U.S. Natural Gas market
Posted: Fri Oct 05, 2018 9:20 am
Houston Chronicle: Texas to Mexico natural gas pipeline delayed
The completion of a large natural gas pipeline from Texas to Mexico has been delayed until April 2019 due to weather conditions and delays in the completion of the Mexican portion of the project. The 2.6 billion cubic feet a day Valley Crossing Pipeline is being built by Canada's Enbridge, a major petroleum pipeline and storage company, which asked for a six month extension for putting the Valley Crossing Pipeline into operation. It was originally planned to start operations this month, but now has until April 23, 2019, to commence operations. Enbridge noted that the delay was due to an inability to test the pipeline due to delays in the completion of the Mexican portion of the pipeline, which connects with the Enbridge section offshore from Brownsville in the Gulf of Mexico. The Mexican portion is being built by Infraestructura Marina de Golfo, a joint venture between the Canadian pipeline and storage company TransCanada and Sempra Energy of San Diego. Both companies have major stakes in oil and gas pipeline and storage projects in Mexico.
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This will keep a lid on Permian Basin natural gas prices a bit longer.
There is going to be a BIG INCREASE in the amount of U.S. natural gas exports in 2019.
The completion of a large natural gas pipeline from Texas to Mexico has been delayed until April 2019 due to weather conditions and delays in the completion of the Mexican portion of the project. The 2.6 billion cubic feet a day Valley Crossing Pipeline is being built by Canada's Enbridge, a major petroleum pipeline and storage company, which asked for a six month extension for putting the Valley Crossing Pipeline into operation. It was originally planned to start operations this month, but now has until April 23, 2019, to commence operations. Enbridge noted that the delay was due to an inability to test the pipeline due to delays in the completion of the Mexican portion of the pipeline, which connects with the Enbridge section offshore from Brownsville in the Gulf of Mexico. The Mexican portion is being built by Infraestructura Marina de Golfo, a joint venture between the Canadian pipeline and storage company TransCanada and Sempra Energy of San Diego. Both companies have major stakes in oil and gas pipeline and storage projects in Mexico.
-----------------------------
This will keep a lid on Permian Basin natural gas prices a bit longer.
There is going to be a BIG INCREASE in the amount of U.S. natural gas exports in 2019.