The LNG terminal developer is seeking a seven-year extension of its export deadline from the DOE as well as approval for a change in control.
Mexico Pacific’s ownership has changed several times since it won DOE authorization in 2018 to export up to the equivalent of 621 Bcf/year of U.S.-sourced natural gas to Mexico for end use in Mexico and/or, after liquefaction in Mexico, by vessel in the form of LNG from the proposed Saguaro Energía facility.
The company told DOE earlier this year that, following two transactions in February and March, MXP’s ownership has again changed, with one new member now owning the controlling membership interest in the company.
According to MXP, the purpose of these transactions was to secure additional sources of new capital and strengthen the project as MXP positions the project for a final investment decision.
MXP said the prior controlling equity holder, Quantum LNG Holdings, will retain a material non-equity economic interest in the project together with prior minority equity owners.
Under a restated MXP agreement in February, Kronos Polo acquired majority voting control of MXP, while under the second restated agreement in March, Mexico Pacific Holdings acquired voting control of MXP.
MPX said that the restated agreement provides that the “management and control of MXP’s business and affairs remains vested in a board of managers and establishes the number of managers initially at three.”
Howevher, Public Citizen, Natural Resources Defense Council, and Sierra Club tol DOE in May that the notice fails to identify the persons or entities that control Mexico Pacific Holdings.
Investors
Last month, DOE asked that MXP submit information to identify the three minority investors that each hold 10 percent of the economic interest in MXP’s parent company, MXP Holdings.
MPX responded to the DOE on November 4 saying that the minority investors are a Florida limited liability company, a Mexican national, and a Florida limited liability company.
To protect the privacy interests of the owners of the minority interests in its parent company, MXP requested that DOE/FECM treat the names of these minority investors as confidential and not subject to public disclosure.
Howevher, DOE said in its response on November 12 that to date, ir has not reviewed a request by an applicant to exempt one of its upstream owners from public disclosure.
DOE said that MXP must either withdraw its request for confidential treatment of the three minority investors, or supplement its response with specific facts that DOE can rely upon to determine whether the information should be exempted from public disclosure.
Mexican national
In its latest response to DOE on November 24, MXP said it has decided to withdraw its request for confidential treatment of the names of the three entities that are now minority investors in MXP Holdings.
MXP, however, maintained its request that DOE make publicly available only the redacted version of the letter which MXP filed to protect the legitimate privacy interests of an individual named therein.
MXP noted that a Mexican national, one of the three owners of a ten percent economic interest in MXP Holdings, has assigned that minority interest to an Ontario limited partnership.
Besides Windsor Cliff Sponsor, the majority member, holding 70 percent of the economic interest in MXP Holdings, other three minority investors are LDM Strategic Holdings, a Florida limited liability company, Sonvapor LP, an Ontario limited partnership, and Avila Blue, a Florida limited liability company.
“MXP therefore requests that DOE accept and give effect to MXP’s notification of change in control, and that it confirm that it has taken this action as promptly as possible,” it said.
