With a $4 billion loan now tucked in its back pocket, San Antonio-based Mirage Energy Services is on the way to develop an ambitious, five-prong natural gas project that will funnel more supplies to Mexico—and solve a big logistics problem once completed. Gas exports in the form of LNG pose numerous challenges for U.S.-to-Mexico marine transportation as Supertankers can’t fit through the Panama Canal. As an alternative course, shipments via the Pacific Ocean are forced to take a dangerous and costly journey around Cape Horn.

Mirage Energy

After locking up an interconnect agreement last year with Ohio-based WhiteWater Midstream and its soon-to-be-completed Whistler Pipeline, Mirage says it will build four pipelines in addition to the first underground storage facility in Mexico—and what will be the largest of its kind in North America. For reference, the 475-mile Whistler, scheduled for service in 2021, will transport 2 BCFD of Permian gas from Waha, Texas, to the Agua Dulce area in South Texas, where it will connect with Mirage’s 93.9-mile Concho pipeline.

As part of the project, Mirage will construct the 46-mile, bi-directional Concho Extension, which will flow gas from Agua Dulce to a new international border crossing near Progeso, Texas (Progreso Crossing). The company also will build the 36-mile Progreso Extension that connects to Mexico’s Cenagas Station 19, as well as build the 67-mile, bi-directional Progreso II Extension that will terminate at the country’s Los Ramones interconnect.

Finally, Mirage has been hired by Northern Hemisphere Logistics to breathe new life into the long-awaited Isthmus Corridor. This segment of the overall Mirage project will link the company’s proposed, underground Burgos Hub storage facility, via its planned 14-mile Storage Line pipeline, to Mexico’s transmission system. The Isthmus Corridor will include rehabilitating crude and products ports and connecting pipelines on the Gulf of Mexico and Pacific Coast, and will create a 1,000-mile natural gas system that spans the Mexican isthmus. With enough capacity to hold 786 BCF of natural gas, the Burgos Hub will have enough storage to secure a six-month supply of gas for all of Mexico.

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  1. Christy Coleman

    Fantastic news!! Happy for Michael and Mirage Energy and the natural gas industry!

    • Vickie Dawkins

      Thanks, Christy! –editor

  2. Philip von Eichel-Streiber

    Any news regarding the concho-progreso pipeline construction status or permitting status for mexican storage field? Thank you for a good article

    • Vickie Dawkins-Kersey

      Thank you, Philip. I’ll take a look and see if I can find any “new” news on that. –ed.

    • Jeffrey Burson

      Have you found any evidence of agreement regarding permits to build the pipeline?

  3. John Vangelov

    Vickie, do you have any update regarding Mirage’s projects in Mexico. I know Mexico NEEDS natural gas storage for energy security especially after the impact from Texas storms a few months ago. I think maybe there will be an announcement before the upcoming elections in June.

  4. Thad Kaylor

    I am also looking for updated plan/ targets. Very little information coming out of MRGE. Perplexing, considering the scale and importance of this anticipated project.


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