Transition Industries has signed a long-term firm natural gas supply contract for the Pacifico Mexinol project in Topolobampo, Sinaloa (Mexico) (Transition Industries press release, 16/02/2026). With the agreement, CFEnergía has engaged to supply about 4.5 mcm per day of natural gas (about 1.6 bcm/year) to ensure Mexinol’s production of ultra-low carbon methanol. The company plans to obtain the gas from the United States and supply it at market competitive prices by optimising the use of existing infrastructure. The agreement represents the start of the construction phase of Mexinol, expecting to start commercial operations in late 2029 or early 2030. The deal is still subject to customary conditions.
Once operational, Mexinol is expected to produce approximately 1.8 Mt/year of blue methanol and 350 kt/year of green methanol. The US$3.3bn project is optimally located on Mexico’s west coast to meet the demand of methanol in the Pacific market and to “catalyse the development of derivative industries in Mexico and ensure additional domestic consumption of methanol” according to the CEO of Transition Industries.