Mexico’s new Olmeca refinery in Dos Bocas has successfully exported its first cargo of ultra-low sulphur diesel (ULSD), reported Reuters, citing sources.
As a major crude oil producer, Mexico relies heavily on fuel imports due to Pemex’s inefficiencies in refining heavy crude grades into finished products.
The Olmeca refinery, Pemex’s seventh, is intended to enhance Mexico’s energy self-sufficiency. It was inaugurated in July 2022 by former President Andres Manuel Lopez Obrador.
The refinery, which is designed to process 340,000 barrels of oil per day (bopd), has been repurposing high-sulphur diesel from the Madero refinery into ULSD.
The inaugural cargo of ULSD was reprocessed in early April. The Denmark-flagged tanker Torm Singapore was recorded loading approximately 300,000 barrels of ULSD.
However, it remains unclear if Pemex intends to export additional cargoes from the Olmeca refinery.
PMI Comercio Internacional, Pemex’s commercial arm, has not provided a comment on the matter, the report said.
The Olmeca refinery has been producing unfinished fuels and by-products, including petroleum coke, which is typical for refineries in their start-up phase. Its first export, sent to India, took place in September last year.
The recent diesel export is attributed to the refinery’s insufficient pipeline or rail capacity for domestic fuel distribution, with the lack of fuel trucks another distribution hurdle.
Pemex has been managing small-scale diesel distribution from the Olmeca refinery via fuel trucks.
The strategic disadvantage of Dos Bocas’ location was also highlighted due to the absence of distribution infrastructure, which would be costly and time-consuming to establish.
