Supply & Demand

Mexico’s LNG imports to resume downward trend

Mexico’s LNG imports will come under pressure in 2018 as technical issues affecting pipeline gas supplies from the US dissipate Mexico’s LNG imports will come under pressure in 2018 as technical issues affecting pipeline gas supplies from the US dissipate.
By Abhishek Kumar 9 November 2017 0 28307
Skyline of Mexico City Mexico City skyline. Mexico’s falling gas production has made it increasingly reliant on imported gas and LNG. (Alexis Tostado/unsplash.com)

Directional impact on forecast:
Bearish on Latin America’s spot LNG prices

Mexico’s LNG imports have seen an unexpected resurgence in 2017, supporting Latin America’s overall purchases of the fuel. Persistent technical issues on pipelines carrying gas from the United States have boosted the need for LNG at Mexico’s Altamira terminal on the east coast. However, pipeline disruptions are gradually dissipating while additional pipeline capacity is being installed to transport more US gas to its southern neighbour.

Mexico imported 4.12 mt of LNG in the...