Pemex to Build Cogeneration Power Station in Mexico State of Nuevo Leon

Researched by Industrial Info Resources (Sugar Land, Texas)--Mexico's state-owned oil giant, Petroleos Mexicanos (Pemex) (Mexico City), has created a new subsidiary called PMX Cogeneracion, SAPI de CV to help build cogeneration power plants at its oil refineries, and has recently chosen Mitsui de Mexico, S de RL de CV (Mexico City) as a joint venture (JV) partner to help with the task.

Both companies signed a contract for the construction of a 380-megawatt (MW), natural gas-fired, combined-cycle cogeneration power station that will sit alongside Pemex's existing Ingeniero Hector R. Lara Sosa oil refinery, which is located in the municipality of Cadereyta Jimenez in the northern state of Nuevo Leon. The estimated investment for the project is $590 million.

The partnership will be responsible for the selection of the turn-key contractors for the project. The configuration will consist of a 1-on-1 gas turbine, with a heat recovery steam generator (HRSG) driving one steam-turbine generator set. Plus, it will supply 760 tons per hour of steam to the refinery to improve its processing capability. The Cadereyta station is one of two planned cogeneration power stations that will have a combined price of $1.4 billion when completed; the other station will be located at the Tula de Allende Petrochemical Complex in the State of Hidalgo.

According to Pemex, the Cadereyta station will help supply energy to the National Electric System. Construction of the plant is expected to start by mid to late 2016, with completion set for the second half of 2018. Pemex will provide the natural gas to operate the power station.

The project is estimated to create about 1,200-1,500 jobs within the local and surrounding communities at the peak of the construction phase. About 25-35 permanent positions will be created for labor security, operation and maintenance of the station.

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