Howard Midstream to connect Texas and Mexico through direct natural gas pipeline

US based Howard Midstream Energy Partners (HEP) has unveiled to construct a 30-inch natural gas pipeline extending 200 miles, to meet customer demand for gas transportation to Mexico.

Planned to be constructed in partnership with HEP’s Mexican partner, the Nueva Era Pipeline will have the gas transmission capacity for up to 600 million ft³ of gas every day.

The proposed pipeline will connect HEP’s Webb County Hub in Webb County, Texas, US, to Escobedo, Nuevo León, Mexico and the Mexican National Pipeline System (Sistema Nacional de Gasoductos) in Monterrey.

Howard Energy Partners chairman and CEO Mike Howard said: "By expanding transportation services off of our Webb County Hub and developing a new pipeline directly to Monterrey, we can provide northern Mexico’s industrial centres with access to the most competitively-priced gas in the country, while giving South Texas producers access to several new, growing markets."

Commissioning of the Nueva Era pipeline is likely to be done in July 2017.

HEP is currently accepting non-binding indications of interest for the pipeline use.

The firm expects transportation service rates for natural gas from the US-Mexico border to Escobedo to range between $0.13 and $0.20 per thousand ft³.

Present portfolio for the San Antonio based firm includes 700 miles of natural gas pipelines.

HEP also owns and operates natural gas liquids processing plants, rail facilities, liquid storage terminals, deep water port facilities, and other related midstream assets.