TransCanada-IEnova JV to build 2.6-bcfd Texas-Mexico pipelines

Infraestructura Marina del Golfo (IMG)—TransCanada Corp.’s joint venture with Sempra Energy subsidiary IEnova—will build, own, and operate the 42-in. OD, 497-mile Sur de Texas-Tuxpan natural gas pipeline in Mexico. A 25-year gas transportation service contract for 2.6 bcfd with Comision Federal de Electricidad (CFE), Mexico’s state-owned power company, supports the project, expected to enter service in late 2018.

The pipeline will begin offshore in the Gulf of Mexico at the border point near Brownsville, Tex., and extend along the coast to Tuxpan, Veracruz, Mexico. It will connect with Cenegas’s pipeline system in Altamira, Mexico, and with TransCanada's Tamazunchale and Tuxpan-Tula pipelines, and other transporters in the region. It will be supplied by gas from the 2.6-bcfd Valley Crossing Pipeline, to be built by Spectra Energy under a CFE contract.

Valley Crossing will extend 168 miles from Agua Dulce hub in Nueces County, Tex., to Brownsville.

TransCanada previously won bids to build and operate the Tuxpan-Tula (OGJ Online, Nov. 11, 2015) and the Tula-Villa de Reyes (OGJ Online, Apr. 11, 2016) lines, both expected to enter service in 2018.

TransCanada will own 60% of the $2.1-billion Sur de Texas-Tuxpan project and operate it. IEnova will own the other 40%. Spectra is sole owner of the $1.5-billion Valley Crossing line.

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