Mexico Reviews Partnerships With Energy Industry

The government is set to continue fostering conversations with the private sector while reviewing public-private partnerships.

Ready for more? Here is the weekly roundup!

Mexico to Review Energy PPPs to Foster Balanced Investment

The government is set to review Public-Private Partnerships (PPPs) in the energy sector to establish what it calls “fairer conditions” for both public entities and private companies. Alicia Bárcena, Mexico’s Minister of Environment and Natural Resources, stated that while the administration seeks to partner with private capital to meet ambitious renewable energy goals, it aims to remove any advantages currently benefiting private energy companies more.

President Sheinbaum Restores PEMEX, CFE as Public Entities

President Claudia Sheinbaum signed a decree turning PEMEX and CFE into public companies, stating that they are now "owned by the Mexican people." This follows the recent approval of the Energy Reform by the Chamber of Deputies, the Senate, and most state congresses.

Mexico Pacific to Make Major investments in Mexico

Mexico Pacific Limited (MPL) announced plans to invest an additional US$15 billion in liquefied natural gas (LNG) infrastructure in northern Mexico over the next two to three years, according to CEO Sarah Bairstow. This capital infusion will increase MPL’s total investment in Mexico to US$30 billion, the largest by a single investor in the country and representing over 80% of Mexico’s foreign direct investment in 2023.

Mexico Opens International Tender for Geothermal Well Development

Mexico has launched an international tender for geothermal well drilling as it aims to diversify energy sources and increase its share of renewable energy. The National Institute of Electricity and Clean Energies (INEEL) issued the tender (LE-18-T0K-018T0K001-I-125-2024), aiming to contract a provider for exploratory geothermal drilling. The project will involve an investment of US$51.5 million, funded by the Clean Technology Fund (CTF) as a contingent grant, which will be activated if drilling is unsuccessful.

Transition Industries, Mitsubishi Gas Sign Methanol Deal

Transition Industries signed a Letter of Intent (LOI) with Mitsubishi Gas Chemical (MGC) to establish a long-term Methanol Sales Agreement, supplying MGC with approximately 1 million mt of ultra-low carbon methanol annually from Transition Industries’ Pacifico Mexinol project in Sinaloa, Mexico. The facility is expected to begin operations in 2028.

Maersk Partners with LONGi for Sustainable Bio-Methanol Supply

Global logistics leader Maersk has signed a long-term bio-methanol offtake agreement with China-based LONGi Green Energy Technology, as part of its strategy to lower greenhouse gas emissions across its expanding dual-fuel methanol fleet. This agreement aims to secure Maersk’s sustainable fuel sources and reduce the carbon footprint of its operations.