- Jun 05, 2023, 1:00 PM CDT
Criticisms surround the Olmeca refinery project due to significant budget overruns and doubts about its ability to process Mexico's heavy crude oil. The launch of Pemex’s new Olmeca refinery is expected to once again be delayed according to an internal audit report. The report stated that the target of a July launch was “not feasible”. The facility, located at the Dos Bocas port in Tabasco, was set to start producing 170,000 bpd of processed oil next month. However, the report suggests that the construction of the refinery’s coking plants, required to process Pemex’s heavy crude, is “not yet finished.
There has been much criticism around many of AMLO’s energy nationalisation plans in recent years. The Olmeca refinery has gone over its initial budget several times, with a final price tag of nearly double the 2020 projected cost of $8.9 billion. It is now also expected to have a lower processing capacity, of around 280,000 bpd. One Pemex executive of AMLO’s aim for fuel independence, “It's really more of a political statement than a reachable goal.