Editor’s Note: NGI’s Mexico Gas Price Index, a leader tracking Mexico natural gas market reform, is offering the following column by Eduardo Prud’homme as part of a regular series on understanding this process.


Another year is ending, which means it is time to take stock. In many ways, the Mexico natural gas market remains the same as this time last year. Nothing has been achieved to reduce dependence on gas from other countries. Yet there have been some qualitative changes that imply efficiency gains.

In 2019, Mexico imported almost 1 Bcf/d of LNG during peak months. Today the average import of liquefied natural gas year-to-date is around 50 MMcf/d, and a large part of this import is to support operations. The terminals need to have a minimum inventory to maintain...