Mexico to connect Yucatán to natgas network

By
Friday, June 8, 2018

Mexico's natural gas control center Cenegas and energy minister Pedro Joaquín Coldwell announced a 1.75bn-peso (US$86mn) investment to supply gas to the growing economy of the Yucatán peninsula.

Cenegas will invest 750mn pesos and French energy firm Engie an additional US$50mn (about 1bn pesos), the energy ministry said in a release.

Start your 15 day free trial now!

cta-arrow

Already a subscriber? Please, login

Engie's investment will be used to connect its 780km Mayakan natural gas pipeline to Mexico's national pipeline network SISTRANGAS while Cenegas' investment will be used to repower and redirect the Cempoala compression station in the south of Veracruz. This will create a connection between the natural gas fields in West Texas and the Yucatán peninsula.

According to the energy ministry, the combined cycle plants on the peninsula have not been functioning at capacity due to lack of natural gas, making the region highly reliant on electricity imports by way of two 400kV and two 230kV transmission lines.

Gas Natural Fenosa gained distribution permits in the states of Campeche and Yucatán allowing access to 513,000 potential new customers last December. Local media at the time reported that the Spanish company's investment totaled 1.26bn pesos.