- Mexico Pacific announced the execution of two long-term Sales and Purchase Agreements (“SPAs”) with ExxonMobil LNG Asia Pacific (“EMLAP”) for the sale of a combined 2 million tonnes per annum (“MTPA”) of liquefied natural gas (“LNG”).
According to the company’s website press release on February 7, 2023, under the SPAs, the ExxonMobil affiliate will purchase 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, Mexico over a 20-year term. ExxonMobil also has an option for 1 MTPA from Train 3.
“We are pleased to announce these long-term SPAs with ExxonMobil”, said Ivan Van der Walt, Chief Executive Officer of Mexico Pacific.
“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. With natural gas playing a critical role in the quest for global energy security and the energy transition, we remain committed to supplying vital energy for decades. As we position for FID on the first two trains, we will also commence advanced engineering with Bechtel.”
“LNG has an important role to play in helping society reduce emissions by enabling the delivery of lower carbon energy,” said Peter Clarke, Senior Vice President of LNG for the ExxonMobil Upstream Company.
“We look forward to working with Mexico Pacific to continue growing ExxonMobil’s LNG portfolio and deliver Permian natural gas to global markets.”
“Mexico Pacific is a strategic asset in our energy transition infrastructure portfolio”, said Wil VanLoh, Founder and CEO of Quantum Energy Partners, the controlling stakeholder of Mexico Pacific.
“Mexico Pacific’s unparalleled project fundamentals and highly experienced leadership team have established it as a premier LNG solution for customers and Permian producers to provide reliable and cost-effective LNG to support the energy transition.”
About Mexico Pacific
Mexico Pacific’s anchor project, the Saguaro Energia LNG Facility, is a 3 train, 14.1 mtpa West Coast North American LNG export facility located in Puerto Libertad, Sonora, Mexico. The Saguaro Energia LNG Facility achieves significant cost and logistical advantages, including the lowest landed price of North American LNG into Asia, leveraging low-cost natural gas sourced from the nearby Permian Basin, and providing a significantly shorter shipping route that avoids Panama Canal transit for Asian markets. More information can be found at http://www.mexicopacific.com.
About Quantum Energy Partners
Founded in 1998, Quantum Energy Partners is a leading provider of private equity, credit, and venture capital to the global energy and energy transition industry, having managed together with its affiliates more than $19 billion in equity commitments since inception. For more information on Quantum, please visit http://www.quantumep.com.
