BP has signed a long-term contract with Sempra Energy subsidiary IEnova for the remaining 50% of the initial capacity of the Baja Refinados liquid fuels marine terminal in Mexico.
Under the agreement, BP will have storage capacity of 500,000 barrels of liquid fuels at the facility in Baja California to supply its growing network of service stations in northern Mexico.
In addition, BP will have the option to acquire up to 25% of the terminal's equity after commercial operations begin in the second half of 2020.
In April IEnova signed a long-term contract with Chevron Combustibles de Mexico for 50% of the facility's initial storage capacity to supply its service stations and other commercial and industrial customers.
Carlos Ruiz Sacristán, CEO and chairman of the Sempra North American Infrastructure group and chairman of IEnova, says: The Baja Refinados project is an important part of our growth strategy.
'This new terminal will increase Baja California's energy reliability and will foster competitive prices for petrol and other refined products on the West Coast of Mexico.'
The project will be located at the La Jovita Energy Hub in Ensenada and have an initial capacity of one million barrels of liquid fuels, with the potential for future expansion.
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