Legal Tussle Prevents $2.5 Billion Gas Pipeline to Mexico From Opening

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Legal Tussle Prevents $2.5 Billion Gas Pipeline to Mexico From Opening
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A 500-mile, $2.5 billion pipeline from Texas to Mexico is in legal limbo. Meanwhile, parts of Mexico are struggling with natural-gas shortages.

MEXICO CITY—In June, construction crews finished work on a 500-mile, $2.5 billion natural-gas pipeline that runs under the Gulf of Mexico from South Texas to the port of Tuxpan in northeastern Mexico.

Once it turns on, the pipeline will increase Mexico’s capacity to import natural gas by 40%, fueling the power plants and industrial installations that drive the country’s export-driven manufacturing economy.

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