Mexico Pacific, ExxonMobil sign option for additional LNG offtake

Mexico Pacific Ltd. LLC has executed a third sales agreement with ExxonMobil LNG Asia Pacific for an additional 1.2 million tonnes/year (tpy) of LNG from Mexico Pacific’s 15 million tpy Saguaro Energia LNG plant in Puerto Libertad, Sonora, Mexico. The ExxonMobil affiliate will purchase LNG from the plant’s 4.7-million tpy Train 3.

The volume originates from the option under the separate LNG agreements executed in January 2023, covering volumes from Trains 1 and 2 (OGJ Online, Feb. 8, 2023).

Under the Train 3 agreement, ExxonMobil will purchase the LNG on a free-on-board basis over a 20-year term. There is also an option for another 1 million tpy from Train 4.

While Mexico Pacific remains focused on initially taking final investment decision (FID) on Trains 1 and 2, said Ivan Van der Walt, Mexico Pacific’s chief executive officer, this latest agreement concludes the LNG sales required for a Train 3 FID, expected this year.

“With key contracting and permits in place across the terminal and pipeline, we are well positioned to sanction the project, connecting Permian basin gas with the world’s largest LNG markets in Asia to provide reliable and cost-effective LNG to support the energy transition,” he said.