Accessing

Paso Norte Pipeline Group Inc. (PNP) has launched an open season for shippers interested in accessing markets in western Chihuahua, Mexico, on a proposed international gas pipeline from New Mexico to Chihuahua that would serve demand for gas among power generators. Originating from El Paso Corp.’s Southern System near Deming, NM, the pipeline would enter Chihuahua near the Columbus, NM-Palomas, Chihuahua International Port of Entry. The 440-mile high-pressure pipeline is estimated to cost US$600 million, including compressor stations and storage facilities in the United States and Mexico, PNP said. The initial design capacity is 450 MMcf/d with provisions to increase capacity to support future development needs of Mexico’s Comision Federal de Electricidad (CFE), Petroleos Mexicanos (Pemex) and those of western Chihuahua. PNP President Peter Momsen told NGI that the consortium of U.S. and Mexican investors behind PNP should be ready to file paperwork at the Federal Energy Regulatory Commission in June. Once ground is broken, which is expected to be in October, Momsen said the project should take two years to construct. PNP held two earlier open seasons for the proposed project (see NGI, May 5, 2008; Oct. 9, 2006). More information is available at www.pasonortepipeline.com.

Paso Norte Pipeline Group Inc. (PNP) is holding a 60-day open season for shippers interested in accessing markets in western Chihuahua, Mexico, on a proposed international gas pipeline from New Mexico to Chihuahua that would serve demand for gas among power generators.

Paso Norte Pipeline Group Inc. (PNP) is holding a 60-day open season for shippers interested in accessing markets in western Chihuahua, Mexico, on a proposed international gas pipeline from New Mexico to Chihuahua that would serve demand for gas among power generators.

Now may be the time to revisit the prospect of accessing the Arctic region for new supplies of natural gas, or face the possibility that liquefied natural gas (LNG) projects may again pull the cord on a pipeline moving forward, according to a report issued Thursday by Standard & Poor’s Ratings Services (S&P).