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New salt cavern storage in Mexico

March 14, 2018 By    

Monterrey, Mexico-based Cydsa is developing salt caverns for the underground storage of hydrocarbons, the first project of its kind in Mexico and Latin America.

In cooperation with Pemex, the state-owned oil company of Mexico, the initial operation to store LP gas went online late last year. The initiative encompasses the development of a salt cavern with an operating storage capacity of 1.8 million barrels, as well as the construction of surface infrastructure capable of injecting, extracting and transferring up to 120,000 barrels per day.

Cydsa says it will also work with ATCO Ltd., a global company with roots in Alberta, Canada, to explore and develop midstream opportunities in Mexico’s oil and gas industry. The initial focus will be on underground hydrocarbon storage in salt cavern formations and depleted reservoirs, and will also include opportunities in gas gathering and processing, as well as natural gas liquids.

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About the Author:

Brian Richesson is the editor in chief of LP Gas Magazine. Contact him at or 216-706-3748.

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