Sempra Energy's Subsidiary IEnova, Chevron Sign Contract For Refined Fuels Terminal In Sinaloa, Mexico
Sep 13, 2018
SAN DIEGO, Sept. 13, 2018 /PRNewswire/ -- Sempra Energy (NYSE: SRE) today announced that its Mexican subsidiary, Infraestructura Energética Nova, S.A.B. de C.V. (IEnova) (BMV: IENOVA), has signed a long-term contract with Chevron Combustibles de México S. de R.L. de C.V. (Chevron) for 50 percent of the 1-million-barrel initial capacity of the Topolobampo refined fuels marine terminal in Sinaloa, Mexico.
Under the agreement, subsidiaries of Chevron will have storage capacity of 500,000 barrels of refined fuels and the option to acquire up to 25 percent of the equity in the terminal after commercial operations begin. IEnova signed a separate long-term contract for the remaining half of the facility's initial storage capacity with another U.S. large independent refiner that will be announced at a later date.
"The Topolobampo project provides an important supply source of refined fuels for Mexico," said Carlos Ruiz Sacristán, chairman and CEO of the Sempra North American Infrastructure group and executive chairman of IEnova. "Together, working with our customers, this terminal will increase reliability of supply, create jobs and provide benefits to millions of Mexican consumers."
The Chevron contract for the Topolobampo terminal is the second announced by IEnova this week. On Tuesday, IEnova announced that British Petroleum would use 50 percent of the 1-million-barrel initial capacity of the refined fuels Baja Refinados terminal to be constructed in Baja California. Earlier this year, IEnova had signed an agreement with Chevron to utilize the other 50 percent initial capacity of the Baja Refinados facility.
IEnova will be responsible for financing, obtaining permits, engineering, procurement and construction, as well as maintenance and operations. Operations of the Topolobampo facility are expected to commence in the fourth quarter of 2020.
IEnova develops, builds and operates energy infrastructure in Mexico. As of the end of 2017, the company had invested more than U.S. $7.6 billion in operating assets and projects under construction in Mexico, making it one of the largest private energy companies in the country. IEnova was the first energy infrastructure company to be listed on the Mexican Stock Exchange.
Sempra Energy announced in August that it formed a new operating group, Sempra North American Infrastructure. The new group's operations include IEnova, as well as Sempra LNG & Midstream development and marketing activities.
Sempra Energy, a San Diego-based energy services holding company with 2017 revenues of more than $11 billion, is the utility holding company with the largest U.S. customer base. The Sempra Energy companies' approximately 20,000 employees serve more than 40 million consumers worldwide.
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Sempra South American Utilities, Sempra North American Infrastructure, Sempra LNG & Midstream, Sempra Renewables, Sempra Mexico, Sempra Texas Utility, Oncor Electric Delivery Company LLC (Oncor) and Infraestructura Energética Nova, S.A.B. de C.V. (IEnova) are not the same companies as the California utilities, San Diego Gas & Electric Company (SDG&E) or Southern California Gas Company (SoCalGas), and Sempra South American Utilities, Sempra North American Infrastructure, Sempra LNG & Midstream, Sempra Renewables, Sempra Mexico, Sempra Texas Utility, Oncor and IEnova are not regulated by the California Public Utilities Commission.
SOURCE Sempra Energy
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