Construction on the Altamira fuel storage and distribution terminal has begun, as confirmed by David Maya Soto, CFO of project operator OTM Mexplus Puertos.
Grupo México subsidiary GMSI will carry out all construction as the sole contractor on the project, said Maya, with work expected to conclude around mid-2023.
The start of works marks an important advance within US refiner Valero Energy’s $1bn plan to develop a distribution and storage network spanning much of the country.
Working with Valero, which bills itself as the world’s largest global independent refiner, Maya said, “The idea is to develop a distribution network using our OTM liquids terminal in Altamira as a hub.”
“With two maritime ports, in Altamira and Veracruz, Valero will be able to supply fuels to all seven planned terrestrial sites, for an investment of approximately $1bn.”
Financing for the project concluded in June through a $200m syndicated loan backed by Japan’s Sumitomo Mitsui Banking Corporation (SMBC), with support from German Investment Corporation DEG, a subsidiary of KfW.
The loan covers the project’s expected capex of $150m in addition to VAT and financing costs, said Maya.
For more information visit www.valero.com
