Mexico

Sempra Energy Plans to Export Fracked Gas on the West Coast — via Mexico

Read time: 15 mins
U.S. Consulate General in Tijuana Andrew S. E. Erickson visited the Costa Azul terminal in Ensenada in March 2013

By Steve Horn and Martha Pskowski

The Costa Azul liquefied natural gas (LNG) import terminal sits on an isolated stretch of the Pacific Coast north of Ensenada, Baja California, in Mexico. When Sempra and its Mexican affiliate IEnova sought to acquire the land in 2002, the site’s remoteness worked in their favor. It was only frequented by fishermen, a few surfers, and a handful of beach-front property owners.

That was the last stretch of coastline between Tijuana and Ensenada that was pristine and undeveloped,” Bill Powers, a San Diego-based energy engineer and founder of the Border Power Plant Working Group, told DeSmog. “There was just a little fishing village.”

After breaking ground in 2005, the Costa Azul LNG plant opened in 2008. Despite Sempra’s messaging strategy that the U.S. was running out of gas, the terminal has imported limited amounts of natural gas since. Now, San Diego-based Sempra hopes to build an LNG export facility at the same site.

Newly Elected President of Mexico, Lopez Obrador, Vows to Ban Fracking

Read time: 5 mins
Andrés Manuel López Obrador

Andrés Manuel López Obrador, who won the election to become Mexico's President on July 1, stated in a press conference that he will ban the horizontal drilling technique known as hydraulic fracturing (“fracking”) upon assuming the office on December 1.

The announcement would be a devastating blow to the oil and gas industry, which had its eyes set on drilling in Mexico's northern frontier in an area known as the Burgos Basin. The Burgos is a southern extension of the Eagle Ford Shale, a prolific field situated in Texas. 

Mexico's New Populist President Considers Foreign Pipeline Plans Despite Indigenous Protests

Read time: 12 mins
Andrés Manuel López Obrador at a rally in Mexico in 2012

By Martha Pskowski and Steve Horn

Andrés Manuel López Obrador looked out at the crowd of reporters at a Mexico City Hilton Hotel the night of July 1. It was a moment that he had waited years for: his victory speech for the Mexican presidency.

To win in his third presidential campaign, López Obrador, a left-wing populist whose roots are in the oil-producing state of Tabasco, had to calm business leaders, who warned that foreign investment would flee the country if he took office. However, the candidate who once said he would overturn Mexico's 2013 reforms privatizing its energy sector — which opened the oil and gas industry to foreign investment and created a subsequent pipeline boom — struck a different tone on election night.

Exporting Gasoline by Rail to Mexico Likely to Recreate Mistakes of Explosive Bakken Oil Trains

Read time: 9 mins
Rusty rail car reading 'Texas Mexican Railway'

The oil industry learned an important lesson from its rush to move by train the highly flammable oil drilled in North Dakota's Bakken Shale. The lesson wasn't that those oil trains were unsafe and even dubbed “bomb trains” by rail workers (although they were). The lesson wasn't that their derailments caused several major oil spills in North America as well as the tragic accident in Lac-Mégantic, Canada, which killed 47 people and leveled the downtown area (although they did).

No, what the oil industry learned from this experience was that when it doesn’t have adequate pipeline capacity, its companies can still make money moving flammable petroleum products by rail, despite the well-documented risks outlined above. And the industry is now taking the same steps to move refined petroleum products — including gasoline — to Mexico by rail.

Mexico's Standing Rock? Sempra, TransCanada Face Indigenous Pipeline Resistance South of Border

Read time: 5 mins
A group of Yaqui people in a pavilion

Since Mexico privatized its oil and gas resources in 2013, border-crossing pipelines including those owned by Sempra Energy and TransCanada have come under intense scrutiny and legal challenges, particularly from Indigenous peoples.

Opening up the spigot for U.S. companies to sell oil and gas into Mexico was a top priority for the Obama State Department under Hillary Clinton.

Mexico is now facing its own Standing Rock-like moment as the Yaqui Tribe challenges Sempra Energy's Agua Prieta pipeline between Arizona and the Mexican state of Senora. The Yaquis in the village of Loma de Bacum claim that the Mexican government has failed to consult with them adequately, as required by Mexican law.

India May Ban Petcoke, One of Dirtiest Fossil Fuels Exported by Koch Brothers

Read time: 5 mins
Petcoke stockpiles

While U.S. power plants have considered petroleum coke or “petcoke to be too dirty to burn, India, on the other hand, has been importing this coal by-product of tar sands refining for years. However, it may be seeing its last days in the country which has served as its biggest importer.

In the aftermath of an Associated Press investigation published on December 1, India's Petroleum and Natural Gas Minister Dharmendra Pradhan has said the country is formulating plans to phase out petcoke imports. The AP investigation, filed from New Delhi, revealed that citizens who live near petcoke refining facilities have come down with a range of air pollution-related illnesses in recent months and years.

The AP also points out that among the largest exporters of U.S. petcoke are Koch Industries subsidiary Koch Carbon and Oxbow Carbon, the latter of which is owned by the twin brother of David Koch, Bill Koch. The advocacy group Oil Change International referred to petcoke as “the coal hiding in the tar sands” in a 2013 report documenting the carbon footprint of petcoke production and combustion.

Where Is Fracked Gas Really Headed as It Passes Through Texas’ Trans-Pecos Pipeline?

Read time: 7 mins
Sections of the Trans-Pecos pipeline laid out in the desert

The consortium building the Trans Pecos pipeline (TPP) says that within months, fracked gas will be making the 148 mile journey from Texas’ Permian Basin to Mexico, where it will meet that country’s natural gas needs. As part of an agreement with Mexico’s federal electricity commission, TPP and the Comanche Trail pipeline together will send a total of 2.5 billion cubic feet of natural gas to Mexico every day. 

TPP’s parent company, ETP Consortium, which is comprised of Energy Transfer Partners (ETP), Carso Energy, and MasTec, has also promised benefits to Texas communities in the pipeline’s path, though, as DeSmog has reported previously, few of those benefits have been realized. 

Now that the Trans-Pecos pipeline is more than 90 percent constructed, some associated with it are admitting that, unlike their promotional materials say, the ultimate goal of much of the fracked gas is not Mexico but Asia. 

Trump's Mexico Border Wall Could Be Trojan Horse for Increasing US Oil Exports

Read time: 7 mins
Border fence between USA and Mexico in the Pacific Ocean

On January 25, President Donald Trump acted on his campaign promise to get the ball rolling on building what he often called a “big, beautiful, powerful wall” situated along the U.S.-Mexico border.

At his speech announcing the executive order at the U.S. Department of Homeland Security, Trump cited drugs pouring across the border, increasing crime, and other national security concerns as the rationale for its construction. The main questions center around who will fund it and if Trump can deliver on his promise to have Mexico pay for it, given Mexico's President Enrique Peña Nieto canceling a planned trip to the U.S. to meet with Trump in the aftermath of the announcement. Peña Nieto has said Mexico will not foot the bill.

Answering the question about funding, Trump's press secretary Sean Spicer has revealed that U.S. taxpayers will fork over the money at first, with Mexico paying for it over time through a 20 percent tax on Mexican imports. At least some of those fees, it turns out, could be generated by offering tax incentives to increase U.S. oil exports to Mexico and beyond.

Critics Say "Trickery" Used to Seize Land, Build Trans-Pecos Pipeline to Mexico without Full Environmental Review

Read time: 8 mins
Sections of the Trans-Pecos pipeline

Beneath the Chihuahuan Desert of West Texas, a 42-inch diameter pipeline will snake from Northern Pecos County to the U.S.-Mexico boundary near the border town of Presidio, Texas. There, the Trans-Pecos pipeline (TPP) will deliver natural gas derived by hydraulic fracturing (fracking) to Mexico.

The goal, as the consortium building it publicly states, is to “serve Mexico’s energy grid.” 

Yet that purpose has environmentalists and a coalition of Texans asking the following: Why was the consortium able to seize ranchlands in its path and avoid a stringent environmental review for a pipeline that critics claim offers more risks than benefits for the Lone Star State?

As Dakota Access Protests Escalated, Obama Admin OK’d Same Company for Two Pipelines to Mexico

Read time: 6 mins
Left, Mexico's President Enrique Peña Nieto and right, U.S. President Barack Obama

On September 9, the Obama administration revoked authorization for construction of the Dakota Access Pipeline (DAPL) on federally controlled lands and asked the pipeline's owners, led by Energy Transfer Partners, to voluntarily halt construction on adjacent areas at the center of protests by Native Americans and supporters.

However, at the same time the pipeline and protests surrounding it were galvanizing an international swell of solidarity with the Standing Rock Sioux Tribe and its Sacred Stone Camp, another federal move on two key pipelines has flown under the radar.

In May, the federal government quietly approved permits for two Texas pipelines — the Trans-Pecos and Comanche Trail Pipelines — also owned by Energy Transfer Partners. This action and related moves will ensure that U.S. fracked gas will be flooding the energy grid in Mexico.

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