 billion) in the next 15 years.

The resources will be used to modernize the existing infrastructure in order to optimize the operations of the oil supply chain as well as oil production, distribution and storage capacity.

Nonetheless, Mexico will increase gasoline imports by 39.1% during this period to meet the domestic market demand.

According to the document, between 2015 and 2022 a quarter of the planned investment will be used for wastewater projects in the Tula and Salina Cruz refineries. Other investments will be refining trains between 2023 and 2029 and studies in preparation for a new refinery.

Gasoline production is expected to increase 54.6% between 2014 and 2029, an additional volume of 223,400 barrels per day compared to 2014, reaching a total of 632,700 barrels per day by 2029, while petrol and diesel production is expected to increase 24.1%.

From 2014-2029 fuel deficit is expected to surpass 370,000 barrels per day (47.5% of domestic demand) to reach 514,700 (44.9% of the domestic demand), an increase of 39.1% by the end of the period.