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Canadian diplomat questions respect for Mexican pipeline contracts

Published 2019-06-26, 04:56 p/m
© Reuters.  Canadian diplomat questions respect for Mexican pipeline contracts
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MEXICO CITY, June 26 (Reuters) - Canada's ambassador to Mexico slammed recent actions by Mexican state power company CFE on Wednesday, after the state-owned firm requested arbitration in a dispute over a natural gas pipeline built by a consortium involving a Canadian company.

Ambassador Pierre Alarie wrote in a post on Twitter that the Mexican government appears "not to wish to respect natural gas pipeline contracts," and that he was "deeply concerned" over the signal it sends.

IEnova IENOVA.MX , a unit of U.S.-based Sempra Energy (NYSE:SRE) SRE.N , has previously said the CFE is seeking arbitration over the terms of a contract the Mexican firm had signed in partnership with TransCanada Corp , now known as TC Energy TRP.TO , to build a natural gas pipeline from Texas to the Mexican Gulf coast port of Tuxpan.

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