TransCanada Joins Mexico With $800 Million Project

TransCanada Corp., the Calgary-based pipeline owner, is joining with the Mexican company Sierra Oil & Gas to build an $800 million marine terminal and pipeline in the Mexican port of Tuxpan. The project involves to transport gasoline, diesel and jet

TransCanada Corp., the Calgary-based pipeline owner, is joining with the Mexican company Sierra Oil & Gas to build an $800 million marine terminal and pipeline in the Mexican port of Tuxpan. The project involves to transport gasoline, diesel and jet fuel to central Mexico.

Mexico is the largest importer of U.S. fuel and a potential market in the world to build a refined products infrastructure project. Besides, Mexico needs more import infrastructure to meet growing fuel demand. TransCanada seizes this market opportunity and decides to fund the marine project in Mexico, which represents an important expansion of its portfolio in Mexico.

The project involves a marine terminal at the mouth of the Tuxpan River with a draft of 42 feet (14 meters), four docks and storage capacity of about 900,000 barrels. It will be connected to distribution centers in central Mexico by a 265-kilometer (165-mile) refined products pipeline with capacity of some 100,000 barrels a day.

The construction project is planned to start in the second quarter of the next year and operations will start in the following two years. The first dock will be up and running by early 2018.

NB: The information provided in this press release is for general informational purposes and published on PRnob only.