A “digital city” data center facility and a fertilizer plant are part of a newly-announced US $3.7 billion investment in the northern state of Durango by Mexican technology company Grupo Fermaca.

During President Claudia Sheinbaum’s Thursday morning press conference, co-president of Grupo Fermaca Fernando Calvillo said that these investments are part of Sheinbaum’s Plan Mexico, which seeks to turn Mexico into the world’s 10th largest economy.

Both projects will take about three to four years to be completed, according to the announcement.

Fermaca Digital City

With a US $2.7 billion investment, Fermaca Digital City will include a hyperscale data center with the capacity to generate its own electricity. The facility will have an installed capacity of 250 megawatts, making it  the largest such facility in Latin America.

Located in the city of Durango, the data center will serve large national and international companies in the digital industry to store their e-commerce data and files. Companies that will benefit from the facility include Amazon, Netflix and Home Depot, among others.

To construct the data center, four projects will simultaneously create more than 3,500 jobs:

1. A gas pipeline from Texas to Durango to increase gas availability for the industry.
2. Over 190 strands of long-haul dark fiber in an underground deployment that will run from the northern border to Querétaro, with branches to Durango and Guadalajara. The fiber optic cable will interconnect digital activity hubs in Mexico with the United States.
3. A combined-cycle plant with a capacity of 350 megawatts to generate energy for the data center.
4. Construction of a 160-km long gas pipeline from Texas to supply natural gas to the combined-cycle plant.

Calvillo said that the data center facility is set to begin construction in the coming weeks.

Fermaca’s fertilizer plant

Fermaca’s second investment is the Fermachem nitrogen fertilizer plant in the municipality of Lerdo.

The plant is expected to produce 600,000 tons of urea fertilizer per year, supporting the national fertilizer production and Mexico’s food self-sufficiency. This output will complement the 1.5 million tons that Pemex already manufactures.

Calvillo noted that currently, Mexico imports between 80% and 90% of fertilizers, which come at high prices for farmers. With the gas pipeline project, the company seeks to eliminate intermediaries and provide competitive prices for the farmers.

“With cutting-edge technology and a strong commitment to environmental protection, this plant will produce quality fertilizers in Mexico to replace imports,” Calvillo noted.

About Grupo Fermaca

Fermaca is a Mexican company founded over 60 years ago that specializes in the development and execution of high-impact infrastructure projects. It has developed several gas pipes in Mexico, such as  the Villa de Reyes – Aguascalientes – Guadalajara gas pipeline, known as VAG.

Overall, Grupo Fermaca comprises eight companies in the infrastructure and energy sectors in Mexico.

Mexico News Daily