Mexico has rescheduled a natural gas capacity auction on its import pipeline network for August, after failing to draw any bids on Monday.
The national pipeline system operator, Centro Nacional de Control del Gas Natural (Cenagas), had put out for tender 2.2 Bcf/d across five gas import points, including Energy Transfer’s recently completed Trans-Pecos pipeline. Cenagas arranged the auction on behalf of the Comision Federal de Electricidad (CFE) to offload excess capacity on the state power utility’s cross-border pipelines.
“Although marketing companies had shown interest in participating in this auction, none of them completed the registration process or presented any offers,” Cenagas said on Monday.
CFE, through subsidiary CFE International, plans to put the same capacity on the same five pipelines up for tender again on Aug. 10, according to Cenagas. The auction would offer one-year contracts beginning Sept. 1 to Aug. 31, 2018.
Waha-Presidio, which feeds into the Ojinaga-Encino pipeline in Mexico, accounts for 54% of the capacity available in the auction, followed by the Comanche Trail Pipeline LLC’s San Elizario Crossing project in El Paso County, TX (32%) and Roadrunner Gas Transmission LLC (13%) pipelines. The remaining 1% of capacity on offer is split between the El Paso Natural Gas and Wilcox Lateral import points.
Base rates for the pipeline capacity range from 14 cents/MMBtu at Waha-Presidio to 47 cents/MMBtu at Roadrunner’s border crossing in El Paso, TX.
Cenagas has signed agreements with CFE International and Mex Gas Supply (MGS), a subsidiary of national oil company Petroleos Mexicanos, to administer their excess import capacity.
The operator heldits first auction for cross-border capacity in February, assigning 29% of the 735 MMcf/d offered to one supplier, BP’s Mexico subsidiary, and two large end-users, Industria del Alcali, and Fabrica de Envases de Vidrio del Potosi. The winners all paid the base rate of 31 cents/MMBtu.
© 2021 Natural Gas Intelligence. All rights reserved.
ISSN © 1532-1231 | ISSN © 2577-9877 | ISSN © 2577-9966 | ISSN © 1532-1266 |