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.


As New Fortress Energy Inc. (NFE) prepares to start operations on its floating liquefied natural gas (FLNG) unit offshore Tamaulipas, Mexico is on the verge of joining the world of LNG exporters. It is somewhat ironic that one of the most substantial physical investments that occurred during the period of the nationalist government of Andrés Manuel López Obrador will be dedicated to serving the international market. Without a doubt it is good news, but deserves close analysis. 

The NFE project promises to redefine to a great extent the dynamics of the natural gas...