The completion of key pipeline projects has made Mexico confident that it could export LNG in the future.

The final leg of Mexican firm Fermaca’s 5bn ft³/d (141.5mn m³/d) Wahalajara pipeline network last month marked the beginning of the end for the country’s pipeline build-out.

Ramped-up pipeline flows from the US have already reduced Mexico’s reliance on LNG imports in recent months, and with US gas now reaching most of the country, Mexico may even have surplus volumes that it could export as LNG.

The prospect of Mexico exporting LNG was “unthinkable 5-6 years ago”, Fermaca subsidiary Santa Fe Gas chief executive Santiago Garcia said, rejecting suggestions that increasing market competition could make such plans challenging.

Growing Asian demand will require continuous growth of global liquefaction capacity, and the location of planned export facilities on Mexico’s Pacific coast — which would eliminate the need to transit the Panama canal — will give Mexican facilities a competitive advantage, he added.

For more information visit www.fermaca.com.mx

10th November 2020