Honduras to join proposed LNG pipeline

A pipeline carrying Mexican gas to Guatemala will be extended to include Honduras, the three countries’ presidents announced in a joint statement Tuesday.

The additional infrastructure is expected to add $380 million-400 million to the $1.2-billion project. The Honduran government said funding for the project had not yet been determined.

“I’ve asked for Honduras to be incorporated as a full partner in the Mexico-Guatemala gas pipeline; we’ll sign the agreement on March 13,” Honduran President Juan Hernandez said on Twitter.

The project is part of the US-sponsored Plan for the Alliance for Prosperity of the North Triangle, which includes Guatemala, Honduras and El Salvador.

The 600-kilometre pipeline between Mexico and Guatemala was first announced in 2014. “The costs of energy production would be three to four times cheaper. This is a benefit not only for the country but for all of Central America,” Guatemalan President Otto Perez said of the original project in January 2014.