LatAmOil: Mexico Pacific secures major LNG deal with South Korea's POSCO

Mexico Pacific has signed a long-term supply deal with South Korean energy giant POSCO International.

The agreement, spanning two decades, will see POSCO International purchasing 0.7mn tonnes of LNG annually from Mexico Pacific's Saguaro Energía facility on a free-on-board basis. 

According to a statement, the Saguaro Energía LNG project, situated in Puerto Libertad, Sonora, is poised to capitalise on the abundant natural gas reserves of the Permian Basin. 

“We are delighted to welcome POSCO International as a foundation customer, further validating the strategic value of west coast North American LNG for Korea, one of the world’s largest LNG importing markets,” said Sungbok Park, chief marketing officer of Mexico Pacific. 

“We look forward to a lasting fruitful partnership with POSCO International and to delivering world-class infrastructure that strengthens global energy security, reduces emissions and improves the lives of millions of people around the world,” he added.

By leveraging its strategic location and efficient supply chain, Mexico Pacific aims to offer the most competitive landed LNG prices for Asian markets.