By OGJ editors
HOUSTON, Aug. 17 -- Houston-based DKRW Energy LLC's subsidiary Sonora Pacific Mexico has purchased from the state of Sonora, Mex., 1,500 acres of property at Puerto Libertad on the Gulf of California for its planned 1.3 bcfd LNG regasification and storage terminal and pipelines (OGJ Online, May 26, 2004).
El Paso Corp. will install pipeline infrastructure to deliver 500 MMcfd of gas from the terminal to Sonora and Sinaloa states—primarily for electric power generation—and 800 MMcfd to Arizona and California through Nogales to its existing system in the western US. The LNG site is 200 miles from the large Tucson-Phoenix gas market.
Sonora Pacific plans to start construction in mid-2005 and to begin operations in mid-2008, assuming government approvals.
Bechtel Corp. and Chicago Bridge & Iron, The Woodlands, Tex., will manage engineering and construction, and Houston firm Andrews & Kurth LLP will provide legal support.
In the next few months Sonora Pacific will work to secure permits and to market throughput capacity and equity in the terminal and pipeline to Pacific Rim gas suppliers and other investors.