Tuesday, October 27, 2026
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International September 22, 2026

TC Energy Agreed to Sell the Guadalajara-Manzanillo Line. Close Is Still 2027

TC Energy said Monday it will sell Energia Occidente de Mexico, owner of the 313-kilometre Guadalajara-Manzanillo gas line, to ESENTIA for $560 million (US$400 million). The pipe moves up to 500 MMcf a day. Close is the first half of 2027, subject to approvals.

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Pipeline construction through open ground
Jason Woodhead, CC BY 2.0

The sale is signed. The cheque is still a 2027 close

TC Energy Corporation (TSX: TRP, NYSE: TRP) announced September 21 it has agreed to sell Energia Occidente de Mexico, the entity that owns the Guadalajara-Manzanillo Pipeline, to affiliates of ESENTIA Energy Development for a gross purchase price of $560 million (US$400 million). The 313-kilometre line transports up to 500 million cubic feet a day of natural gas, connecting imported LNG near Manzanillo and continental gas near Guadalajara to power plants and industrial customers in Colima and Jalisco.

Close is anticipated in the first half of 2027, subject to customary closing conditions, regulatory approvals, and consents. Chief executive Francois Poirier said the sale is portfolio optimization and that proceeds can be redeployed toward growth across the North American footprint. After closing, TC Energy said it will still own and operate about 3,300 kilometres of Mexico pipe and 8.7 billion cubic feet a day of installed transportation capacity.

This is a signed sale agreement on a mature Mexico lateral. It is not a closed deal, not an NGTL expansion, and not a Coastal GasLink note. It is not Line 5.

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