BP is stepping on the gas in Mexico.On March 9, the British oil major plans to open its first filling station in Mexico City.The company — which won two deep-water exploration blocks last December in a tender in which it partnered with Statoil of Norway and Total of France — says it will grow its petrol station network organically, but a spokesman had no more details ahead of the official launch, writes Jude Webber in Mexico City.Mexico’s energy sector was closed to competition for nearly eight decades, with state-owned Pemex the only player in hydrocarbon exploration and production, as well as filling stations. The company’s green, white and red eagle logo is a fixture on filling stations nationwide.
Source: BP plans to open its first filling station in Mexico City next week
A border tax floated by aides to U.S. President Donald Trump is “not a good idea” for bilateral energy trade, a senior Mexican official said on Wednesday, also confirming that Mexico’s second-ever deepwater oil auction would happen this year.A 20 percent border tax on Mexican imports to the United States has been pitched by the Trump administration as one way to force Mexico to pay for a new border wall, a top campaign promise.Separately, a so-called border adjustment tax has been proposed by the new administration and its Republican allies in Congress that in theory would tax imports but not exports.Both proposed taxes face opposition from U.S. oil refiners and automakers, among other sectors, warning they would raise consumer prices.”We don’t see this kind of a tax as a good idea,” said Aldo Flores, Mexico’s deputy energy minister for hydrocarbons.”Our position continues to be that free trade and the free flow of these goods has benefited both countries, strengthening the energy security of both,” he said.
Source: Proposed border tax could harm U.S.-Mexico energy trade: official | Reuters
Falling natural gas prices would be even lower if not for a growing U.S. export market — both via pipeline to Mexico and through liquefied natural gas shipments around the world.Warm winter weather has been hard on U.S. natural gas producers, who have watched prices do nothing but slide since the end of last year. Natural gas futures are down 22 percent since the beginning of the year, having run up in late 2016 on the expectation that winter heating demand would result in much more gas coming out of storage.
Source: Mexico to the rescue of U.S. frackers
By six former U.S. ambassadors to Mexico
Mexico is of enormous importance to the United States. We have strong strategic interests in a relationship of respect and collaboration with Mexico while we work through differences on trade, security, and migration.U.S.-Mexico relations touch the daily lives of more Americans than ties with any other country, whether through culture, commerce or travel. U.S. prosperity and the security of our homeland are deeply affected by the type of relationship we have with our southern neighbor.Much can be improved between Mexico and the U.S. for the good of both countries, but tackling these challenges need not be a win-lose proposition. Both countries can gain security and prosperity. Reviving the animosity and “distance” that characterized our relationship in the 1970s or 1980s is dangerous and runs counter to our interests.The six of us have served as U.S. Ambassadors to Mexico, managing the ever-improving relationship across Democratic and Republican administrations since the late 1980s. We have seen firsthand the strategic value of working cooperatively with Mexico to tackle common problems, including crime, terrorism and global economic competition. Along the way, Mexico has become a more democratic and prosperous country, making it a better and more reliable partner.
Source: Treat Mexico as a Strategic Partner
The Sierra Club filed a motion to oppose a $1.5 billion pipeline by Houston-based Spectra Energy Corp. (NYSE: SE) to deliver natural gas from the Eagle Ford Shale to customers in Mexico.Just a few hours ahead of a Dec. 23 deadline for public comment, Sierra Club attorney Nathan Matthews filed a motion to intervene with the Federal Energy Regulatory Commission to oppose the Valley Crossing Pipeline.
Source: Sierra Club files motion to intervene in Valley Crossing Pipeline’s FERC application – Houston Business Journal
U.S. Gulf Coast refiners are cashing in on rising fuel demand from Mexico, shipping record volumes to a southern neighbor that has failed to expand its refining network to supply a fast-growing economy.The fuel trade could top a million barrels per day (bpd) at times in 2017 as Mexico becomes increasingly dependent on the United States for strategic energy supplies and providing business worth more than $15 billion a year to refiners such as Valero (VLO.N), Marathon Petroleum (MPC.N) and Citgo Petroleum.The rise in Mexico’s fuel imports reflects an economy that, after expanding for 27 quarters in a row even amid a public austerity plan, has been unable to increase its refining output to satisfy the consistent growth of its energy demand.It has led to rapid reversal in energy trade between the two countries. In 2016, crude exporter Mexico will be a net oil importer from the United States for the first time as shipments of refined fuel heading south outnumber shipments of crude to the north, according to the U.S. Energy Information Administration (EIA).
Source: U.S. refiners cash in on Mexico’s record fuel imports | Reuters
La norteña ciudad de Nuevo León se beneficiará de la cercanía con la frontera y con la refinería de Cadereyta, para tener precios máximos menores a los que tendrá la Ciudad de México, de acuerdo con datos publicados por Hacienda.
Source: Monterrey tendrá gasolina más barata que la CDMX | El Financiero
Mexican gasoline prices will rise by as much as 20.1 percent next month compared to the highest recorded prices in December, the government said on Tuesday, as part of a program to end years of government-set prices at the pump.
Source: Mexico gasoline prices to rise up to 20.1 percent in January
Avant Energy S. de R.L. de C.V. (“Avant Energy” or “the Company”) a newly-established Mexican energy company, today announced that Riverstone Holdings, an energy and power-focused private investment firm, has agreed to an initial line-of-equity investment of $150 million in the Company, which can be increased to $300 million once this initial capital has been invested. Avant Energy executives have also made additional capital commitments for undisclosed amounts.With offices in Mexico City, Monterrey and Houston, Avant Energy will focus on the development, construction and operation of infrastructure for Mexico’s oil, natural gas, refined products and electricity sectors, as well as participate in the recently liberalized markets for these products and services.The company will be led by Jaime de la Rosa, Luis Farias, Jaime Williams, and Antonio Noyola, senior executives with extensive track records at companies including Cemex, Gas Natural Fenosa, Mitsui Power Americas and Gas Industrial de Monterrey. They will be joined by Lenny Lee, Roy Piskadlo, and Richard Jefferis; a group of experienced international executives who have held numerous leadership positions at firms including Entergy-Koch, Merrill Lynch Commodities, and AES.
Source: Riverstone to back Mexican energy company Avant – PE Hub
The 2nd Mexico Infrastructure Projects Forum (www.mexicoinfrastructure.com) is a two-day infrastructure event that will take place in Monterrey, México on January 18 and 19, 2017. Organized by Industry Exchange, the event will focus on Mexico´s most crucial infrastructure, clean energy, hydrocarbons and transportation industry investment opportunities and will bring together high-level industry executives from the private and public sector, multi-lateral development banks, and project sponsors from Mexico, the United States, Canada and Europe. Register before November 30 for the 2nd Mexico Infrastructure Projects Forum in Monterrey and save U$400.