A new nitrogen plant for the state of Tabasco in Southeast Mexico will start operations in May 2009, and contribute to strengthening the local and national energy industry.

According to a report by the Tabasco HOY newspaper, the modern unit will be located in the municipality of Cardenas - an investment not yet determined by the Petrotec company.

The facilities will reportedly be set in a 7,000 square meter lot near the highway from Villahermosa to Comalcalco.

The unit is the third complex of its type in the region, with a production capacity of around 135 tonnes per day (tpd), while the other two plants began operations earlier this year.

The two other nitrogen generation complexes are currently in operation, one inaugurated in March 2008 by President Felipe Calderón Hinojosa. That plant is located in PEMEX City, Macuspana, and processes 420 million scfd of gas, having commanded an investment of $150m.

The second facility has been operating since the beginning of 2008 and was developed by Grupo INFRA in Cardenas, where the company invested around $110m and generated 1500 jobs.

The new oil complex, whose modern facilities will help promote economic growth for the region, has the endorsement of Avantub, S.A. de C.V, a company offering specialised services for the oil industry in the matter of exploration and perforation of wells. Nitrogen is used in such oil exploration processes to assist enhanced oil recovery (EOR).

Several authorities have been informed about the project, including the Environmental Agency (Semarnap), and state-owned Power company (CFE) among others. All required permission and authorisation processes are already ongoing for the facility.

Among the benefits that this project will generate, besides contributing to the development of the industry and the implementation of state-of-the-art technology, are the infrastructure creation and the consumption of local services and materials.