A glaring weak spot in the Mexico natural gas industry is the country’s lack of storage capacity. The issue is repeatedly discussed and considered a risk to national energy security, as Mexico has less than two days’ worth of storage capacity and is vulnerable to unforeseen weather or geopolitical events. 

According to Raul Puente, the Managing Director of Underground Storage for Grupo Cydsa, the Monterrey-based company has identified an opportunity to dramatically increase Mexico’s storage capacity and create the country’s own version of Mont Belvieu, the most important hub for natural gas liquids such as liquefied petroleum gas (LPG) in the United States.

“In the plot of land that we have, where we have the cavern where we store LPG for Pemex TRI since November 2017,...