(Adds Energy Transfer comment)
March 20 U.S. energy regulators on Thursday
approved a plan by a unit of Energy Transfers Partners LP
to build a natural gas pipeline from Texas to Mexico.
The U.S. Federal Energy Regulatory Commission issued a
presidential permit to Energy Transfer's Houston Pipe Line Co
that will allow the company to build the pipeline across the
It is one of several projects proposed by energy companies
in the United States to export some of the nation's gas supplies
from shale fields to Mexico and other nations.
Energy Transfer spokeswoman Vicki Granado said the company
expects the project to enter service in the fourth quarter of
2014. She said the company has not disclosed the cost of the
In the order, FERC said Houston Pipe Line filed in October
2013 to build and operate the pipeline to export or import gas
at the international boundary between Hidalgo County in Texas
and the city of Reynosa in Tamaulipas state in Mexico.
Houston Pipe Line wants to build a 23-mile (37-km) extension
of its existing Edinburg Lateral that will cross the border
under the Rio Grande River and will have a 24-inch
(61-centimeter) diameter, according to the order.
The pipeline will have a design capacity of approximately
140 million cubic feet per day, according to the order.
The pipeline will connect into the Pemex Pipeline system on
the Mexican side of the border and will primarily supply mostly
Texas-sourced gas to fuel gas-fired power plants and potential
industrial customers in northern Mexico, according to the order.
Houston Pipe Line owns and operates an intrastate gas
pipeline system, including over 3,900 miles (6,276 km) of
pipeline in Texas. The company gathers, transports, stores,
purchases, and sells gas produced in Texas. It also participates
in some interstate transactions.
(Reporting by Scott DiSavino; Editing by Paul Simao)