Mexico’s demand for natural gas has not been impacted by the ongoing price surge, according to buyers and sellers of the fuel who spoke at the recent Mexico Gas Summit in San Antonio, TX.

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“Demand is very inelastic,” said Santa Fe Gas LLC CEO Santiago Garcia during the event organized by Industry Exchange LLC. “The best alternative right now is to continue burning gas. We have not seen any demand destruction, and we are not expecting demand destruction.”

He said demand is actually growing on Fermaca’s Wahalajara gas pipeline system, which runs from Waha, TX, to the industrial zone of Guadalajara in central Mexico. Santa Fe markets the gas on the system and projects demand growth for the next three to five years.

Tenaska Marketing Ventures’ Geoffrey Street said...