Register with us today

and in less than 60 seconds continue your access to:Latest news headlinesAnalytical topics and featuresCommodities videos, podcast & blogsSample market prices & dataSpecial reportsSubscriber notes & daily commodity email alerts

Already have an account?

Log in to register

Forgot Password

Please Note: Platts Market Center subscribers can only reset passwords via the Platts Market Center

Enter your Email ID below and we will send you an email with your password.


  • Email Address* Please enter email address.

If you are a premium subscriber, we are unable to send you your password for security reasons. Please contact the Client Services team.

If you are a Platts Market Center subscriber, to reset your password go to the Platts Market Center to reset your password.

In this list
Natural Gas

Mexico's Sur de Texas-Tuxpan pipeline begins flowing gas

Electricity | Energy | Electric Power | Emissions | Renewables

Global Energy Transition: What are the key drivers and hindrances?

LNG | Natural Gas | NGL

Platts LNG Alert

Capital Markets | Commodities | Energy | LNG | Natural Gas | Natural Gas (European) | Natural Gas (North American) | Natural Gas Risk | Shipping | Leveraged Finance & High Yield | Materials | Building & Construction | Financial Services | Banking | Infrastructure | Structured Finance

LNG Conference, 19th Annual

Natural Gas

DTE Midstream to buy gathering assets in Haynesville Shale for $2.25 billion

Mexico's Sur de Texas-Tuxpan pipeline begins flowing gas

Denver — Gas began flowing on the Sur de Texas-Tuxpan export pipeline Tuesday, just one week after Mexican President Andres Manuel Lopez Obrador announced an agreement between state power generator CFE and private developers over disputed pipeline transport contracts.

Not registered?

Receive daily email alerts, subscriber notes & personalize your experience.

Register Now

Receipts on the newly constructed pipeline surged to 50 MMcf/d Tuesday, up from volumes under 1 MMcf/d during the two weeks prior, data from the TC Energy electronic bulletin board showed.

After reaching mechanical completion in mid-June, the Sur de Texas pipeline saw receipts from Valley Crossing, on the US side of the border, rise to about 350 MMcf/d, although no deliveries were reported.

Just days later, the CFE announced that it had begun arbitration proceedings with pipeline developers TC Energy, IEnova, Fermaca and Grupo Carso over capacity payments that it argued were unjustified.

According to CFE, pipeline operators had declared forces majeure amid unforeseen delays in pipeline construction, which were largely the result of conflicts with indigenous groups over land usage and ownership.

By July, receipts on the 2.6 Bcf/d Sur de Texas pipeline dropped to zero, with the CFE threatening to keep operations on the massive export pipeline halted while the federal government and private developers awaited an outcome from arbitration proceedings in international courts.

Platts Analytics estimates that the marine pipeline could flow around 500 MMcf/d in the near term as the new supplies displace LNG imports and backfill declining domestic production. But the pipeline has a high side potential of around 1 Bcf/d, depending on the status of downstream connectivity and modifications. The STTP system will deliver gas to the Altamira V power plant, the 500 MMcf/d Monte Grande interconnect and the TC Energy Tamazunchale Pipeline at Naranjos.

The new export pipe, coupled with the Cempoala Compressor Station reversal project, should allow supply to also flow into southern Mexico, an area that has been subject to shortages this year amid falling domestic production.

-- J. Robinson, jrobinson@spglobal.com

-- Ross Wyeno, rwyeno@spglobal.com

-- Edited by Bill Montgomery, newsdesk@spglobal.com

Pricing & Forecasting Workshop at Gastech | September 17-19, 2019 | Houston

During these sessions our industry specialist will cover LNG and natural gas pricing methodology along with developments and forecasts.

Learn more