Monterra Energy has restarted operationsat its 2.2mn bl fuel storage terminal near Mexico's Tuxpan port in Veracruz, almost one year after its closure, the company told Argus today.
The company did not provide details about the exact date the terminal reopened.
Spain's Repsol — with 225 branded retail stations in Mexico — was expected to store around 450,000 bl at the site when the project first started.
British BP and French TotalEnergies had also expressed interest in using the terminal, near Mexico's main fuel import hub.
Repsol, TotalEnergies and BP were not immediately available to reply to a request for comment.
Mexico's energy regulatory commission (CRE) closed the terminal on 13 September, following a series of inspections that led to 23 full temporary closures and 17 partial temporary closures of terminals and retail fuel sites nationwide.
Originally, the CRE granted Monterra a 30-year permit for the facility, known as the Servitux terminal, on 4 May 2018, before President Andres Manuel Lopez Obrador took office in December 2018.
CRE inspected the terminal prior to its opening, and Monterra notified the regulator on July 2021 that it had begun storage operations.
But late on 13 September, the CRE held a surprise inspection along with armed members of the national guard and officials from the national industrial and environmental safety agency (ASEA).
The inspection led to a temporary closure with no legal justification, Monterra said. The terminal had remained shuttered since then.
In February, Monterra's chief executive Arturo Vivar had called on Mexico to negotiate a reopening of this facility. The company also said it could call for international arbitration for alleged economic damages of $667mn and violations under the US-Mexico-Canada Agreement (USMCA).
The reopening may signal a slight shift in the government's approach to private-sector investment amid international pressure after the US and Canadian governments filed complaints under the USMCA, a source who asked not to be named with knowledge of the talks told Argus.
The administration of US president Joe Biden launched a trade complaint against Mexico on 20 July over its alleged unfair treatment of US energy investors in renewable generation, retail fuel and natural gas distribution.
The process is in a consultation phase that lasts 75 days starting 20 July to 3 October. After that period a panel is expected to have a resolution or impose sanctions.
Monterra's terminal restarted operations after the trade complaint was filed during the last month.
