Mexico natural gas prices rose to an astonishing average of $21.37/MMBtu in February, up from $3.39/MMBtu in January, following freezing weather in Texas, according to the latest IPGN monthly natural gas price index published by the Comisión Reguladora de Energía (CRE).

IPGN Feb 2021

The February price, up from the February 2020 average of $2.71/MMBtu, was the highest price recorded since the index was formed in 2017.

The prices reflect the fact that most users and marketers in Mexico import their gas from the United States, and in particular from Texas. The state was struck by a winter storm Feb. 13-19 that sent prices skyrocketing.

According to respondents to the latest NGI Mexico survey, 64% of gas bought and sold in Mexico is either done as a difference to a daily or monthly U.S....