All Eyes on Construction of Tuxpan-TulaTue, 01/21/2020 - 20:09
Q: What projects is Oiltanking working on in Mexico?
A: Oiltanking is involved in the construction of the most important fuels import infrastructure in Mexico and its future operation, Tuxpan-Tula. Oiltanking is supervising the construction of two tank terminals, one on each end. The Tuxpan terminal is far more difficult to construct because of the soil, and the preparation has taken more time than expected. We are supervising the construction for the owner of the asset and we will commission and start operating it in 1Q20.
Q: In which segments does the company see the most areas of opportunity?
A: We see a big opportunity in introducing midstream assets and addressing the imbalance in terms of what the country produces in crude oil and respective refined products. Refineries are not running at optimal capacity, which creates opportunities for midstream in the medium term, taking into consideration the implementation of the strategic stocks regulation from 2020 onwards, which will definitely demand far more available storage. More international and national investors will introduce tank terminals. At the moment, there is mostly only PEMEX infrastructure, with a few private exceptions. Companies that want to import products are still limited, because they have no storage facilities and even if they brought it in directly, there is no way to get it to customers.
Oiltanking is one of the largest independent operators of tank terminals for oils, chemicals and gases worldwide. It owns and operates 76 tank terminals in 24 countries with an overall capacity of more than 20 million cubic feet.