NET Midstream reported that NET Mexico Pipeline, LP, a wholly owned subsidiary of NET, will build a 124-mile, 42-inch natural gas pipeline system to the Texas/Mexico border, with associated compression.
NET Mexico will be anchored by a long-term firm gas transportation agreement for up to 2.1 Bcf/d, with MGI Supply Ltd., an indirect wholly owned subsidiary of Pemex, the Mexican state-owned gas company.
NET Mexico will transport gas from the Agua Dulce Hub in Nueces County, TX to a point near Rio Grande City, TX in Starr County. The pipeline will be placed into service in December 2014.
In other news, NET Midstream’s wholly owned subsidiary, Eagle Ford Midstream, LP, has secured firm transportation agreements with volume commitments from producers including Talisman Energy, USA and Statoil Natural Gas, LLC.
Eagle Ford Midstream is a 150-mile, predominantly 30-inch intrastate natural gas pipeline that provides gas transmission for the Brasada Processing Plant in LaSalle County (operated by Western Gas Partners), and transports pipeline-quality gas from producers in the Eagle Ford Shale to the Agua Dulce Hub. Eagle Ford Midstream previously announced a 10-year firm transportation agreement with Anadarko Energy Services and a 100,000-acre production dedication from Murphy Exploration and Production that support the pipeline.