MEXICO CITY Mexicos state-owned oil company Petróleos Mexicanos SA de CV (Pemex) has signed a memorandum of understanding with Japans Mitsui & Co. Ltd. to construct a natural gas pipeline in the United States.
The $460-million project will allow the import of 770 million cubic feet per day of natural gas from the country, Pemex said on its website April 9, noting that the gas will come "at a cost substantially lower" than is currently available in Mexico.
No details were given about the location of the pipeline or the time frame for its installation.
Pemex and Mitsui will also "explore the possibility" of building another pipeline, which would cost about $800 million, Pemex added.
"Mexico means a lot, because it is one of the eight countries in the world selected for our group," Masami Iijima, president and chief executive officer of Mitsui, said in the statement.
A version of this article was first published by AMM sister publication Steel First.