Sunday, April 6, 2014

México: Scotiabank Plans to Finance US$10 Billion in Energy Sector Projects

According to EFE, Canadian banking giant, Scotiabank, plans to finance oil industry projects worth US$10 billion in México over the next four years, a high-level executive said.

Oil giants BP and ExxonMobil are among the companies interested in developing projects in the Gulf of México, Scotiabank’s Latin America director, Paul D’Agata, told EFE.

A large number of mid-sized firms will participate in the huge oil projects, D’Agata, who attended the 77th Mexican Bankers Association (ABM) annual convention in the Pacific resort city of Acapulco.

COMMENT: Scotiabank has provided financing for some of the world’s largest companies in the mining, infrastructure, automotive and other industries, D'Agata emphasized.

The bank has helped companies in these sectors obtain about $10 billion in financing in the past three or four years, D’Agata said.

México’s Lamosa obtained $900 million in financing, while Cementos Chihuahua received $260 million, Scotiabank  reported.

Scotiabank’s investment portfolio has grown about 20% this year, D’Agata said, adding that it could finish 2014 up 30%.

Scotiabank has experience working with the oil industry in the western Canadian province of Alberta, which estimates petroleum reserves at 350 billion barrels.