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Markets & Forecasts

Mexico’s LNG imports face existential threat

Mexican LNG imports are facing an insurmountable challenge from US pipeline gas, which could see Mexico stop buying LNG altogether Mexican LNG imports are facing an insurmountable challenge from US pipeline gas, which could see Mexico stop buying LNG altogether.
By Abhishek Kumar 29 May 2019 Americas / LNG 0 34258
Manzanillo LNG terminal in Mexico. (Samsung C&T)

Directional impact on forecast:
Downbeat for Mexico’s LNG imports

Demand for LNG in Mexico is poised for a sharp downturn because of the growing popularity of pipeline gas imported from the United States. Mexico has failed to reap the benefits of low spot LNG prices as piped supplies from its northern neighbour are still much cheaper. The two countries are planning to bring key pipelines online in 2019, which will further dent Mexico’s appetite for LNG.

Mexico has three LNG terminals – Altamira, Energia...