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    Mexico’s First Salt Cavern LPG Storage Site Begins Operations

Summary

A Mexico-based company said December 6 it had begun the operation of the country’s first salt cavern LPG (liquefied petroleum gas) storage site.

by: Jim Bentein

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Natural Gas News, Americas, Infrastructure, Storage, News By Country, Mexico

Mexico’s First Salt Cavern LPG Storage Site Begins Operations

A Mexico-based company said December 6 it had begun the operation of the country’s first salt cavern LPG (liquefied petroleum gas) storage site.

Monterrey-based Cydsa said it had signed a deal with state-owned Petroleos Mexicanos (Pemex) to store up to 1.8mn barrels (286,000 m3) of LPG, with the ability to inject and extract up to 120,000 barrels/day (about 19,000 m3/day.

The company said it has spent $200mn on the facility.

“The project consists of both a salt cavern specifically developed to store LP gas, and industrial facilities necessary for the operation of this hydrocarbon (site),” the company said.

The cavern is in a rural area near the town of Coatzacoalcos.

Cydsa CEO Tomas Gonzalez Sada suggested other similar facilities will be developed by the company.

“The future development of salt caverns will contribute significantly to strengthening the energy reserve and the safe and efficient supply of hydrocarbons,” he said.