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Mexico favors liquified gas storage, seeks underground gas storage
Couple news clips..
https://www.msn.com/es-mx/noticias/mexico/m%C3%A9xico-privilegia-almacenamiento-de-gas-licuado-busca-almacenamiento-subterr%C3%A1neo-de-gas/vi-AA1dG8Z0
We know what the MOU says, here it is restated below. Incredible accomplishment by Michael to be able to put that together.
MIRAGE ENERGY CORPORATION (OTC PINK: MRGE) and its subsidaries announces it has signed a binding Joint Venture Development Agreement/ Transportation Agreement and off-take agreement.
This agreement BETWEEN Mirage and Grupo Constructor Hermed, S.A. de C.V. is for the development of three projects Mirage and its subsidaries have been devoting time and money.
CAMPO BRAZIL NATURAL GAS STORAGE PROJECT
REHABILITATION OF SAN FERNANDO CACTUS LINE
REHABILITATION OF DOCKS PIPELINES ON THE ISTHMUS CORRIDOR ALONG WITH MONOBOUYS ON PACIFIC AND ATLANTIC SIDES
I'm not aware of that project. Here is link that may have been posted before, but first time I recollect seeing it. Has detail on the Brasil field and other fields. The links in the pdf are also relevant.
https://hidrocarburos.gob.mx/media/1187/nota-informaci%C3%B3n-cenagas.pdf
Government privileges liquefied gas deposits
For the experts, storage is not enough, public policies are required that allow the development of projects and a tax regime that makes them profitable
Pemex has to maximize the value of its infrastructure portfolio. REUTERS
Yeshua Ordaz
Mexico City /10.07.2023 03:07:03
The possibility of developing gas storage in natural caverns in Mexico, as is the case in other parts of the world, and thereby increasing national production and promoting energy self-sufficiency, is very expensive, which is why this government opted for natural gas deposits liquefied ( LNG ), confirmed the general director of Natural Gas and Petrochemicals of the Secretary of Energy ( Sener ), Victor David Palacios .
But for other experts in the sector, special public policies are also required to encourage the development of public and private projects, as well as a differentiated tax regime that makes them profitable due to the low price of the hydrocarbon that does not justify its extraction.
“You have to be honest, to store in abandoned wells or caverns the investment is very large. In addition, to 'launch' these projects, a large volume is necessary, known as working gas, we are talking about millions of dollars to obtain this working gas in each field and to be able to have that operation”, he commented.
The federal government has identified 46 caverns at its production limit, being candidates for underground storage of natural energy.
Using a value and risk methodology, the nine most ideal courses for this purpose are Jaf, Obertura, Vistoso, Lizamba, Chilapilla, José Colomo, Brasil, Apertura and Papán.
Of these nine fields, six are physically located in Veracruz, and are an area of ??opportunity to store gas and create a strategic supply that allows for energy self-sufficiency.
"But in this six-year term, storage as LNG is being favored, as is now being seen in Tamaulipas, Altamira and Coatzacoalcos, which will have a capacity of 450 million cubic feet per day," he stressed.
Despite the fact that Mexico is heavily dependent on natural gas imports from the United States, Víctor David Palacios highlighted the great work being done by the administration of President Andrés Manuel López Obrador to increase national production.
more is required
For the member of the National Hydrocarbons Commission ( CNH ), Néstor Martínez , not only the development of storage is enough, public policies are also needed to be able to make certain projects profitable that definitely could not be done at this time.
“If we have the fuel, there is a lot in the northern part of the country, also in Macuspana, for example, but we must not forget that the State productive company; Pemex Exploration and Production has to maximize the value of the project portfolio (...) What rules here is business, and if we want to be energy self-sufficient we will have to find some public policy for the country, which will also have to do with a differentiated tax regime”, he remarked.
Natural gas is currently worth 2.56 dollars per cubic meter, 42.3 percent less than what was registered at the beginning of 2023, making many projects not economically viable due to their low cost.
“Now is the time to focus on gas. Mexico has resources and little political will, a lot of activity and some incentives are required because particularly in Burgos it is going to compete with all the infrastructure and logistics that the Permian region has in the United States, obviously they are not going to produce at the same price”, said the managing director of energy consultancy IPD Latin America, John Padilla.
He also indicated that, in the case of Mexico, in order to have a fair energy transition, it is necessary to increase the production of LP gas, since the country is currently importing 75 percent of this fuel.
But the Global Vice President of Energy and International Affairs of Standard and Poor's, Carlos Pascual, stressed that private and state companies must be responsible and look at the reduction of emissions as something essential, in addition to accelerating energy production, this implies diversifying the energy sources and increase the production of natural gas and liquefied petroleum gas.
“For the nation there is a great opportunity in the production of natural gas, until now it does not produce much, but that can change. (...) Mexico is the only country that I can think of that by 2026, apart from the United States, has the assurance, the pipeline connection to the United States where they can import based on the prices determined by the demand," he said.
He also indicated that, in the case of our country, in order to have a fair energy transition, it is necessary to increase the production of LP gas, since Mexico is currently importing 75 percent of this fuel.
https://www.milenio.com/negocios/gobierno-privilegia-los-depositos-de-gas-licuado
Sure has been a long time. If you really think about it, it's amazing that the company is still alive and without much dilution since the summer of 2018 when some of us first bought in.
And the potential is as real as ever
I'm thankful for that
No doubt, much appreciated
Hmm let's see who was the trip good for is the question..
For pennystock and his family? Still trying to figure that one out
For Ward and Mirage? And if so please disclose your source on a message board
Something to ponder for sure
Those are great, I need to get a pair!
Small private placement was done since last update
Total o/s shares increased by 1,735,000 (restricted)
O/S 507,214,269
Restricted 278,705,160
Unrestricted 228,509,109
I'm guessing maybe no updates to provide yet who knows
He's been in Mexico since yesterday
Mexico Pacific agrees to sell liquefied natural gas to China's Zhejiang Energy
The Chinese company will buy one million metric tons per year of liquefied natural gas (LNG) from the Mexican company from the Saguaro Energía facility, in Puerto Libertad, in the state of Sonora.
Wed 05 July 2023 08:57 AM
Zhejiang Energy sees the agreement as a way to diversify the energy supply portfolio and strengthen the natural gas industry in that region of China.
Mexico Pacific Limited will sell liquefied natural gas (LNG) from an export plant in northwest Mexico to China's Zhejiang Energy, according to an agreement between the companies disclosed on Wednesday.
Zhejiang Energy will purchase one million metric tons of LNG per year from the Mexican company from the Saguaro Energía facility, in Puerto Libertad, in Sonora state, over a 20-year period using a free shipping model.
"We are delighted to deepen our supply relationship with Asian end-users through this long-term SPA with Zhejiang Energy," Ivan Van der Walt, Mexico Pacific's CEO, said in a statement.
According to the executive, the Chinese company is the only gas distributor in Zhejiang province, one of the largest local economies in the Asian giant.
Oil producers could increase their production due to higher Chinese demand
Zhejiang Provincial Power Group deputy general manager Xiqiang Chai highlighted the deal as a way to diversify the power supply portfolio and strengthen the natural gas industry in that region of China, according to the statement.
According to Mexico Pacific, the 14.1 million metric ton per year (mtpa) plant, Saguaro Energía, is the "most advanced" LNG development project on the west coast of North America.
https://expansion.mx/empresas/2023/07/05/mexico-pacific-vendera-gas-natural-licuado-a-china
Good info jstat. Some sure go out of their way to paint a different picture. Something is suspect
Good write up on the history and future of The Isthmus Project
https://fuenteinfo.com/noticia/2023/04/16/geopolitical-analysis-the-isthmus-project-a-second-panama-canal/
I think he's going down after the 4th
Interesting article, I didn't know the close connection between Pemex and Cenegas and that Alipi came from Pemex..
https://gobmx.mx/cenegas-pemex/
Mexican natural gas market opens up
https://news.yahoo.com/mexican-natural-gas-market-opens-000200958.html
gail you should have received numerous emails about the change. Yes MS bought ETrade
Anything is possible, I'm just looking at what is probable regarding those 3 projects specifically. I have enough understanding to feel confident on this.
But as I stated earlier there is no guarantee at all that Mexico will move forward, I think everyone can certainly agree on that. So that is the much bigger concern for everyone
No concessions, I think we would all know and the share price would reflect same
I have no idea of knowing what AMLO knows
As I have stated before Mirage has exclusive rights to these 3 projects. But all that means is IF the projects are awarded by Mexico that Mirage and partner will get them. If they are NOT awarded then they would get nada
Who knows what they meant by tender, simple definition below. Exact translation is always difficult with these articles. Everyone knows the Brasil field is Mirage's project and I don't anticipate a bidding process (for any of the 3 projects, but especially the storage project). Of course I could be wrong. Also, I do think we'll know before December.
tender
noun
1) An offer for acceptance.
2) Specifically In law, an offer of money or any other thing in satisfaction of a debt or liability; especially, the production and offer to pay or deliver the very thing requirable by a contract.
3) An offer in writing made by one party to another to execute some specified work or to supply certain specified articles at a certain sum or rate, or to purchase something at a specified price.
Yeah I just had a heated exchange with them on correcting the Profile page to show the correct Latest Report date. They finally said they will look into it
I remember that clearly. I'm just saying it's not up to anyone but otcmarkets. Yes Ward should push to get the shell risk removed, but personally it's not a concern of mine.
I wouldn't expect that to come off based on their definition below. Ward should try but sounds like without material increase in assets or revenues they probably won't do it. Shouldn't impact anything really except depositing of private shares as you mentioned.
The Shell Risk designation indicates that a company displays characteristics common to Shell Companies. This designation is made at OTC Markets’ sole and absolute discretion based on an analysis of the company’s annual financial data and may differ from issuers’ self-reported shell classifications in their own public filings. Our analysis evaluates asset composition, operational expenditures, and income related metrics. No action is required by a company to perform the evaluation other than publishing current annual financial information.
In limited circumstances, OTC Markets will consider removal of a company’s shell risk designation upon written request by a company. Please be advised that such requests will only be considered when there has been a material change in financial condition since the most recent fiscal year-end that is reflected in publicly available interim financial statements. Examples include a material increase in asset composition or operating revenues with related financial disclosure as a result of an acquisition or change in control transaction.
I was rereading this post and am wondering how you determined "they'll put it out to bid"? Where does it say that?
01/31/2023 is shown as the latest filing on the profile page simply because that was the last revised filing that was filed. It's wrong obviously but not sure anything can be done and it doesn't matter in the least anyway. I will reach out to otcmarkets though and see what they say
LOL!
I didn't mean the author ..meant Alipi, he's as corrupt as they come
CFE also studying natural gas storage options, including the Brasil field
https://www.bloomberglinea.com/latinoamerica/mexico/exclusiva-cfe-evalua-invertir-en-almacenamiento-estrategico-de-gas-en-estados-unidos-y-mexico/
No doubt there will be multiple agencies involved, everyone will need to get paid, but my point was the Brasil field will be a Pemex project based on location and the fact that they own it. Sounds similar to the Jaf field as mentioned in the article from this morning.
I definitely don't trust anything the corrupt Alipi says
Need to consider the source
Agreed, shows the potential is still very much alive
Exclusive: Mexico to tender first field for strategic storage of natural gas
The gas pipeline operator in Mexico, known as Cenagas, is also preparing the tender for a second field exhausted by December 2023
By Arturo Solis
June 26, 2023 | 04:00 AM
Mexico City — Mexico will tender the first project for the strategic storage of natural gas during 2023 with the aim of strengthening the country's energy security and reducing its exposure to climatic or geopolitical risks.
In an exclusive interview with Bloomberg Línea , Abraham David Alipi Mena, general director of the National Center for Natural Gas Control (Cenagas), said that the tender for the depleted Jaf field, located in Veracruz, and the ruling will take three to four months.
“We want to get it out as soon as possible. I can tell you that at the end of next month, ”said the official during the conversation in his office in Mexico City.
The depleted Jaf field has a storage capacity of 17 billion cubic feet, equivalent to four days' inventory of demand.
The investment required for the project is approximately US$200 to US$250 million. The recovery of the investment will be through a storage fee that will be divided among the 35 users of the Natural Gas Integrated Transportation and Storage System, a network of gas pipelines known as Sistrangas.
Alipi Mena ruled out that the cost of the project has an impact on inflation because it will be less than 1% of the natural gas transportation rate, in addition to being an obligation of the users.
Regarding the entry into operation, he said that a part of the storage in Jaf may start this year, but the full potential will be between 2026 and 2027.
"It could start operating in part in what would be this year, but its full potential will be in the following six-year period," he said.
Jaf is located 40 kilometers southwest of the City of Veracruz. It was discovered in 2003 by Pemex. which produced 12,148 million cubic feet of gas until December 2014. In 2018, Cenagas presented the bidding rules for the project, but the Government of Andrés Manuel López Obrador paused it, after having criticized the opening of the oil sector to private investment with the energy reform of the former PRI president of Enrique Peña Nieto.
Mexico is a net importer of natural gas, which generates 60% of its electricity with this hydrocarbon. Despite its significant dependence on imported gas, mainly from the United States via pipelines, the country currently has a storage capacity of “four hours”.
During February 2021, Mexico faced a supply crisis due to a winter storm that paralyzed its main supplier, the Texas oil industry. The consequence was electricity service cuts to 4.7 million customers in multiple entities of the country due to the extra cost of natural gas purchased by the state company CFE for the production of electricity.
Alipi said that the February 2021 crisis made Cenagas resume storage projects, and "above all" ask if there was a market in order to avoid spending on infrastructure and that it is not used or nobody wants to work on it. The industry showed its interest during public consultations this year and last, which pushed Cenagas to launch the tender.
"They have expressed interest, especially after the events of February."
The Cenagas 2021 public consultation revealed that there are six companies interested in offering the storage service of 2,733 million cubic feet and 38 interested in having the strategic, operational and commercial storage service in depleted deposits, saline caverns and tanks.
Sempra Infraestructura previously told Bloomberg Línea that it was studying the possibility of investing in underground storage in Mexico.
Due to the location of the field in Veracruz, the potential gas supplier would be the state company Petróleos Mexicanos, known as Pemex.
When asked about the interest of the subsidiary CFEnergía in storage, Alipi Mena said that any company can participate in the tender that will have an "open seasons" scheme, that is, the allocation of storage capacity through auctions.
"Yes, they have expressed their interest in storing gas, I think that even they have been looking for storage," he said.
Cenagas prepares more strategic storage
Alipi Mena also revealed that he is preparing the tender for more storage with the Brasil field, located in the border state of Tamaulipas, by December of this year.
The potential of the Brasil field is "very large" with 495,000 million cubic feet, but the one studied and feasible, according to Cenagas, is reduced to 31,000 million, and represents an inventory for eight days of demand that requires an investment of US$600 million.
"Eight days. Well managed, even a little bit more,” she added.
Cenagas is also contemplating bidding for the depleted Acuyo and Saramanko fields, but it will take the Center a year and a half to present the bidding rules due to the lack of information on technical feasibility, since the existing data is for extraction, not gas injection.
“The main thing about this is to maintain sovereignty. For us from Cenagas, sovereignty means being independent, not depending on anyone and these systems give us that independence”, he concluded.
https://www.bloomberglinea.com/latinoamerica/mexico/exclusiva-mexico-licitara-primer-campo-para-almacenamiento-estrategico-de-gas-natural/
I think I understand what you're saying, I'm guessing your average is higher than current levels?
I did add on Friday as I stated. I'm over extended here so I'm not adding a huge amount but am capitalizing where I see good upside. And these are most likely trading shares, like the ones I bought sub .03 and sold at .085.
I see sub .06 as great opportunity given that I believe we will see pink current at some point and that alone will give the stock a boost. And I expect further updates on the binding development agreement that they announced (for all 3 projects), plus a couple other catalysts. And I believe we will establish a higher base once the stock becomes pink current and we get another update.
I personally am not counting on a home run announcement in the very short term, not sure where others are getting their information when they say they are expecting something each week. Don't get me wrong they could announce that they got permits/concessions at anytime and then the stock will be $.75+, but we have no way of knowing that timing. Or they could announce a buyout which is always possible, but I think that would come after they get permits. Or simply Mexico publicly announcing these projects could happen at anytime. I think that is most probable. So yes I am expecting some substantial news but not "next week". But since I'm already heavily invested it's not really a concern when exactly it happens, I just know I won't miss it.
So yes I will have more bids in sub .06 tomorrow
My point was the private folks cannot sell, although some wish they could. I know some are trying to deposit their shares now so more will become unrestricted at some point, but I don't believe much in the overall picture.
And yes I agree some people will sell and also others will buy. Which side does more of which will determine where the share price will go in the short term. In the long run it won't matter one bit.
I will continue to add at these levels and lower if goes lower
But wait what about the theory that private placement folks are selling?
Oh yeah not possible since they cannot deposit their shares ..oops strike that theory
No change to outstanding shares since last update..
O/S 505,479,269
Restricted 276,970,160
Unrestricted 228,509,109
Added some today