Credit rating’s agency Fitch dealt a blow to PEMEX’s health this week, while SENER’s Rocío Nahle underlined the government’s commitment to the Energy Reform.
Check out our Interview of the Week with Paolo Gaffuri, Country Head of Pietro Fiorentini, where he discusses the company’s plan for multiphase flow meters in Villahermosa. See it here!
Fitch downgrades PEMEX and CFE
PEMEX’s debt has been downgraded to BB+, considered a “junk” rating, by global credit ratings company Fitch Ratings. The agency said that “the company continues to severely underinvest in its upstream, which could lead to further production and reserves decline.”
The PEMEX downgrade was followed up by bad news for Mexico’s CFE, which had its long-term investment outlook downgraded by both Fitch and fellow ratings agency Moody’s.
Nahle underlines government commitment to Energy Reform
Mexican daily El Financiero held its Oil and Gas Forum last week, with speakers including SENER Secretary Rocío Nahle.
Nahle underlined the administration’s commitment to the Energy Reform, saying it would not alter the law in any way. The secretary said that the government will continue to review production and development of its bidded blocks and mentioned the desire of the government to provide the market with certainty regarding investment.
Six packets to be tendered for Dos Bocas build
Nahle also announced this past week that the government will break up the construction works of the Dos Bocas refinery into six separate packages, which will be tendered at the end of June.
The secretary said that various studies are being carried out on the construction site, including topography and seismic reviews, and that the refinery should be in operation within three years.
Tula refinery to cost US$2 billion
Nahle also used El Financiero’s Oil and Gas Forum to state that the renovation of the Tula refinery would cost at least US$2 billion.
The production at Tula refinery, one of Mexico’s six existing refineries, has been dropping steadily for the last several years. To “reactive” the production, heavy investment is needed, Nahle said.
BP and IEnova sign storage contract
BP and IEnova this week signed a long-term contract that will see BP making use of IEnova’s hydrocarbons terminals and storage centers, which are currently under construction, in the city of Guadalajara, and the ports of Colima and Manzanillo.
According to El Economista, the move came as a result of BP wanting to extend its logistics network and reliability in the country.
Over 25,000 apply for Dos Bocas refinery construction jobs
The job rush continues in Tabasco, as more than 25,000 people have applied for jobs in the construction of Mexico’s Dos Bocas refinery.