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NFE to supply natural gas to CFE power plants

Advertisement New Fortress Energy Inc. (NFE) has announced today that it has signed a gas supply agreement (GSA) with CFEnergia SA de CV, a subsidiary of Mexico’s Federal Electricity Commission (CFE). Under the agreement, NFE will provide the equivalent of an estimated 250 000 - 500 000 gal. of LNG (20 000 - 40 000 million Btu) per day to CFE’s CTG La Paz and CTG Baja California Sur power plants in Baja California Sur, Mexico. “We are pleased to support CFE’s transition to cleaner, more affordable and reliable energy,” said Wes Edens, Chairman and CEO of New Fortress Energy. “This contract will help create significant fuel savings and emissions reductions for the benefit of the people of Baja California Sur.”

Mexico in Talks With Texas to End Halt in State Gas Exports

Mexican President Andres Manuel Lopez Obrador said on Thursday that the government is working to overturn an order from Texas Governor Greg Abbott to cut off gas exports. On Thursday, Abbott directed natural gas producers to refrain from selling outside Texas until 21 February to divert supplies to power generators inside the state. According to Reuters, natural gas supplies to Mexico from Texas were already interrupted by the severe cold weather since early this week. It resulted in millions without power in Mexico s industrial northern states, causing an estimated $2.7 billion in losses. Mexico buys most of the gas produced in Texas, importing it via a network of cross-border pipelines. An Argus report said the order, once fully implemented, would deal a crippling blow to Mexico s industrial sector that relies on the U.S. gas supply. 

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