Petroleos Mexicanos, the world’s ninth largest oil producer, will partner with Mexichem SAB, Invenergy Clean Power LLC and billionaire Carlos Slim-backed Enesa Energia SA to create an electric energy and vapor plant for $650 million.
MGC Cactus, a subsidiary of Pemex, as the state-owned company is known, plans to form a joint venture with the three companies. They will build an electricity co-generation plant by the first quarter of 2018, Pemex said in an e-mailed statement. The plant will generate 530 megawatts of power, according to the statement.
Pemex and Mexichem, the petrochemical producer controlled by billionaire Antonio del Valle, have expressed plans to establish joint ventures as Mexico’s energy industry opens to private investment for the first time since 1938. Mexico’s government says legislation approved last year will increase natural-gas supply, reduce its dependence on U.S. imports and lower the cost of electricity generation.