Mexico's Energia Costa Azul LNG Terminal Ships First Cargo
The U.S. Energy Information Administration reports that Energia Costa Azul, Mexico’s second LNG export terminal, shipped its first cargo from Phase 1 on July 8. The project adds 0.4 Bcf/d of nominal export capacity from a single train, tripling Mexico’s total LNG export capacity, according to EIA’s Today in Energy analysis. The Pacific Coast facility is the first LNG terminal in Mexico and the second in North America, after LNG Canada, to sit on the Pacific side, pushing regional Pacific export capacity to 2.2 Bcf/d and offering shorter shipping routes to Asian buyers.
Because the terminal runs on U.S.-sourced natural gas, its exports require Department of Energy approval. DOE has authorized 0.50 Bcf/d to FTA countries and 0.44 Bcf/d to non-FTA countries from Phase 1. Sempra, the project developer, has proposed a Phase 2 expansion that would add 1.6 Bcf/d of capacity across two large-scale trains.
What It Means for Subcontractors
- Sempra’s proposed Phase 2, adding 1.6 Bcf/d across two large-scale trains, represents a major upcoming EPC package for pipefitting, welding, E&I, and mechanical contractors if the expansion moves to FEED and construction.
- Cross-border pipeline and compression work tied to sourcing U.S. natural gas for the facility could open subcontract opportunities for firms already working Permian and Gulf Coast gathering systems feeding export terminals.
- Commissioning-stage terminals like Phase 1 typically need ongoing instrumentation, controls, and maintenance subcontractors; firms with LNG terminal experience should track Sempra’s Phase 2 timeline for early positioning on bid packages.
