Dos Bocas’ Refining Advances

During his fifth Government Report, President Andrés Manuel López Obrador announced that the Dos Bocas refinery began operations on Sept. 1, 2023. A day later, Rocío Nahle, Minister of Energy, celebrated the beginning of production at the refinery. The Olmeca refinery, key to López Obrador’s energy self-sufficiency plan, is expected to significantly contribute to fuel production by the end of the year. Yet, delays keep this goal uncertain. 

Dos Bocas first production comes about 14 months after it entered its integration phase. López Obrador said that by the end of 2023, the refinery will produce about 290Mb/d of fuel. During his address, the president talked about the rescue of PEMEX and the government’s efforts to revert declining trends in production. He shared that in 2018, only 1.7MMb/d were extracted and if that trend had continued, the country would be importing crude oil. Nowadays, the country produces 1.9MMb/d. “Oil production was successfully rescued, particularly concerning crude oil production,” he said.

The president praised the rehabilitation of Mexico’s six refineries, as well as the purchase of Deer Park and the construction of Dos Bocas, stating that Mexico will be self-sufficient in energy thanks to these achievements. “The plan is for next year to cease purchasing gasoline or diesel from abroad. Instead, we aim to process all crude oil domestically, thereby enhancing the value of our raw materials. This approach is designed to keep fuel prices low for consumers, a commitment we have honored as gasoline, diesel, gas and electricity prices have remained stable. There have been no increases in taxes, nor have new taxes been introduced,” he added.

On Sept. 2, Nahle shared a video on X celebrating the production of the first bottle of primary gasoline coming from Dos Bocas. According to López Obrador’s report, this administration has invested MX$70 billion in Mexico’s six refineries and production has increased from 38% to 60%.

The drive for energy self-sufficiency has remained a top priority for PEMEX, leading the company to focus on the refurbishment and enhancement of the National Refining System (SNR). However, the original goal set for 2023 was postponed until 2024, signaling potential challenges in reaching desired objectives. The Dos Bocas Refinery faced numerous delays and is now anticipated to reach 70% capacity over the next month.