Defining the Future of Midstream and Downstream Activities

Transcription

Defining the Future of Midstream and Downstream Activities
A Turning Point: Defining the Future of
Midstream and Downstream Activities
PEMEX Investor Day London - October 29, 2014
Alejandro Martínez Sibaja
Pemex-Gas General Director
Content
Strategic Assets
Integrating the Value Chain
Main Projects
Production Objectives
Collaboration, Association & Divestitures
1
Downstream Rankings
Pemex Downstream is ranked among the largest producers in the world in different areas of
the value chain.
Pemex is the 9th
producer of gasoline
Mexico is the 5th
largest consumer market for
gasoline
Source: Pemex Statistical Yearbook, Forbes and ICIS Top 100 Chemical Companies.
Pemex is the 15th
producer of natural gas
2
Domestic Sales 2006 - 2013
USD MM
Diesel, 6,919
Diesel, 16,558
Natural Gas,
5,896
Gasolines,
31,669
Gasolines,
17,358
Natural Gas,
5,334
Fuel Oil, 3,390
Fuel Oil, 6,107
LPG, 4,131
LPG, 5,622
Others, 696
Petrochemicals,
1,903
Jet Fuel, 1,480
Others, 981
Petrochemicals,
2,707
Jet Fuel, 2,773
3
Downstream Infrastructure
Production Capacity
•
•
•
Refining
• Atmospheric distillation capacity 1,690 Mbd
Gas Processing
• Sour Nat Gas 4.5 Bcf
• Cryogenic 5.9 Bcf
• Condensate Sweetening 144 Mbd
• Fractioning 568 Mbd
• Sulfur Recovery 3,256 t/d
Petrochemical
• 13.55 MMt nominal per year
Producer Zone
Refinery
Petrochemical Center
Gas Processing Center
Sales Point
Camargo
Pipeline
Maritime Route
Reynosa
Monterrey
Burgos
Cadereyta
Infrastructure
Madero
•
•
•
Refining
• 6 Refineries
• Fleet: 21 tankers
• Storage of 13.5 MMb of Refined Products
• 14,176 km of pipelines
Gas
• 70 Plants in 11 Gas Processing Centers
• 12,678 km of pipelines
Petrochemical
• 8 Petrochemical Plants
Arenque
Poza Rica
Salamanca
Guadalajara
Tula
Cd. México
Matapionche
Pajaritos Morelos
La Venta
San Martín
Cd. Pemex
Cosoleacaque
Minatitlán
N. Pemex
Cangrejera
Cactus
Salina
Cruz
4
Gasoline Balance 2006-2013
900
800
732
769
798
798
803
800
804
787
Demand
700
600
500
456
456
451
472
308
340
329
2007
2008
2009
PEMEX Supply
437
424
400
379
405
395
358
2010
2011
2012
2013
400
418
300
200
100
Imports
204
2006
•
Gasoline market has shown a compound annual growth rate (CAGR) of 2.7% between 2006 and 2013, meanwhile
PEMEX´s own production has declined 0.6% over the same period.
•
This trend led to an increase in imports (CAGR 8.4%) representing 31% of demand in 2006 and 45% of demand in
2013.
5
Natural Gas Balance PEMEX Gas Market,
2006-2013
MMcfd
6,000
Demand
5,000
PEMEX Supply
4,000
3,000
2,000
1,000
Imports
451
386
447
422
536
2006
2007
2008
2009
2010
791
1,089
1,290
2011
2012
2013
• Domestic market for natural gas has shown great dynamism in recent years, due to lower prices in the reference
market in USA and Canada, and its environmental benefits.
• The increasing trend in demand coupled with a decrease in domestic supply in recent years has led to a significant
increase in import volumes of natural gas.
6
Petrochemical Production 2006-2013
Thousands Tons*
5,241
1,089
5,551
1,085
5,864
1,058
6,155
5,614
5,980
5,733
1,042
923
5,414
166
2,831
2,750
2,775
2,473
957
799
2,604
2,695
1,859
2,202
1,962
2,282
2,306
2,473
2,460
2007
2008
2009
2010
2011
2012
2013
2,607
2,748
1,404
2006
Methane derivatives
Ethane derivatives
Aromatics and derivatives
*Includes petrochemicals produced by Pemex-Petrochemicals, Pemex-Refining, and ethane and sulfur produced by Pemex-Gas and Basic Petrochemicals. January – August 2014 .
7
Content
Strategic Assets
Integrating the Value Chain
Main Projects
Production Objectives
Collaboration, Association & Divestitures
8
Integrating the Value Chain
• The Energy reform implies that all market players may participate in all segments of the value chain.
• Open and regulated market under the principles of asymmetric regulation and unbundling.
Raw
Materials
Processing
Transport1
Storage
Delivery
Sales
Imports
1. The new law creates the CENAGAS, responsible for the transportation of natural gas (PEMEX will be another participant).
9
Integrating the Value Chain: Key Dates
There are key dates for some segments of the value chain
Processing
Raw
Materials
Transport
Storage
Delivery
Sales
Imports
• Until 2015, import permits only • CENAGAS
•
•
for PEMEX, Productive
Companies and its
Subsidiaries only
From 2016, propane & butane
open to imports
From 2017, open market for
gasoline and diesel imports
•
Operation, 2015
PEMEX becomes
service user
• Propane & butane prices
•
will be determined under
market conditions until
2017 or before
Gasoline & diesel prices
will be determined under
market conditions until
2018
10
New Downstream Framework
PEMEX creates value through the consolidation of the value chain of industrial processing activities in
an open and regulated market. This will be achieved through:
Production
(Supply)
• Cost efficiency and strategic pricing policies
Infrastructure
• Diversify marketing by geographic area
Market
(Economic
Agents)
Prices and
Rates
Commercial
(Demand)
• Assessment of infrastructure to maximize business value
and returns
• Strategic alliances with private companies in a regulated
environment
• High performance of human resources
11
Industry Transition
Regulatory guidelines:
I.
II.
III.
Terms for firsthand sales (CRE)
Retail prices, transit of "regulated" free-market
Regulated tariffs for transport, storage and
distribution (CRE)
III.
IV.
V.
Permits access to industry segments (SENER, CRE)
Open access in logistics systems (CRE)
"Adequate" energy supply (SENER)
Flexible
Rigid
Regulatory Framework
Road to transition
• Market prices
• Private property,
associations, PEMEX
• Free product access
• Social projects
• Regulated Prices
• State property
• PEMEX obligated to
provide products
• Product access through
PEMEX
Future
TRI1
• New focus: participation in
relevant markets (profitable)
• Business strategy: leadership in
the industry
Current
Only (PEMEX)
Multiple
Enterprises
1. TRI: Downstream
12
PEMEX as a State Productive Enterprise (SPE)
State Productive Enterprise aims to maximize
economic value and profitability for the Mexican state,
by improving its productivity, maximize oil revenues
and contribute to national development.
PEMEX
SPE
Exploration &
Extraction
Downstream
Subsidiaries and
Third Parties







Oil Treatment
Refining
Gas & Petrochemical Processing
Import & Export
First-Hand Sales
Marketing
Sales & Distribution
 Contracting Services
• Drilling
• Cogeneration
• Transportation & Logistics
13
Value proposal
Maximizing sustainable value
Value proposal to the market
Business Organization
• A renewal of the Mission and Vision of Downstream
• Value generation analysis by market segment, identifying "key segments“
• Growth and profit improvement based on target markets
• A business model for every market
• Reformulate the overall flow in decision-making
• Execution and development of new business models
• Cost structure analysis to identify “target markets" and "vulnerabilities“
• Performance indicators to measure segments of participation
• A new perspective (based on value generation) in:
• CAPEX Investment
• Alliances
14
Content
Strategic Assets
Integrating the Value Chain
Main Projects
Production Objectives
Collaboration, Association & Divestitures
15
Project Development Strengthening
Executive Business Process
• Elaborate the Business Plan focused on economic value creation
• Align projects to the strategy
• Promote coordinated execution of projects
Business
Process
Management
Optimized Business Portfolio
• Business portfolio focuses on substantive areas of high
profitability, attending relevant industry markets*
Projects Development
• Project Development Institutional System which:
• Uses international best practices
• Promotes effectiveness in capital management
• Supports efficient assignment of investment resources
PEMEX will participate only where it generates value
16
Downstream Business Portfolio: Main Challenges
Main Projects
Challenges
•
•
Increase operational
efficiency
Infrastructure for better fuels
•
•
Expand gas pipeline network
Capture trading opportunities
•
Integrate value chains:
ethane, methane and
aromatics
•
Take advantage of PEMEX’s
power cogeneration potential
Refining
Gas
Processing
Petrochemicals
Cogeneration
•
Investments in supply infrastructure
(Project Gulf-Center),
Refineries reconfiguring,
Clean fuels projects
•
•
•
•
Finish Los Ramones project
Transoceanic Corridor Project for
propane, gas and refined products
•
•
Fertilizers strategy,
Ethylene oxide and monoethylene
glycol projects
•
Cogeneration projects
17
Refining Transport & Storage Gulf-Center System
The required infrastructure for this system will be implemented through two
projects:
• Import Project Gulf-center by PMI (paid via a built-in contract molecule to
import a minimum volume of 125 Mbd).
• Projects Tula-Salamanca, debottlenecking and storage in Bajío Terminals.
Tuxpan
San Luis
Potosí
Aguascalientes
Salamanca
24”
[167]
Tula
[XX]
New pipeline
Debottlenecking
Import project
Gulf-Center
Capacity in Mbd
(XX)
Capacity in Mb
Región
Centro
16”
14”
[80]
(295)
10”
[35]
Cuernavaca
(195)
1.
2.
3.
[280]
CAB (1,500)
Arco Norte
18”
[100]
Morelia
Tuxpan- Arco Norte
Arco Norte – Tula
Arco Norte – Región
Centro
Arco Norte - Apizaco
Querétaro
Irapuato
Guadalajara
Project Gulf - Center
MT: Maritime Terminal
CAB: Pump & Storage Station
TAR: Storage and Distribution Terminal
Región Centro –
Cuernavaca
MT(1) Tuxpan
CAB(2) Arco Norte
Tula
Apizaco
(175)
24”, 250 Mbd,
235 km
18”, 150 Mbd,
87 km
16”, 100 Mbd,
89 km
14”, 80 Mbd,
64 km
10”, 32 Mbd,
78 km
250 Mb,
3 days
1,500 Mb,
6 days
450 Mb,
3 days
TAR(3) Apizaco
175 Mb
TAR Región Centro
295 Mb
TAR Cuernavaca
195 Mb
Pipeline
Pipeline
Pipeline
Pipeline
Pipeline
Pier,
tanks, land
CAB,
land
Tanks,
land
Storage
Terminal,
land
Storage
Terminal
Storage
Terminal, land
18
Revamping Our Refineries
Objectives:
• Increase profitability by
producing higher value
distillates products.
• Increase process capacity to
receive more volume of
heavy oil (Maya).
• Eliminates fuel oil production
and its problematic
management.
Salamanca
Tula
Salina Cruz
Operations of Tula and
Salamanca projects will start in
2018, and Salina Cruz in 2020.
19
Refining: Clean Fuels Projects
To address changes in specifications for distillate fuels Ultra Low Sulfur (ULS) in accordance with the needs of the Mexican
market, a set of projects is developed for the six refineries at the National Refining System, considering the following plants
and investment:
• Gasoline (8 new plants) to be completed by 2015;
• Diesel (5 new plants, 17 revamps) to be completed by 2018.
Cadereyta Refinery (2015)
Salamanca Refinery
Gasoline
New plant.
Postreat.Gnas.
catalytic
Diesel
• 1 New HDS1 diesel
• 3 Revamps HDS DI
Gasoline
New plant.
Postreat. Gnas.
catalytic
Tula Refinery
• 1 New HDS diesel
• 3 Revamps HDS DI
Gasoline
2 New plants.
Postreat. Gnas.
catalytic
Salina Cruz Refinery
Gasoline
New plant.
Postreat. Gnas.
catalytic
Diesel
Madero Refinery
Diesel
5 Revamps HDS DI
Gasoline
2 New plants.
Postreat. Gnas.
catalytic
Diesel
4 Revamps HDS DI
Diesel
• 2 New HDS diesel
• 1 Revamp HDS DI
Minatitlán Refinery
Gasoline
New plant. Postreat.
Gnas. catalytic
Diesel
• 1 New HDS
• 1 Revamp HDS DI
• Projects for gasoline are ongoing and will be completed by 2015
• Diesel projects will be completed by 2018
1.
HDS: hydro-desulphurization Process Plant
20
Natural Gas: Integrated Supply Strategy
Gas Supply Strategy
Actions
• Short-term:
• Increasing imports of liquefied
natural gas (LNG) (carried out
during 2013 and 2014)
• Long-term:
• Increase investments in gas
production
• Expand gas transportation
infrastructure
• Explore and evaluate the potential of
shale gas reserves
• Expand the production of
hydrocarbons in the country through
the Energy Reform
21
View of Natural Gas Transportation Infrastructure
Projects, 2028
5
1
2
Pipelines
1. Nvo. Pemex-Cd.Pemex (Mayakán)
2. Los Ramones phase I
3. Los Ramones phase II (North &
South)
4. Agua Dulce-Frontera
5. Tucson-Sásabe
6. Los Ramones - Cempoala
7. Colombia - Escobedo
8. Matapionche-Medellín
9. Jáltipan – Salina Cruz
1
2
4
7
2
3
C
PEMEX Gas pipelines
Private pipelines
Pipeline projects
Import capacity increase
Liquid natural gas terminal
i
6
Private:
10. Morelos
11. Tamazunchale-El Sauz
12. Norte-Noroeste
11
10
ii
8
9
1
Storage and liquefaction
i.
Natural gas storage (Altamira)
ii.
Underground storage (Shalapa, Ver.)
iii.
Liquefaction plant (Salina Cruz)
iii
22
Los Ramones Phase I & II: Success Case
Project Los Ramones phase I
• PEMEX Gas signed a long term transport service
contract with the company Gasoductos del Noreste
• The construction of a 115 km pipeline was sped up, from
the US border to Los Ramones, NL.
• Operations start: December 2014
• Maximum transportation capacity: 2,100 MMcfd
Project Los Ramones phase II
• 738 km pipeline goes, from Los Ramones, NL. to the
central west region of the country
• Operations start: December 2015
• Additional maximum transport capacity: 1,430 MMcfd
Scheme
• Los Ramones I is being constructed by Gasoductos del
Noreste, in strategic alliance with Pemex-Gas
• Los Ramones II is developed by Tag Pipelines, a company
owned by Mex Gas Supply and Mex Gas Enterprise, two
Pemex Gas’ affiliates
• Los Ramones pipeline will be supplied of natural gas by a new
pipeline from Agua Dulce, Texas to the Mexican Border; it is
constructed in a strategic alliance with NET Midstream
The advantages of the Tag Pipelines Subsidiary:
• More flexibility and agility to analyze and develop infrastructure
projects
• Time and cost reduction in project execution
• Ability to venture with third parties for project development and
ownership in an efficient manner
23
Trading Opportunities: PEMEX as a key player in the
Pacific market (Transoceanic Corridor Project)
Pemex has identified the opportunity to move product from the US Gulf Coast to the Pacific markets
• Mexico has a privileged geographical position to move
hydrocarbons from the Gulf Coast to the Pacific, through
the Tehuantepec Isthmus
• 300 km (about 186 miles) between both coasts and
PEMEX already has operating infrastructure both coasts
• Expanding current existing infrastructure would allow PEMEX
to move product from the USGC to the Pacific reducing
shipping cost and time (compared to Panama Canal) and
optimizing vessel’s fleet routes
• The products to move to the Pacific are natural gas, crude oil,
propane, naphtha, diesel and gasoline
24
Petrochemicals: Fertilizer Market Strategy
Energy Reform
requires PEMEX to
supply fertilizers to
the domestic
industry and
distributors of
ammonia, with longterm contracts and
fixed prices.
Ammonia production for PEMEX is of
utter importance to ensure the supply of
raw materials with which the fertilizers
are made.
Actually, there are plants located at
Cosoleacaque, Veracruz, and in
Camargo, Chihuahua.
The strategy to produce
petrochemicals and
count on additional
investment is focused on:
• three networks;
• four products; and
• new development
center.
25
Petrochemicals: Second Stage of the Ethylene
Oxide Plant
Scope
• Construction and startup of two new watercooled reactors at the Morelos complex which
will replace the four existing oil-cooled reactors
to increase the plant capacity from 280 Mt/y to
360 Mt/y of ethylene oxide equivalent.
• Operations start in 2018
Morelos
26
Petrochemicals: Modernization and Expansion of
Aromatics Train at Cangrejera P.C.
Scope
• Modernization of the aromatics chain
• Technology upgrade
• Broad operational flexibility
• Lower energy consumption and overall cost
of production
• Minimum feedstock consumption
• Minimal environmental impact
• Increase the offer of Para-xylene in the domestic
market.
• Increase the capacity of Para-xylene
production to 448 Kt/a
• Reduce imports
• Take advantage of the available benzene.
• Start of operations in 2020
Cangrejera
27
PEMEX’s Power Cogeneration Potential
• PEMEX’s productive processes consume large amount of
energy.
Cadereyta
Project
• Strategy for taking advantage of cogeneration potential
(PEMEX’s Business Plan).
E.E. Generation
(MW)
Cactus
560
Salina Cruz
690
Tula
640
Minatitlán
690
Cadereyta
390
Total
2,970
• On April 2013 the CPG Nuevo PEMEX cogeneration project
(300 MW and 550 t/h steam) began operations.
• Five projects which represent 2,970 MW of energy generation.
Tula
Minatitlán
Cactus
PEMEX Sites
Refinery
Salina Cruz
Gas Processing Plant
28
Content
Strategic Assets
Integrating the Value Chain
Main Projects
Production Objectives
Collaboration, Association & Divestitures
29
Refining: Transition to Cleaner Fuels
8%
9%
21%
44%
40%
38%
33%
8%
58%
57%
61%
15%
17%
5%
29%
20%
16%
Magna
19%
Diesel
11%
7%
20%
Premium ULS
59%
9%
Premium
Magna ULS
21%
Diesel ULS
18%
32%
31%
2%
2006
7%
4%
2008
•
•
•
•
15%
17%
16%
20%
2010
2012
2013
2014
11%
2016
2018
Decline in demand for fuel oil mainly due to environmental restrictions and competition with natural gas.
Introduction of Premium Ultra Low Sulphur (ULS) from October 2006 and all the demand since 2007.
Magna ULS since October 2008 in metropolitan areas. Total demand in 2015.
Diesel ULS from January 2007 in northern border and metropolitan areas. Total demand in 2017.
30
Natural Gas Domestic Balance 2015-2018
MMcfd
3,639
4,429
4,996
5,829
4,417
4,267
4,195
4,103
2015
2016
2017
2018
National Supply
Net Imports
Net Exports
Demand
• Expected demand will need transportation infrastructure to handle natural
gas imports
• The domestic supply considering PEP “Round Zero” granted by SENER.
31
Petrochemicals Production 2015-2018
Thousand Tons per year
6,286
941
7,408
7,553
947
944
7,748
944
2,424
2,321
2,486
4,037
4,288
4,318
2016
2017
2018
2,256
3,090
2015
Methane derivatives
Derived Ethane
Aromatics and Derivatives
Take advantage of growing demand for ethane and ammonia
32
Content
Strategic Assets
Integrating the Value Chain
Main Projects
Production Objectives
Collaboration, Association & Divestitures
33
New Business Models - Downstream
PEMEX is seeking to create value through successful business
schemes for new projects.
The business schemes PEMEX is looking for are:
• Alliances with partners that have capital and operational
excellence
• Strategic suppliers of materials
• Joint Ventures (transportation, cogeneration, etc.)
34
New Business Models - Downstream
PEMEX has developed successful strategic alliances in our downstream activities
Project
Gas Pipelines
PEMEX – Mexichem
1. Joint Venture
2. Oil supply
1. Joint Venture
1. Joint Venture
2. Fixed assets
3. Supply of raw materials
Refine Mexican heavy
crude oil and increase
gasoline supply to Mexico
Natural Gas and LPG
transportation to power
plants in the northern region
of Mexico
Increase production of vinyl
chloride
1993
1997
2012
Deer Park
Partner
PEMEX’s
Participation
Objective
Operations
Startup
35
Investor Relations
(+52 55) 1944-9700
ri@pemex.com
www.ri.pemex.com

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