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Old 05-24-2021, 10:54 PM
 
45,650 posts, read 27,282,625 times
Reputation: 23935

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Mexico Buys Houston Refinery as It Pledges Energy Independence

Petroleos Mexicanos has struck a deal for full control of a Houston-area refinery it shares with Royal Dutch Shell Plc.

Pemex, as the Mexican explorer is known, made an unsolicited bid for Shell’s 50% stake in the facility in Deer Park, Texas, and agreed to pay $596 million, according to a statement Monday. The transaction will be fully financed by the Mexican government and is scheduled to close during the fourth quarter. Shell will retain control of an adjacent chemical plant.

...
The 28-year partnership for Deer Park began in 1993, when Pemex bought half of the refinery from Shell to absorb its rising production of crude oil. It paid over $200 million for the stake and its inventories, according to a document seen by Bloomberg.


Did people know this was coming, or did it come out of nowhere?
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Old 05-24-2021, 11:41 PM
 
Location: Sugar Land, TX
1,614 posts, read 2,667,253 times
Reputation: 2029
My husband was shocked to hear this.
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Old 05-25-2021, 07:23 AM
 
5,976 posts, read 15,290,039 times
Reputation: 6711
Well... people cannot siphon off the gasoline in the US. I guess it could be paid for just by the fact that the product will not be stolen. This is a daily occurrence in Mexico, not a random ruptured pipeline. It costs Pemex about 3 Billion per year. Gasoline is one of the most explosive chemicals ever made... it was meant to explode.


https://www.youtube.com/watch?v=wVvYuDPUry4


https://www.youtube.com/watch?v=YHahXhSkD_s
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Old 05-25-2021, 09:02 AM
 
Location: Florida
2,442 posts, read 2,535,433 times
Reputation: 1799
Quote:
Originally Posted by swopoe View Post
My husband was shocked to hear this.
Why?
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Old 05-25-2021, 09:18 AM
 
Location: Houston, TX
333 posts, read 262,624 times
Reputation: 464
Not really a surprise for those who have followed Shell's portfolio decisions over the past couple years. They have been consistently divesting (or attempting to divest) US-based refineries: Convent, Anacortes, Mobile, and now Deer Park. Norco will be next on the chopping block as the company continues to adjust its holdings in line with projections of decreased crude demand in affluent parts of the world like the US and Western Europe.

I do worry a little about Deer Park residents as Pemex isn't exactly the industry leader when it comes to safety and environmental risk mitigation.
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Old 05-25-2021, 04:08 PM
 
17,183 posts, read 22,952,224 times
Reputation: 17479
My son who used to work for Shell almost took a job at the Deer Park Refinery when he was looking for a new job. He is glad he did not take that one. Yep, Shell has been divesting its US-based refineries and has been for a while, so this is not a big surprise.
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Old 05-25-2021, 09:56 PM
 
45,650 posts, read 27,282,625 times
Reputation: 23935
Quote:
Originally Posted by airdrawndagger View Post
Not really a surprise for those who have followed Shell's portfolio decisions over the past couple years. They have been consistently divesting (or attempting to divest) US-based refineries: Convent, Anacortes, Mobile, and now Deer Park. Norco will be next on the chopping block as the company continues to adjust its holdings in line with projections of decreased crude demand in affluent parts of the world like the US and Western Europe.

I do worry a little about Deer Park residents as Pemex isn't exactly the industry leader when it comes to safety and environmental risk mitigation.
That crossed my mind...
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