First LNG cargo ships from TotalEnergies Mexico's Energia Costa Azul

By America Hernandez

PARIS, 'July 9,' - French oil giant TotalEnergies reportedly shipped the first liquefied gas cargo to Asia from a?plant called Energia Costa Azul in Mexico, although full commercial operations have not yet been achieved. Total owns 16.6% of the 3.25 million ton per year (mtpa), operated by Sempra. Total will be the only?offtaker during the initial ramp-up.

The global energy market has been squeezed due to the months-long halt of oil and?liquefied gas tanker traffic in the Strait of?Hormuz because of the U.S./Israeli war against Iran. Smaller Asian countries have also been hit by a relative shortage of LNG storage at home.

Sempra and Total claimed that the Mexican plant had a competitive edge due to its geographical location. It was the shortest seaborne route to Asia for U.S. LNG compared to other sites along the Atlantic Gulf Coast.

Justin Bird, CEO of Sempra Infrastructure, said: "At a moment of increased uncertainty in the global LNG trade we are excited to start shipping a reliable and new?source of gas from North America's Pacific Coast to customers all over the world."

Energia Costa Azul was the 'first LNG export facility' on Mexico’s Pacific Coast. Gas is sourced in Texas and New Mexico.

(source: Reuters)