BP begins Mexico gas deliveries

BP Energía México, the local gas marketing arm of the super-major, has begun supplying users with 5.66 mcm (200 mcf) of gas per day, the company announced on Tuesday in a press statement.

The start of these operations puts BP among the first private gas suppliers in Mexico, with deliveries being made to industrial users, local distribution companies and independent power producers in the states of Nuevo León, Coahuila, San Luis Potosí, Veracruz, Mexico, Guanajuato, Tamaulipas and Queretaro.

“We see this as an important milestone in BP’s increasing involvement in and commitment to Mexico,” Orlando Alvarez, CEO of BP Energy Company, said in the statement. “We intend to continue to grow our Mexican customer base and be a reliable supplier of natural gas into the country for many years to come.”

BP won an open season tender for gas pipeline capacity in February. As a result, the company is now able to transport gas through the EFM-Nueces and DCP-Gulf Plais pipelines, owned by Mexico’s National Centre for Natural Gas Control, commonly known as Cenagas.

Though the super-major has been present in Mexico for more than 50 years, it has only begun to operate throughout the domestic oil and gas value chain within the past year.

In December 2016, the company entered the Mexican E&P sector when it was granted two deepwater blocks with partners Total and Statoil. The following March, BP launched its fuel retail business in the country, aiming to have a network of 1,500 petrol stations there by 2022.

“BP has a long history in Mexico and we are looking to continue to grow our presence here in line with the country’s energy reforms,” BP Mexico head Chris Sladen said in the company statement. “Supplying natural gas is another step forward, building on our other businesses and bringing new offers to Mexico’s consumers as we seek opportunities across the energy sector.”