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Mexican authorities uncover a clandestine mini refinery as part of their crackdown on illegal hydrocarbon traffic

Mexican authorities discovered this week a clandestine micro-refinery, as well as a half million barrels worth of crude oil that they believe were stolen from Mexico's pipelines.

The government is cracking down on illegal imports of huachicol (illegal crude oil, refined products, and other goods), a practice which generates significant losses for the state energy company Pemex as well as the government.

Authorities have linked Pemex and organized crime to illegal trade.

Was unable to reach the owners of the clandestine refining plant.

On Wednesday, Omar Garcia Harfuch, the Minister of Security for Homeland Security said that "a clandestine operations was identified" during intelligence action and overflights.

He said that the company produced alternative or artisan diesel, as well as light naphtha, solvents and treated oils, without the necessary permits. This posed a threat to local ecosystems.

Authorities found 500,000 liters crude oil and production infrastructure to feed the illicit fuel market in the country.

Pemex said the discovery, although not large in volume, highlighted the impunity of criminals in the country as well as their extensive network of collusion between different sectors.

Separately authorities discovered 1.2 millions liters hydrocarbons and fuel trucks in Nuevo Leon, a northern state.

Late May, authorities recovered over 3 million liters in hydrocarbon products from the south-east of the country. (Reporting Ana Isabel Martinez, Writing Stefanie Eschenbacher, Editing Daniel Wallis).

(source: Reuters)