CFE International: U.S. natural gas exports to Mexico
From 2018 to 2022, the volume of natural gas sold by CFE International practically doubled, going from 1,570 Million cubic feet per day (MMcfd) in 2018 to 3,034 MMcfd in 2022.
With this, CFE International became in 2021 one of the 10 largest natural gas marketers in the United States, above companies such as Chevron, ExxonMobil or ARM Energy, and the main exporter of natural gas to Mexico, covering more than 50% of the national demand for natural gas.
The actions implemented by the current administration in Mexico have allowed CFEnergía’s profitability to increase from 0.75% in 2018 to 5.94% in 2022, which has supported the policy of reinvesting profits in infrastructure.
As for CFE International, despite facing a 4.3% increase in its costs, strategic management allowed it to increase its revenues by 4.9% and its gross profit by 31.9%, with respect to 2021.
To supply these volumes and meet domestic demand, CFE International has a supply portfolio, responding to the needs of electricity generation in Mexico, as well as the growing demand of third parties in Mexico captured by its sister subsidiary, CFEnergía.
Most of the gas imported into Mexico from the United States comes from the state of Texas, in the South and West regions.
CFE International
For natural gas from South Texas, CFE International increased its exports to Mexico from a total of 1,140 MMpcd in 2018 to 1,862 MMpcd in 2022.
For West Texas, CFE International increased its purchase from a total of 431 MMpcd in 2018 to 1,172 MMpcd by 2022.
CFE International LLC is a subsidiary of the Comisión Federal de Electricidad (CFE), which aims to compete in the open energy market in the United States by ensuring competitive natural gas prices and offering Mexico the best conditions for the acquisition of such fuel.
CFE International’s commercial activities are located in two regions of the United States: South and West Texas, while 75% of its commercial operations are carried out with CFEnergía, collaborating in the supply to the Generation Subsidiary Production Companies (EPS).
In this context, CFE International carries out activities foreseen as part of the public purpose of the CFE, listed in section II of article 5 of the CFE Law, related to the «import, export, transportation, storage, purchase and sale of natural gas, coal and any other fuel».
