2021 US Mexico Agenda

Even before the impacts of COVID, new dynamics both from within and outside of the US energy markets were starting to emerge that threatened to change the narrative of growth and oversupply. During this talk we will look at some of the key influences that have emerged over the last year that will write the next chapter in US natural gas markets.

•Legislative Mandates under SB-3 Regarding Weatherization and Critical Infrastructure.
•Efforts by the RRC to ensure Texas is prepared for this winter.
•Underlying inequities in the Texas Electrical grid as it relates to Natural Gas Fired Power Plants.
•Seismic Activity in the Permian.
•Efforts to Reduce Stranded (Flared) Gas in Texas.
•Guidance and Rulemaking at the Commission.

In 2013 and 2014, Mexico implemented an energy reform meant to open one of Mexico’s most important sectors still protected from market forces—and formally reserved under the North American Free Trade Agreement. This was meant to be the last building block to project Mexico forward, concluding the liberalization of the country’s economy. There was in fact much optimism in the industry and many companies readied to invest in Mexico. But this all changed in 2018, with the advent of the López Obrador administration. In effect, even before he took office, Mr. López Obrador began to make substantial changes, first rhetorically and then through specific administrative and legislative measures, to the overall business environment in Mexico. Many of these are now reaching the energy markets. Many companies, some already holding contracts to operate in Mexico, were left with great uncertainty on their investments and their future in the country. Others simply put their investments on hold. This conversation examines where is Mexico today, what the political landscape tells us about whether Mexico will step back from its previous path or move forward, or whether we can expect a return to the previous path of a modern Mexico, open to foreign investment.

This presentation will explore AMLO’s proposed changes to Mexico energy reform. Specific implications for Mexico natural gas will be examined, including changes to existing regulations, which players benefit, existing projects are impacted, etc. Also included wil be an assessment of likelihood of implementation, and impact on investors.

With growing resistance in the U.S. from policy, regulatory and NGO’s as well as AMLO’s proposed energy market restructuring in Mexico, exporting gas from the U.S. to Mexico by traditional pipeline development is challenging to say the least. This panel describes case studies for real-world alternatives to deliver gas from the U.S. to markets in Mexico. Discussion will include LNG exports, virtual pipeline project, small-scale LNG, CNG, etc.

Please join our hosts, the Corporate Sponsors, at a cocktail reception in your honor. Don’t make your dinner plans too early as hors d’oeuvres and an open bar will be the highlight of this extremely well attended session!