Energia Costa Azul, Mexico’s second liquefied natural gas (LNG) export facility, shipped its first cargo from Phase 1 of the terminal on July 8, according to the project developer.

The start of shipments adds 0.4 billion cubic feet per day (Bcf/d) of nominal LNG export capacity from a single train. The addition triples Mexico’s LNG export capacity, according to the source information, making Phase 1 a significant step-up in the country’s role as an LNG export platform.

Energia Costa Azul is the first LNG export terminal in Mexico, and the second in North America after LNG Canada, to be located on the Pacific Coast. The facility increases North American LNG export capacity on the Pacific Coast to 2.2 Bcf/d. Its Pacific Coast location provides shorter shipping routes to LNG importers in Asia, an important logistical feature for projects serving Pacific Basin demand.

Exports from Energia Costa Azul are subject to regulatory approvals by the U.S. Department of Energy (DOE), because the terminal is supplied with natural gas sourced from the United States. DOE has authorized 0.50 Bcf/d of LNG exports from Energia Costa Azul Phase 1 to countries that have a Free Trade Agreement (FTA) with the United States, as well as 0.44 Bcf/d of LNG exports to non-FTA countries. Those approvals define the permitted export volumes for U.S.-sourced gas moving through the Mexican terminal.

Sempra has proposed a second phase of the project. If constructed, that phase would add 1.6 Bcf/d of nominal export capacity from two large-scale trains, expanding the project beyond its initial single-train configuration.

Source: EIA