Mexico Pacific seals LNG SPAs with ExxonMobil

A unit of US energy giant ExxonMobil has signed two long-term deals to buy liquefied natural gas from Mexico Pacific, the developer of the planned 14.1 mtpa Sonora LNG export project.

Under the SPAs, ExxonMobil LNG Asia Pacific will purchase a combined 2 million tonnes per year of LNG on a free-on-board basis from the first two trains of Mexico Pacific’s anchor LNG export facility, Saguaro Energia LNG, located in Puerto Libertad, Sonora.

The deals are for a 20-year term and ExxonMobil also has an option for 1 million tonnes per year of LNG from the third train, according to a statement by Mexico Pacific.

FID on first two trains

Mexico Pacific’s anchor project includes three 4.7 mtpa liquefaction trains.

Prior to these SPAs, Mexico Pacific signed a deal with a unit of Shell. It also signed a contract with China’s Guangzhou Development Group.

Mexico Pacific, controlled by Quantum Energy Partners, plans to build the LNG export facility in phases sourcing natural gas from the Permian gas basin in the US.

“We have reached a critical point on contract volumes required for FID on our first two trains and will now shift focus to close contracting on the significant commercial momentum in place for a subsequent Train 3 FID,” Ivan Van der Walt, CEO of Mexico Pacific, said in the statement.

“As we position for FID on the first two trains, we will also commence advanced engineering with Bechtel,” he said.

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