IEEFA – LNG Build-Out in Mexico Based on U.S. Gas: Rising Risks for Consumers

The report examines the implications of building new liquefied natural gas (LNG) export terminals in Mexico based on U.

S. gas supplies and the associated risks for consumers. Key findings include that the construction of new LNG export terminals in Mexico could lead to higher natural gas and electricity prices for Mexican consumers and businesses. The increase in LNG exports will heighten energy price volatility in North America. Global markets may face an LNG oversupply, creating market risks for new export projects proposed in Mexico. In its pursuit to develop LNG export infrastructure, Mexico may encounter potential disruptions caused by factors beyond its immediate control.