The project developer can choose whether to create its own offset or to pay into the compensation fund. An example of a developer-created offset is PEMEX’s Jaguaroundi project, in which the state oil company aggregated its required offsets into a single 961 ha tract of tropical rainforest near PEMEX refineries. The compensation amount per hectare is calculated using the average cost of reforestation activities (not including the cost of purchasing the land) instead of an estimate of the value of the environmental service affected.