Sur de Texas Marine Pipeline Achieves Commercial Operation

(IMG, 17.Sep.2019) — Infraestructura Marina del Golfo (IMG), a joint venture between TC Energy Corporation (TC Energía) and Infraestructura Energética Nova (IEnova), announced commencement of the commercial operation of the Sur de Texas-Tuxpan (Sur de Texas) marine natural gas pipeline. With a transportation capacity of 2.6 billion cubic feet per day, the Sur de Texas natural gas pipeline significantly increases the reliable supply of economic natural gas to Mexico to meet the growing demand in the central and south-southeast regions of the country.

“Following the agreement with CFE and the Mexican government, this important project of energy infrastructure provides a vital link between abundant, low-cost natural gas supplies and growing markets in Mexico for decades to come,” said Robert Jones, president TC Energía. “Through our partnership with the Comisión Federal de Electricidad (CFE), we remain committed to helping Mexico meet their objective of powering a growing economy with the use of economic, efficient and clean burning natural gas.”

The Sur de Texas pipeline supplies natural gas to numerous power plants located in Altamira, Tuxpan and the central region of Mexico through interconnections with TC Energía’s Tamazunchale and Tuxpan pipelines and with the Integrated National Natural Gas Transport and Storage System (Sistrangas), the national system operated by the National Natural Gas Control Centre (Cenagas).

TC Energía and IEnova recognize President López Obrador for his direct participation and leadership with recent contract negotiations that successfully concluded with commercial agreements that support this vital energy infrastructure project. The milestone announced today could not be achieved without his active participation and that of the CFE, whose strong understanding of the critical need for natural gas supply to the central and southeastern regions of Mexico enabled commencement of the operation of this pipeline. 

“This important project will guarantee the reliable and safe supply of an economic, efficient and environmentally friendly fuel for promoting the economic development, job creation and the wellbeing for Mexicans,” said Tania Ortiz, Director General, IEnova. “The operation of this natural gas pipeline will promote industrial development in these regions and will enable the CFE to produce more affordable energy which will benefit the Mexican people,” Ortiz said. 

The project represents approximately US$2.6 billion in infrastructure investment and involved the creation of more than 3,000 jobs during its construction phase. The 772 kilometers (480 miles) of 42-inch diameter pipeline runs offshore from the border with the United States, near Brownsville, Texas to Altamira in Tamaulipas, where it continues towards Tuxpan in the state of Veracruz. The Sur de Texas-Tuxpan pipeline also was the highest single foreign investment source into Mexico in 2017. 

 The Sur de Texas pipeline team worked hand-in-hand with regulators, landowners, Tamaulipas and Veracruz state governments, local authorities and other stakeholders to successfully complete the project, achieving industry-leading safety and quality performance. The pipeline was built using cutting-edge technology and is designed to protect the environment.

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