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Kinder Morgan's Sierrita line seeks to increase gas exports to Mexico

Sierrita Gas Pipeline LLC applied for a federal certificate to increase the transportation capacity of natural gas border-crossing facilities between Arizona and Mexico by almost 323,000 Dth/d.

In a Dec. 21 application to the Federal Energy Regulatory Commission, Sierrita said the project would provide increased firm gas transportation capacity and delivery pressure at Sierrita's terminus at the U.S.-Mexico border. The existing pipeline runs from a point near Tucson, Ariz., to Sasabe, Ariz., close to the international border.

The estimated cost of the project is approximately $56.4 million. Sierrita is partly owned by Kinder Morgan Inc. and by subsidiaries of Petroleos Mexicanos Internacional and Mitsui & Co. Ltd.

The project would include a new compressor station, an additional gas meter at the San Joaquin meter station and relocation of other equipment. The new compressor station would include a compressor unit rated at 15,900 horsepower.

Sierrita executed a long-term transportation service agreement with a unit of Mexico's Comisión Federal de Electricidad, CFE International LLC, for 230,254 Dth/d of the incremental capacity of the project for an approximately 20-year term. Sierrita asked the commission to issue authorization for the project before August 2018. The company expects to place the facilities in service by April 1, 2020. (FERC docket CP18-37)