Petroleos Mexicanos and NuStar Energy L.P., will begin joint operations to transport and store naphtha, a component of gasoline. Through a 10-year agreement with PMI, a subsidiary of Pemex, the naphtha produced in the Pemex complex Reynosa-Burgos, will be transported through the NuStar pipeline Burgos-Valley to the terminal of Edinburg, Texas, and from there to that of Transmontaigne in Brownsville.
NuStar’s investment involved the construction of a second naphtha storage tank in Edinburg terminal. The services under this agreement began last April first.
This will allow for an efficient, safe and economic transportation, which will replace transportation by tanker from Mexico to Brownsville.
Through the construction of an additional tank and improvements in some elements of the storage system, NuStar will be able to expand its services delivered to PMI, and thus value for both companies will be generated in the next decade.
NuStar Energy LP, based in San Antonio, Texas, is one of the largest independent liquids terminal operators in the United States; it has eight thousand 643 miles of pipelines and 81 crude oil, refined products and specialty liquids storage and distribution terminals, as well as 93 million barrels of storage capacity.
In addition to the United States, they have operations in Canada, Mexico, Netherlands and the UK.