Mexico is on the cusp of finally moving ahead on building underground natural gas storage capacity after years of inactivity.

Jaf

The country’s Centro Nacional de Control del Gas Natural (Cenagas), operator of the national Sistrangas pipeline network, has announced a tender would take place for the depleted Jaf dry gas field in Veracruz. Officials at Cenagas said in a first phase the field could hold a potential 11 Bcf of gas, or equivalent to a little over a day’s demand.

A Cenagas official told NGI’s Mexico GPI a tender would take place this year. Local press reported that the Jaf tender could occur as early as next month.

Additionally, Cenagas would assist in the development of the depleted Brasil oil and gas field in northeastern Tamaulipas. The government of Tamaulipas...