BajaNomad

Pemex to invest in new clean fuels

SUNDOG - 10-20-2006 at 06:16 AM

Pemex to invest in new clean fuels

The company is looking to pump US$3 billion into producing eco-friendly types of gasoline






Wire services

October 20, 2006

State oil monopoly Petroleos Mexicanos, or Pemex, said Thursday it expects to invest US$3 billion in a program to introduce new clean fuels across the country over the next three years.

Pemex said it will begin this month producing ultra-low-sulfur Premium gasoline, containing 30 parts per million of sulfur, compared with the current 250 parts per million. To cover domestic demand for the environmentally friendly fuel, Pemex said it will initially produce 30,000 barrels a day and import 90,000 barrels a day, gradually increasing its own output through improvements at its refineries.


Pemex said it will also introduce ultra-low-sulfur diesel fuel - 15 parts per million compared to the current 500 parts per million - in northern border areas in January 2007, adding other major cities in January 2009 and the rest of the country by September of that year.


The majority of the gasoline Pemex sells is the cheaper Magna brand, which contains 500 parts per million in the biggest cities and 1,000 parts per million elsewhere. Ultra-low sulfur Magna will go on sale starting in October 2008, Pemex added.


Mexico´s gasoline consumption was 710,000 barrels a day in the first three quarters of this year, of which 593,000 was Magna and 117,000 barrels a day, Premium. Diesel consumption averaged 344,000 barrels per day. Total sales of the two fuels were worth about US$21 billion.


The state company said the overall fuel quality program involves the construction of 22 plants and the upgrade of 18 others.

Bruce R Leech - 10-20-2006 at 06:19 AM

sounds like there on the right track, at least with there thinking.:light: