According to recent estimates for 2025, Mexico’s demand for natural gas will double Pemex’s production in 2012. Current domestic market conditions suggest the production growth rate will have to increase by 2.9% per year to meet that demand. This is why the Federal Electricity Commission (CFE) has approved construction of 24 natural gas pipelines at an investment of $6.78 billion in order to add capacity 8.4 Bcf/d and a total length of 2,385 km, until 2023. A 42-inch pipeline in the Gulf of Mexico will be approximately 800 km in length. It will include a...
Tesoro Corporation, which will formally change its name to Andeavor effective Aug. 1, 2017, has reached a definitive agreement with Petróleos Mexicanos (Pemex) for terminaling and transportation services in Mexico. The agreement will enable Tesoro to supply transportation fuels in the Mexican states of Sonora and Baja California. Earlier this summer, Tesoro was awarded capacity in the open season for Northwest Mexico on the Pemex oil products pipeline and storage terminals. The final agreement with Pemex has now been signed and Tesoro will soon begin to move products in the country through this arrangement. “The […]
The United States and Mexico will expand their energy ties, the two countries’ energy ministers said after a meeting in Mexico. The Associated Press quoted U.S. Energy Secretary Rick Perry as saying Mexico was “a very, very important partner” in energy. The meeting comes ahead of a renegotiation of the North American Free Trade Agreement, which, according to Perry, did not cover the energy sector when it came into force in 1994. The renegotiation, he said, should “make the entire region a powerful energy source for the world.” Perry’s Mexican counterpart, Joaquin Coldwell, for his […]
TEPEACA, Mexico (AP) — Gasoline thieves are out of control in Mexico, tapping into pipelines in broad daylight often with the support of local townsfolks and under the noses of authorities. The growing and lucrative form of organized crime has become a blood trade with deadly shootouts, murders and deadly fireballs. Parts of central Mexico have turned into Mad Max-scapes of burned-out abandoned vehicles, vans hollowed out to hold giant tanks and trucks converted into homemade armored cars. It is an industrial-scale operation, involving a string of villages and hamlets along pipeline routes. The government […]
I’ve talked a lot the last few years about America’s increasing natural gas exports to Mexico. With outgoing pipeline shipments from America’s shale plays having more than doubled over the last 18 months. But one development this week shows that U.S.-Mexico natgas trade still has some snags to be worked out — before it can contribute further as a source of demand growth in American markets. Mexico’s National Gas Control Center (CENAGAS) announced Tuesday that it received no bidders for a key auction of cross-border pipeline capacity. With the group having to take the extreme […]
Mexico’s second auction for natural gas transportation capacity held in the United States by its state-owned energy companies closed July 10 without an award, round organizer and transmission system operator Cenagas announced that same day, according to information service ICIS. The round offered 2.1 Bcf, of pipeline capacity belonging to CFE International – the U.S.-based fuels trading arm of Mexico’s state power utility CFE – in five different pipelines linking gas hubs in the southern U.S. to the border. Although companies expressed interest in participating in the round, Cenagas said not one bid was received […]
NuStar Logistics, L.P., a subsidiary of NuStar Energy L.P., has been awarded permits from the U.S. Department of State for three pipelines crossing the U.S.-Mexico border. The permit for the New Burgos Pipeline approves construction, operation and maintenance of a new pipeline possessing the capability to deliver as much as 108,000 barrels per day of refined petroleum products. Two other permits were approved for existing pipelines to reflect a name change and permit the delivery of a broader range of petroleum products.
WASHINGTON (AP) — The Trump administration said Thursday it is taking steps to expand oil drilling in the Arctic and Atlantic oceans as President Donald Trump continues to push for U.S. “energy dominance” in the global market. The Interior Department is rewriting a five-year drilling plan established by the Obama administration, with an eye toward opening areas in the Arctic and Atlantic oceans that now are off-limits to drilling. It’s one of six initiatives that the president unveiled Thursday in hopes of generating more energy exports and jobs. “The golden era of American energy is […]
Canada’s National Energy Board has signed a Memorandum of Understanding with Mexico’s Energy Regulatory Commission – Comisión Reguladora de Energía – to guide ongoing collaboration and the exchange of technical and regulatory information. With a goal of promoting regulatory excellence in both countries, the MOU provides a framework for the two organizations to share experiences, lessons learned and best practices on subjects such as pipeline safety, damage prevention, safety culture, transparency and communications. In addition, later today, at the Conference of Montreal of the International Economic Forum of the Americas, Josée Touchette, the NEB’s Chief Operating Officer, will participate in a […]
ENGIE has announced it will spend at least $300 million to connect its Energia Mayakan natural gas pipeline, a 485-mile pipeline that transports natural gas from Ciudad Pemex in the state of Tabasco, to Valladolid in the state of Yucatan, to industrial and tourism users in the state of Quintana Roo. As part of the project, which is expected to be finished by 2020, the company will extend the pipeline 99 miles. Before holding an open season, ENGIE plans to first consult with industrial and tourism-related companies to gauge uncommitted interest. ENGIE owns the Energia Mayakan Pipeline in partnership with GE Capital and EXI […]
MEXICO CITY (AP) — Mexico closed seven service stations Thursday for allegedly selling gasoline and diesel stolen from state-run pipelines, the first confirmation that large amounts of fuel siphoned from illegal pipeline taps are being sold through officially sanctioned gas stations. An official of the state-run Pemex oil company said authorities had caught red-handed such sales at a total of 14 stations — seven in Puebla, one of the states hit hardest by pipelines thefts, and seven elsewhere in Mexico. The official didn’t say why only seven had been shut down. The thefts were especially […]
Construction has started on the Sur de Texas-Tuxpan natural gas pipeline, a 42-inch diameter, 497-mile pipeline that will start offshore in the Gulf of Mexico and terminate at Tuxpan, in the state of Veracruz. It will provide gas to power plants in the states of Tamaulipas and Veracruz and serve Mexico’s eastern, central and western regions. The project is a joint venture between TransCanada Corp. and IEnova, Sempra Energy’s Mexico unit. TransCanada will own 60% of the project, with IEnova owning 40%. The Sur de Texas-Tuxpan natural gas pipeline is supported by a 25-year transportation service agreement with Mexico’s Comisión Federal de […]