Japan’s Mitsui Corp. has been selected to construct a pipeline that would carry U.S. natural gas to Mexico from Tucson, AZ, Mexican President Enrique Pena Nieto announced in Japan while on a tour of Asian countries. The $460 million Tucson-Sasabe pipeline would have capacity of 770 MMcf/d and would join several other pipeline projects to move U.S. gas to Mexico (see Daily GPI, March 8). Mexico is seeking inexpensive U.S. shale gas to fuel power generation and supply industrial users. According to the U.S. Energy Information Administration, Mexico imported more U.S. gas than ever last year (see Daily GPI, March 14), and according to an analysis by Goldman Sachs, U.S. gas imports by Mexico will continue to increase (see Daily GPI, Feb. 11).

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