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LNG in the Northwestern Coast of Mexico: Impact on Prices of Natural Gas in Both Sides of the US-Mexico Border

Author

Listed:
  • Meritet, Sophie
  • Rosellon, Juan
  • Elizalde, Alberto

Abstract

This paper studies the possible impacts of LNG projects on natural gas prices in both sides of the US-Mexico border in California. In California, gas prices are high and the demand is expected to grow. Several projects of LNG facilities have been proposed and have to cope with public opinions against them. In Baja California, four LNG projects are under development given the rising demand forecasted for the next years. After a detailed study of the opportunity for LNG projects, we conclude with an analysis of the fundamentals of the current and future price formation in both sides of the US Mexico border.

Suggested Citation

  • Meritet, Sophie & Rosellon, Juan & Elizalde, Alberto, 2006. "LNG in the Northwestern Coast of Mexico: Impact on Prices of Natural Gas in Both Sides of the US-Mexico Border," MPRA Paper 21954, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:21954
    as

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    File URL: https://mpra.ub.uni-muenchen.de/21954/1/MPRA_paper_21954.pdf
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    References listed on IDEAS

    as
    1. Brito Dagobert L. & Rosellón Juan, 2005. "Price Regulation in a Vertically Integrated Natural Gas Industry: The Case of Mexico," Review of Network Economics, De Gruyter, vol. 4(1), pages 1-18, March.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Liquefied Natural Gas (LNG); price formation; LNG projects; Mexico-US border; natural gas market;

    JEL classification:

    • L95 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Gas Utilities; Pipelines; Water Utilities
    • O54 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Latin America; Caribbean
    • Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General

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