Reports related to this article:
Project(s): View 1 related project in PECWeb
Plant(s): View 1 related plant in PECWeb
Released November 21, 2024 | SUGAR LAND
en
Written by Amir Richani for Industrial Info Resources (Sugar Land, Texas)--Petroleos Mexicanos SA de CV (Pemex) (Mexico City) seeks to reduce spending, keep oil production near the 1.8 million-barrel-per-day (BBL/d) mark, and boost natural gas and fuel output.
Víctor Rodríguez Padilla, Pemex's new president, and Mexican President Claudia Sheinbaum have presented the company's new strategic plan for 2024-2030. The energy producer will seek to save 50 billion Mexican pesos (about US$2.5 billion) by removing redundant costs and reducing the number of subsidiaries.
Rodriguez Padilla also pledged to continue reducing Pemex's debt, which currently stands at roughly US$99 billion.
"We are going to reintegrate Pemex into a single Pemex. The company currently has subsidiaries, which we are going to merge; we are going to have very significant savings with the merger and we are going to have a leaner company, a more robust company, a more resilient company, but, at the same time, also more sustainable," he said.
On exploration, Pemex plans to expand "through new techniques" proved (1P) reserves and 3P reserves (proven + probable + possible) in shallow waters and onshore. Its objective will be to increase reserves for 10 years of consumption.
For upstream, the company foresees an output of 1.8 million BBL/d for the next few years, boosted through the startup of the Trion and Zama oil fields. The start of new assets is vital for Pemex, which has been facing the natural decline of the Ku-Maloob-Zaap oil complex, which has Mexico's largest producing fields.
While oil production is expected to remain constant, the company expects a boost in its natural gas production from 3.854 billion cubic feet per day (ft3/d) in 2024 to 5 billion ft3/d in the next six years. This will be achieved through the recovery and use of natural gas from the Ixachi, Quesqui and Casquete Cantarell fields.
Also, the company aims to develop the Piklis, Kunah and Lackach offshore fields, reduce gas flaring and modernize its infrastructure.
The increase in domestic natural gas production will be a key goal for the new government, given that Mexico relies on imports from the United States to supply its market. Just like her predecessor, the government of Sheinbaum seeks self-sufficiency through development, to reduce imports of not only natural gas but also fuels.
However, Pemex's increase in natural gas production will hardly offset the flows from the United States to its neighbor, which in 2023 averaged 6.2 billion cubic feet per day.
For refined fuels, Pemex expects to boost gasoline, diesel and jet fuel volumes by 343,000 BBL/d, about 34% more, in its efforts to reach self-sufficiency and reduce fuel imports from the United States.
For this, the energy company expects the startup of the coking units at the Salina Cruz and Tula refineries and the full startup of the new 340,000-BBL/d Dos Bocas Olmeca refinery.
"The Dos Bocas project has faced numerous delays and challenges. Pemex halted testing and commissioning activities October 27 following failures at the cogeneration units, which shut the entire plant. Full plant commissioning is more likely to happen in 2025" noted Hillary Stevenson, senior director, energy market intelligence at IIR Energy.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Petroleum Refining Project and Plant databases can click here for the Dos Bocas Olmeca project report and click here for the plant profile.
In addition, Pemex anticipates reaching processing rates of 285,000 BBL/d at the Deer Park refinery, which it acquired from Shell plc (NYSE:SHEL) (London, England). The Deer Park Refinery has a 340,000-BBL/d capacity.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
Víctor Rodríguez Padilla, Pemex's new president, and Mexican President Claudia Sheinbaum have presented the company's new strategic plan for 2024-2030. The energy producer will seek to save 50 billion Mexican pesos (about US$2.5 billion) by removing redundant costs and reducing the number of subsidiaries.
Rodriguez Padilla also pledged to continue reducing Pemex's debt, which currently stands at roughly US$99 billion.
"We are going to reintegrate Pemex into a single Pemex. The company currently has subsidiaries, which we are going to merge; we are going to have very significant savings with the merger and we are going to have a leaner company, a more robust company, a more resilient company, but, at the same time, also more sustainable," he said.
On exploration, Pemex plans to expand "through new techniques" proved (1P) reserves and 3P reserves (proven + probable + possible) in shallow waters and onshore. Its objective will be to increase reserves for 10 years of consumption.
For upstream, the company foresees an output of 1.8 million BBL/d for the next few years, boosted through the startup of the Trion and Zama oil fields. The start of new assets is vital for Pemex, which has been facing the natural decline of the Ku-Maloob-Zaap oil complex, which has Mexico's largest producing fields.
While oil production is expected to remain constant, the company expects a boost in its natural gas production from 3.854 billion cubic feet per day (ft3/d) in 2024 to 5 billion ft3/d in the next six years. This will be achieved through the recovery and use of natural gas from the Ixachi, Quesqui and Casquete Cantarell fields.
Also, the company aims to develop the Piklis, Kunah and Lackach offshore fields, reduce gas flaring and modernize its infrastructure.
The increase in domestic natural gas production will be a key goal for the new government, given that Mexico relies on imports from the United States to supply its market. Just like her predecessor, the government of Sheinbaum seeks self-sufficiency through development, to reduce imports of not only natural gas but also fuels.
However, Pemex's increase in natural gas production will hardly offset the flows from the United States to its neighbor, which in 2023 averaged 6.2 billion cubic feet per day.
For refined fuels, Pemex expects to boost gasoline, diesel and jet fuel volumes by 343,000 BBL/d, about 34% more, in its efforts to reach self-sufficiency and reduce fuel imports from the United States.
For this, the energy company expects the startup of the coking units at the Salina Cruz and Tula refineries and the full startup of the new 340,000-BBL/d Dos Bocas Olmeca refinery.
"The Dos Bocas project has faced numerous delays and challenges. Pemex halted testing and commissioning activities October 27 following failures at the cogeneration units, which shut the entire plant. Full plant commissioning is more likely to happen in 2025" noted Hillary Stevenson, senior director, energy market intelligence at IIR Energy.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Petroleum Refining Project and Plant databases can click here for the Dos Bocas Olmeca project report and click here for the plant profile.
In addition, Pemex anticipates reaching processing rates of 285,000 BBL/d at the Deer Park refinery, which it acquired from Shell plc (NYSE:SHEL) (London, England). The Deer Park Refinery has a 340,000-BBL/d capacity.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
