Mexico projects rapid near term growth in US natural gas imports
According to the US Energy Information Administration (EIA), a combination of higher natural gas demand from Mexico’s industrial and electric power sectors and increased US natural gas production has resulted in a doubling of US pipeline exports of natural gas to Mexico between 2009 and 2013.
Mexico’s national energy ministry (SENER), projects that US pipeline exports to Mexico will reach 3.8 billion ft3/d in 2018. This would amount to more than double US pipeline exports to Mexico in 2013.
Projected growth has been driven primarily by increased demand from the Mexican power sector in both the north and interior of the country.
Locus of growth
Approximately three quarters of projected growth in Mexico’s natural gas consumption between 2012 and 2027 is projected to occur in the electric power sector. This growth is largely driven by private and independently operated power plants, whose natural gas consumption is anticipated to rise at an average annual rate of 7.9%. This is equivalent to an increase from 1.6 billion ft3/d to 4.9 billion ft3/d in 2027.
In contrast, natural gas consumption from plants operated by national energy company CFE grows at 0.4%/y, from 1.1 billion ft3/d in 2012 to 1.2 billion ft3/d in 2027. Growth will sharply accelerate over the near term but continues through 2027, when power sector consumption reaches 58% of total gas consumption, compared to 47% in 2012.
Growth in gas consumption occurs in each of the countries key market regions: Northeast, Northwest, Interior-West, Interior, and South-Southeast. However, according to SENER, demand growth is particularly strong in the northern and interior regions of the country.
Adapted from a press release by Emma McAleavey.
Read the article online at: https://www.worldpipelines.com/business-news/30052014/mexico_natural_gas_imports_624/
You might also like
World Pipelines Podcast: Going global with IPLOCA
In this episode, Elizabeth Corner speaks to Georges Hage, Executive Secretary at IPLOCA, about IPLOCA's insights on the culture and characteristics of the pipeline contractor community, and how it works to support sustainable energy infrastructure.
Energy industry faces short-term instability, yet remains optimistic about long-term prospects, DNV report reveals
The energy industry is braced for short-term uncertainty caused by global instability, but remains optimistic in the long-term, according to DNV’s annual Energy Industry Insights survey.
