Permian producers are watching out for Mexico Pacific Ltd.’s final investment decision (FID) on the Saguaro Energía LNG export facility in Puerto Libertad in Sonora, Mexico.

Mexico Pacific, which boasts Quantum Capital Group as its controlling owner and lead sponsor, is expected to take FID on the first phase of its 15-million tonnes per annum (mtpa) Saguaro Energía LNG project later this year or in early 2025.

Upon completion, Saguaro Energía would be the largest export facility on Mexico’s West Coast, Rodrigo Rosas, a senior analyst of Americas gas research for consultancy firm Wood Mackenzie, told Hart Energy. Saguaro Energía LNG will provide Permian producers a relief valve for associated gas and connect the U.S.’ low-cost and low-carbon gas to Asia, the world’s largest demand center.

The Saguaro Energía LNG development project will consist of two phases—each with three trains for a processing capacity of 15 mtpa.

Mexico Pacific has been slow to announce an estimated $15 billion FID on Saguaro Phase I, considering promises company executives were making to the market in late-2023 and early-2024 related to “imminent” FID announcements. Mexico Pacific is expected to initially take FID on Train 1 and Train 2 and take FID on Train 3 potentially 3 months to 6 months afterwards.

Saguaro Energía LNG will source gas from the Waha Hub. The Permian feedgas will be shipped along the 157-mile Saguaro Connector pipeline on the U.S. side of the border and then the 498-mile Sierra Madre pipeline on the Mexican side of the border. Both segments have the capacity to handle 2.8 Bcf/d, according to Mexico Pacific.

The Saguaro Connector and the Sierra Madre pipeline projects are waiting for Saguaro LNG I to reach FID to begin flowing LNG, Enverus Intelligence Research senior associate Josephine Mills told Hart Energy.

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