ChevronTexaco Gets Head Start

ChevronTexaco's bid to build a $650 million LNG plant off Mexico's Pacific coast is set to clear its first hurdle, a Mexican energy regulator stated.

A permit to build the mammoth plant near the Coronade Islands, eight miles off the Baja California coast is expected to be rewarded by Mexico's Energy Regulating Commission.

However, Chevron must obtain environmental and land permits in order for the facility to go ahead.

If Chevron is able to clear the environmental and land hurdles, the company will have a major jump on competitors entering this area of the lucrative, North American LNG market.