Oneok Seeks Federal Permit to Export Permian Basin Natural Gas to Mexico

SEATTLE (Oil Monster): Oneok Inc. is seeking a federal permit to export natural gas from Permian Basin to Mexico.

According to official press release by the company, a Presidential Permit application has been filed with the U.S. Federal Energy Regulatory Commission (FERC) by its Saguaro Connector Pipeline subsidiary. The application seeks to build and operate facilities towards natural gas exports at a new international border crossing at the U.S. and Mexico border in Hudspeth County.

The natural gas will be delivered to an export facility on the West Coast of Mexico with a new pipeline, under construction. However, the company refused to disclose the name of the export facility to which the gas will be exported.

The proposed 2.8 Bcf/d Saguaro Connector would originate at the Waha hub in Pecos County, TX and would export Permian natural gas from the company’s existing WestTex intrastate pipeline system. A final investment decision is likely to be made by mid-2023, said Oneok.

The U.S. natural gas exports to Mexico via West Texas has been on the rise. As per data, the country exported gas to Mexico via 19 border exit points in the second quarter of 2022, mainly in Rio Grande City and Brownsville in South Texas, and Presidio and San Elizario in West Texas.

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