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Shell's new station in Tlalnepantla. Shell's new station in Tlalnepantla.

Shell’s first gas station opens in México state

The company will open up to 2,000 over the next 10 years

Royal Dutch Shell opened its first gas station in Mexico this week in the Tlalnepantla municipality of the state of México.

The British-Dutch multinational oil and gas company intends to invest US $1 billion in Mexico during the next 10 years, said Shell México president and general manager Alberto de la Fuente Piñeirua, observing that it is the first of many.

During that period the company is planning to open between 1,500 and 2,000 gas stations, said the company’s director of downstream operations, Andrés Cavallari, in an interview with Forbes México.

The first Shell station in Mexico marked the start of an ambitious program. “We’ll have five operating gas stations by the end of the month,” Cavallari predicted.

Shell’s strategy for 2017 is to invest $20 million and open one or two new gas stations every week. In 2018, the firm plans to invest over $100 million to the same end.

The stations will operate alongside the company’s convenience stores, called Shell Select.

At an opening ceremony yesterday for the new station, located in the San Lucas Tepetlacalco neighborhood of Tlalnepantla, Energy Secretary pointed out how few gas stations Mexico has in comparison with the United States and Canada.

Pedro Joaquín Coldwell said Mexico’s 11,400 stations cater to an average 3,000 vehicles a day, whereas in the U.S. there is one gas station for every 1,650 vehicles and in Canada one for every 2,200.

“We’re not here to go unnoticed,” Cavallari told the EFE news agency earlier this year. “Shell operates in over 70 countries and we have more than 43,000 Shell-brand gas stations worldwide . . . . Wherever we are, we play a relevant role and now we’re here to play a relevant role in the Mexican market.”

Shell will be selling Pemex gasoline at least through 2018.

Source: Forbes México (sp), Excélsior (sp)

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