San Diego-based Sempra Energy (NYSE: SRE) said on April 12 that its Mexican subsidiary, Infraestructura Energética Nova, S.A.B. de C.V. (IEnova) (BMV: IENOVA), plans to develop, build and operate a receipt, storage and send-out liquid fuels marine terminal at the La Jovita Energy Hub in Ensenada, Mexico.
The new Baja Refinados liquid fuels terminal is expected to come with an investment of approximately $130 million, and will have an initial storage capacity of 1 million barrels of gasoline and diesel.
The terminal, which will increase the fuel supply capacity and reliability in Baja California, is anticipated to begin operations in the second half of 2020.
IEnova also signed a long-term contract with Chevron Combustibles de México S. de R.L. de C.V for approximately 50 percent of the facility’s storage and send-out capacity to supply Chevron service stations and other commercial and industrial consumers in Baja California, according to a news release.
Chevron will have the option to acquire 20 percent equity ownership of the facility after commercial operations begin.
IEnova will be responsible for the development of the liquid fuels terminal project, including obtaining permits, engineering, procurement, construction and financing, as well as maintenance and operations.
Sempra Energy is a Fortune 500 energy services holding company with 2017 revenues of more than $11 billion.