Sempra Energy passed a five-year milestone in its natural gas infrastructure projects in Mexico earlier this month, touting its projects as meeting all of their major shareholder and customer goals. Since 1997, the company has invested $650 million in Mexico, built a Mexican work force of 350 and connected more than 50,000 customers in three population centers in northern Mexico: Mexicali, Chihuahua and La Laguna-Durango.

Included in the mix is the 512 MMcf/d North Baja Pipeline, which is being built by a joint venture with affiliates of PG&E Corp. and Mexican partners. It began partial operation of 200 MMcf/d on Sept. 1, serving a Mexican government power plant at Rosarito Beach, and when the last of four compressor stations are completed later this year, the pipeline will be in full operation, according to spokesperson with PG&E’s National Energy Group, which is overseeing the construction and operation of the pipeline.

Sempra Energy International has built new natural gas distribution pipeline systems through its ECOGAS affiliates and it has delivered on its promised infrastructure that has brought pipeline delivery of natural gas to thousands of Mexican homes and businesses for the first time.

“We have a firm commitment to continue working with officials and (Mexican) regulatory agencies to build new energy infrastructure of the highest caliber in Mexico, helping to contribute to economic growth and raising the quality of life for many families,” said Darcel Hulse, Sempra Energy International’s president, during a public ceremony with federal Mexican energy officials held last month in Chihuahua, a city of 670,000 people about 200 miles south of El Paso, TX.

Along with deciding early on to build a utility work force with local Mexican workers, Sempra officials stressed that their success so far is also due to establishing and adhering to “tight financial, safety and operating goals.” As a result, they have growing companies that are building out the distribution infrastructure and expanding the customer base in three major population centers, along with on a joint venture bring the first major interstate natural gas transmission line into North Baja.

Sempra officials have acknowledged that they are hoping their success and commitment has demonstrated to Mexican political and regulatory officials that the company delivers on what it says it will do. Senior officials are very hopeful this “track record” south of the border will give Sempra the inside track in siting one of the half-dozen proposed liquefied natural gas (LNG) receiving terminals along the Pacific Coast of North Baja, less than 60 miles south of San Diego where Sempra is headquartered.

©Copyright 2002 Intelligence Press Inc. All rights reserved. The preceding news report may not be republished or redistributed, in whole or in part, in any form, without prior written consent of Intelligence Press, Inc.