Mexico Oil and Gas Downstream Market Size
| Study Period | 2021 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2021 - 2022 |
| CAGR | 2.00 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Mexico Oil and Gas Downstream Market Analysis
The Mexican oil and gas downstream market is expected to register a CAGR of over 2% during the forecast period.
The market was negatively impacted by COVID-19 in 2020. Presently the market has now reached pre-pandemic levels.
- Over the medium term, increasing demand for natural gas and rising investment in refineries and LNG Terminals are expected to drive the growth of the market studied.
- On the other hand, reducing oil and gas production in the country is expected to hamper the growth of Mexico's oil and gas downstream market during the forecast period.
- Nevertheless, favorable policies for investment by private players in the downstream sector are likely to create lucrative growth opportunities for Mexico's oil and gas downstream market in the forecast period.
Mexico Oil and Gas Downstream Market Trends
This section covers the major market trends shaping the Mexico Oil & Gas Downstream Market according to our research experts:
Refineries Segment to Witness Growth
- In Mexico, the capacity of refineries decreased substantially from 2016 to 2020 due to price fluctuations and oil demand drop across the world. The country's downstream sector is also influenced by price liberalization and poor infrastructure. The announcement of an investment of USD 1.3 billion to modernize existing refineries will witness growth in refinery capacity in Mexico. In 2021, the refinery throughput in Mexico was 712 thousand barrels daily.
- In December 2022, Mexican NOC Pemex is set to begin production at the country's eighth refinery in mid-2023. Once completed, the Olmeca refinery will have an installed capacity of 340,000 barrels per day (BPD) and produce 170,000 barrels of petrol and 120,000 barrels of ultra-low-sulfur diesel.
- A new oil refinery by state-owned Pemex of Mexico is under construction and will reach its total operational capacity by 2023. This will enable Mexico to get 800,000 barrels per day of gasoline and between 500,000 and 600,000 barrels per day of diesel in 2023.
- Mexico's refining capacity is expected to grow slightly in the forecast period due to the construction and expansion of refineries. An increase in the consumption of natural gas is also expected to boost the growth of the market.
Decreasing Oil and Gas Production to Restrain the Market
- The oil and gas fields in the country have reached a level of maturity and, therefore, started to produce less oil and gas. However, gas consumption has been following an increasing curve, which may be correlated to the shift toward increasing the use of natural gas in the country.
- Natural gas imports by Mexico decreased by 64%, in 2021, to 0.9 billion cubic meters from 2.5 billion cubic meters (bcm) in 2020. Whereas, in 2019, the import was 6.6 bcm. This rapid import fall is attributed to the country's economic contraction.
- Natural gas production decreased by 4.2% to 29.2 bcm in 2021 from 30.5 bcm in 2020. However, natural gas consumption increased, by 5.3%, to 88.2 bcm in 2021 from 83.7 bcm in 2020. Increasing demand for gas is boosting the growth in the market.
- Oil consumption increased by 2.9% to 1350 thousand barrels daily in 2021 from 1313 thousand barrels in 2020. But in 2021, Oil production increased, by 1.5%, to 96.5 million tonnes in 2021 from 95.1 million tonnes in 2020.
- Hence, Mexico's oil and gas are expected to witness growth in the forecast period due to the upcoming project. However, a a decrease in oil and gas production is expected to restrain the market.
Mexico Oil and Gas Downstream Industry Overview
The Mexican oil and gas downstream market is consolidated in nature. Some of the major players in the market (in no particular order) include Petróleos Mexicanos, Samsung Engineering Co. Ltd, Fluor Corporation, Grupo Idesa SA de CV, and Braskem SA.
Mexico Oil and Gas Downstream Market Leaders
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Petróleos Mexicanos
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Samsung Engineering Co., Ltd.
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Fluor Corporation
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Braskem SA
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Grupo Idesa, S.A. de C.V.
*Disclaimer: Major Players sorted in no particular order
Mexico Oil and Gas Downstream Market News
- In December 2022, the Ecopetrol Group announced its investment plan for the energy transition. Out of the total share of investment, 7% will be invested in downstream activities. The investments will emphasize maintaining the reliability, availability, and sustainability of the Barrancabermeja and Cartagena refineries' operations to consolidate energy security, energy transition, and decarbonization of Mexico.
- In December 2022, Mexican NOC Pemex is set to begin production at the country's eighth refinery in mid-2023. Once completed, the Olmeca refinery will have an installed capacity of 340,000 barrels per day (BPD) and produce 170,000 barrels of petrol and 120,000 barrels of ultra-low-sulfur diesel.
Mexico Oil and Gas Downstream Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Scope of the Study
- 1.2 Market Definition
- 1.3 Study Assumptions
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET OVERVIEW
- 4.1 Introduction
- 4.2 Refining Capacity Installed and Forecast, in thousand barrels per day, till 2027
- 4.3 Recent Trends and Developments
- 4.4 Government Policies and Regulations
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4.5 Market Dynamics
- 4.5.1 Drivers
- 4.5.2 Restraint
- 4.6 Supply Chain Analysis
- 4.7 PESTLE Analysis
5. MARKET SEGMENTATION - BY TYPE
- 5.1 Refineries
- 5.2 Petrochemicals Plants
6. COMPETITIVE LANDSCAPE
- 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
- 6.2 Strategies Adopted by Leading Players
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6.3 Company Profiles
- 6.3.1 Petróleos Mexicanos
- 6.3.2 Samsung Engineering Co. Ltd
- 6.3.3 Fluor Corporation
- 6.3.4 Grupo Idesa SA de CV
- 6.3.5 Braskem SA
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Mexico Oil and Gas Downstream Industry Segmentation
The downstream market refers to the activities undertaken post-production of crude oil and natural gas. It is the last step in the entire value chain of the oil and gas sector, which includes refining crude oil into consumable products and its marketing and distribution for end-users. The Mexico oil and gas downstream market is segmented by Type. By type, the market is segmented into Refineries and Petrochemicals Plants. The report also covers the market size and forecasts for the region. For each segment, the market sizing and forecasts have been done based on refining capacity (million barrels per day).
Mexico Oil and Gas Downstream Market Research FAQs
What is the current Mexico Oil and Gas Downstream Market size?
The Mexico Oil and Gas Downstream Market is projected to register a CAGR of greater than 2% during the forecast period (2024-2029)
Who are the key players in Mexico Oil and Gas Downstream Market?
Petróleos Mexicanos, Samsung Engineering Co., Ltd., Fluor Corporation, Braskem SA and Grupo Idesa, S.A. de C.V. are the major companies operating in the Mexico Oil and Gas Downstream Market.
What years does this Mexico Oil and Gas Downstream Market cover?
The report covers the Mexico Oil and Gas Downstream Market historical market size for years: 2021, 2022 and 2023. The report also forecasts the Mexico Oil and Gas Downstream Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Mexico Oil and Gas Downstream Industry Report
Statistics for the 2024 Mexico Oil and Gas Downstream market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Mexico Oil and Gas Downstream analysis includes a market forecast outlook 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
