MOSCOW (MRC) -- The cost of a Mexican oil refinery under construction in the southern port of Dos Bocas has risen by USD900 MM to USD9.8 B because of additions to the project, reported Reuters with reference to Energy Minister Rocio Nahle's statement in an interview.
Nahle told Mexican newspaper El Universal that the increase was due to the addition of an electricity plant for the Olmeca refinery being built for state oil firm Pemex, as well as a gas pipeline and an aqueduct.
"These are part of the expansions, that's why we went further. Initially, the refinery was at USD8.9 B and with the expansion of the gas pipeline, aqueduct and combined cycle (plant), we're going to USD9.8 B," she said.
The Energy Ministry confirmed the report was correct.
Just a month ago, President Andres Manuel Lopez Obrador said the refinery would cost USD9 B, speaking from the site of the facility in the eastern state of Veracruz. The refinery was originally earmarked at USD8 B, though experts estimated the final costs could be USD4 B-USD6 B higher.
As MRC informed earlier, GE Power Conversion will supply 19 electrical motors to power water-cooling tower pumps manufactured by Ruhrpumpen. The motors will support the build of a large refinery located in Dos Bocas, Mexico.
The refinery is slated to become the biggest refinery in Mexico, anticipated to produce approximately 340,000 bpd. Construction of the refinery started in June 2019, and the facility is set to commence commercial operation in late 2022. It will play a key role in Mexico’s National Refining Plan in efforts to become more energy self-sufficient.
Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.
According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 2,487,450 tonnes in 2021, up by 13% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market totalled 1,494.280 tonnes, up by 21% year on year. Deliveries of homopolymer PP and PP block copolymers increased, whreas.shipments of PP random copolymers decreased significantly.