March 6, 2023 [bnamericas] – Braskem Idesa is moving forward with construction of a US$400mn ethane terminal in the Mexican port of Coatzacoalcos through a partnership with Dutch liquid storage logistics firm Advario.
The Brazilian-Mexican consortium said in a release that the facility in Veracruz state is being built as part of the existing Puerto de México chemical hub, of which Advario just bought a 50% stake.
The terminal is 30% complete and is expected to start operations in 2Q24. It will have capacity to store up to 100,000m3 of ethane and will supply Braskem Idesa’s Etileno XXI petrochemical complex, through a 10km pipeline.
Construction of the complex stems from a disagreement with Mexico’s national oil company Pemex, the plant’s original supplier. The spat led to months-long negotiations in 2021 regarding a gas supply agreement, which saw the government interrupting the plant’s supply of natural gas and disrupting its operations for 29 days.
Pemex ultimately secured a new contract to replace a previous deal to supply 66,000b/d for 20 years, starting in 2010, with a commitment to supply 30,000b/d of ethane to the plant until the ethane import terminal is finished, or by February 2025 at the latest.
A potential investment to grow production at Etileno XXI by 20% after 2025 has also been mulled by Braskem Idesa, with investments estimated at US$150mn.
Pro Trial: Access 11,340 Tank Terminal and Production Facilities
11,340 tank storage and production facilities as per the date of this article. Click on the button and register to get instant access to actionable tank storage industry data