3 Issues with a US-Mexico Pipeline

Where: South Texas marine pipeline running under the Gulf of Mexico from South Texas to the port of Tuxpan in northeastern Mexico

Who is raising issues against the pipeline? Mexico’s state owned utility

What issues are the utility raising?

• $900M in construction delays (original open date was fall 2018)
•  reduce the capacity
• reduce usage rates it is charged under the contracts

The economic costs to Mexico:

• raising costs for industries that depend on gas-fired electric power
• the economy moves from contracting to low growth with a lack of private investment
• the ability to enter into contracts and continue existing contracts

Wall Street Journal | Legal Tussle Prevents $2.5 Billion Gas Pipeline to Mexico From Opening