
Engie México firing on all cylinders with solar, wind, pipeline projects

The Mexican subsidiary of French utility Engie has been busy in recent months, most recently kicking off construction on a new 16km stretch of pipeline in the Yucatán Peninsula as well as its developments with renewables partner Tokyo Gas.
Based in Mexico City, Engie México is working on a wide range of natural gas pipeline, solar and wind projects via multiple subsidiaries including Gasoductos del Bajío and Energía Mayakan, as well as its JV with the North American subsidiary of Tokyo Gas, Heolios EnTG.
Renewables projects
First announced in April 2019, the JV, Heolios EnTG, is pursuing a set of green financing options for a total of 751MW in projects across Mexico. The firms have confirmed a 50-50 stake in the JV.
And in December, the Proparco private sector-focused unit of the French Development Agency announced a US$60mn loan to the JV for six solar and wind projects that have recently or will soon be coming online, having secured 15-year PPA from previous energy auctions.
The following map outlines the locations of the JV projects:
Funded with US$80mn in capex, the 51MW Tres Mesas III wind farm (pictured) started operations in August, while sister project Tres Mesas IV, with US$134mn in capex, is expected to come online this year with 101MW.
In August, at the launch of Tres Mesas III, Engie México CEO Fernando Tovar detailed plans for another wind park nearby in the Rancho Norte municipality with the firm planning US$200mn in capex for 250MW capacity. However, the project was stalled with the cancellation in February 2019 of the fourth long-term electricity auctions.
On the solar side, the construction of the 99MW (134MWp) Abril project in Sonora state was set to start in October 2019, according to Jesús Esquer, project manager at Consorcio Engie Solar 1, who spoke with BNamericas. Specialty outlet Renewables Now has reported an expected completion date of September 2020.
Engie confirmed the start of construction in early 2019 for the 200MWp Villa Ahumada park in Chihuahua state, both Abril and Villa Ahumada were awarded in Mexico’s third energy round.
Like Abril, the 254MWp Calpulalpan solar park in Puebla state is slated to be under construction as of October with an estimated start date of November 2020. Meanwhile, the 126MW (157MWp) Trompezon solar park awarded during the second auction is now operational in Aguascalientes state.
Engie México also has two other solar projects of its own.
The Sol de Insurgentes PV solar plant in Baja California Sur state is operational as of July 1, 2019, according to government tender hub Proyectos México, with a capacity of 27.2MW.
The Mina Solar project now in early works in Nuevo León state is expected to add 149MW in capacity.
Natural gas initiatives
Engie’s Mayakán pipeline functions as a key and growing role in feeding gas to Mexico’s Yucatán Peninsula, an area of high demand and limited access to natural gas.
Working with the Mexican government in its drive to expand gas distribution to the tourism-heavy region, Engie was given a contract to build a 16km stretch to connect Mayakán to the Sistrangas national pipeline network.
With a price tag of US$25mn, the duct – due to start operating in August this year and known as Cuxtal I – will have initial capacity of 240Mf3/d and help secure supply, according to state-owned power utility CFE.
Mayakán, which currently transports to the peninsula gas processed at federal oil company Pemex’s Nuevo Pemex facilities in Tabasco state, has capacity of 250Mf3/d.
Cuxtal I will link Nuevo Pemex to the company’s Cactus processing plant in Chiapas state, on the Sistrangas system.
CFE recently announced the second phase of the project, dubbed Cuxtal II. This 158km stretch would expand Mayakán to the tourism hub known as the Riviera Maya in Quintana Roo state, where authorities are considering building the second 493MW power station. Planned initial gas transportation capacity is 240Mf3/d. No tender details were provided.
Engie has also indicated plans to expand natural gas distribution in northeastern Tamaulipas state. With Tovar saying in August they would be investing a further US$100mn in projects to have coverage for 300,000 state residents.
Subscribe to the leading business intelligence platform in Latin America with different tools for Providers, Contractors, Operators, Government, Legal, Financial and Insurance industries.
News in: Oil & Gas (Mexico)

Sempra plans Mexican asset sales as LNG project nears completion
US energy company Sempra plans to sell around US$1bn of Mexican assets as it nears completion of its Energia Costa Azul liquefied natural gas plant...

Low-Carbon Biofuels in Latin America and the Caribbean: A Key Strategy for the Energy Transition
The Latin American Energy Organization (OLADE) publishes its new Technical Note on the biofuels sector in the region, highlighting its role in tran...
Subscribe to Latin America’s most trusted business intelligence platform.
Other projects in: Oil & Gas (Mexico)
Get critical information about thousands of Oil & Gas projects in Latin America: what stages they're in, capex, related companies, contacts and more.
- Project: Reconfiguration of Residuals at the Tula Refinery (Miguel de Hidalgo)
- Current stage:
- Updated:
4 months ago
- Project: Field Esah
- Current stage:
- Updated:
4 months ago
- Project: Block 24 - Tecolutla
- Current stage:
- Updated:
4 months ago
- Project: Mayakan Gas Pipeline Expansion - Cuxtal II (former Mérida-Cancún)
- Current stage:
- Updated:
5 months ago
- Project: Paraiso-Cactus gas pipeline
- Current stage:
- Updated:
5 months ago
- Project: Altamira Fuel Storage and Distribution Terminal
- Current stage:
- Updated:
5 months ago
- Project: Cárdenas-Mora field
- Current stage:
- Updated:
5 months ago
- Project: Area A2 - Southeast Basins (Hokchi)
- Current stage:
- Updated:
5 months ago
- Project: Gato Negro Liquefied Natural Gas Plant
- Current stage:
- Updated:
5 months ago
- Project: Block AE-0152-Uchukil
- Current stage:
- Updated:
5 months ago
Other companies in: Oil & Gas (Mexico)
Get critical information about thousands of Oil & Gas companies in Latin America: their projects, contacts, shareholders, related news and more.
- Company: Energía Mayakán
- Company: CFE Generación V
-
The description included in this profile was taken directly from an AI source and has not been edited or modified by BNamericas researchers. However, it may have been automatica...
- Company: Woodside Petróleo Operaciones de México  (Woodside Energy)
-
The description contained in this profile was taken directly from an official source and has not been edited or modified by BNamericas researchers, but may have been automatical...
- Company: Siemens Gamesa Latam
-
The description included in this profile was taken directly from an AI source and has not been edited or modified by BNamericas researchers. However, it may have been automatica...
- Company: Transportadora De Gas Natural De La Huasteca, S De R.L. De C.V.  (Transportadora De Gas Natural De La Huasteca)
-
Transportadora de Gas Natural de la Huasteca, S. de R.L. de C.V., a subsidiary of Transcanada, is engaged in the construction of the Tamazunchale-El Sauz gas pipeline in San Lui...
- Company: Gato Negro Manzanillo, SAPI de CV