The U.S. Federal Energy Regulatory Commission (FERC) on Thursday approved Oneok Inc.’s proposed 2.8 Bcf/d Saguaro Connector natural gas pipeline, which would transport Permian Basin supply to the U.S.-Mexico border.

The pipeline would transport gas to Mexico Pacific Ltd.’s Saguaro Energía LNG export plant envisioned for Puerto Libertad, Sonora, located on the country’s west coast. 

The re-export route would allow marketers of U.S. gas to bypass the Panama Canal, meaning that liquefied natural gas cargoes could reach the Asia Pacific market more quickly and cheaply. 

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