Mexico gas TSO CENAGAS readies tenders as other projects stall

• CENAGAS publishes draft tender documents for public comment
• First tenders could be issued before end of 2021
• CENAGAS is focused on planning storage projects
• Tecolutla, Lerdo compression stations likely to continue halted

MEXICO CITY (ICIS)–The private sector can now prepare to participate in the maintenance of the national Sistrangas gas grid by providing comment on draft tender documents for pipeline maintenance as officials prepare other tenders.

CENAGAS posted the three draft tender documents for public comment on 10 November, with a 23 November deadline.

State-owned oil company Pemex’s logistics unit is currently the sole holder of the maintenance contracts for the Sistrangas, according to remarks CENAGAS head Abraham Alipi made in a 26 October press conference. He said involving private companies would help to make the maintenance process more efficient.

Alipi said the pipeline maintenance contracts would include different works such as monitoring services as well as providing cathodic protection to the pipes, among others.

The specific works will depend on the conditions of each pipeline, Alipi said without specifying if the contracts would cover the entire Sistrangas.

Alipi said the tenders would be issued gradually as the contracts with Pemex expire.

CENAGAS’ transport unit is working on drafting the terms and conditions for the tenders, according to a CENAGAS official. The tenders will be published via government procurement website CompraNet once these documents are ready, the official said.

The TSO had previously posted a draft on CompraNet on 6 October for a contract to provide cathodic protection services on pipelines located in 10 Mexican states.

Interested parties were able to submit their comments on the draft through 21 October.

It is unclear if this draft would serve as the basis for the upcoming tenders.

STORAGE

Alipi also said that CENAGAS is focused on developing a gas storage project at salt caverns located in Shalapa, Veracruz. Alipi said the TSO has held meetings with an unspecified company for the development of the project.

He said the two parties already signed non-disclosure agreements (NDAs) and memoranda of understanding (MOUs) but are still defining a financing model for the project as well as other technical details.

This project, currently included in the 2020-2024 planning document known as Plan Quinquenal and identified as one of six available storage options, is aimed at supporting Sistrangas in case of disruptions at Pemex’s Cactus, Nuevo Pemex and La Venta gas processing centres. The project’s estimated in-service date is listed as 2022-2023 in the plan.

A technical opinion energy regulator CRE issued in May as part of the plan’s first yearly update said the project was one of the document’s most challenging.

Moving the project from planning to execution also depends on energy ministry SENER granting approval to this first yearly update. A CENAGAS official said on 8 November that the plan’s first update has yet to be published, which likely indicates SENER is still reviewing it.

Through its yearly plan revisions, SENER can decide to adjust CENAGAS’ project portfolio, remove or amend projects or their original timelines. The revised plan also indicates the progress made on each project, the CENAGAS official said.

OTHER PROJECTS

The fate of other projects included in the plan still seem uncertain, such as the construction of the Lerdo and Tecolutla compression stations, both key initiatives to increase gas supply in the southeast.

SENER will determine in the plan’s approved update if those projects would still be included, the CENAGAS official said. This may indicate no progress has been made on these stations.

The engineering, procurement and construction (EPC) contracts for the two stations were included in CENAGAS’ public works programme earlier this year but they are no longer listed in the latest versions. No active tenders regarding these or other CENAGAS projects appeared on CompraNet as of 9 November.

SENER published the 2020-2024 plan in November last year. The yearly update is scheduled to be released before the end of the year. Is is unclear if it will include input from the 2020 or the 2021 consultations.