U.S. Gas Exports to Mexico Set Record
Flow has doubled since 2010
U.S. natural gas exports to Mexico were a record 2.5 Bcfd (70.8 x106 m3/d) on July 24 and averaged 2.3 Bcfd (65.1 x106 m3/d) from June through August, more than double the pipeline flow in 2010.
The U.S. Energy Information Administration (EIA) said the growth was due to higher demand from Mexico’s industrial and electric power sectors, relatively flat domestic production, expanded export pipelines from the United States, morer Mexican pipeline infrastructure, and availability of U.S. gas.
It said Mexico’s energy ministry predicts that U.S. exports will double again in the next five years, driven primarily by growth in gas-fired electric power generation. Mexico’s demand has risen from 5.0 Bcfd (141 x106 m3/d) in 2005 to 6.9 Bcfd (195 x106 m3/d) in 2013, with the power sector accounting for 76% of that growth.
EIA said much of the U.S. gas has come from the Eagle Ford Shale in Texas. It said pipeline export capacity to Mexico was 4.2 Bcfd (119 x106 m3/d) in 2013 but in the past two years, five export pipeline expansions in Texas and Arizona came online, increasing capacity 1.4 Bcfd (40 x106 m3/d). Two more projects totaling 2.3 Bcfd (65.1 x106 m3/d) will start up by the end of 2014