MEXICO CITY (AP) — Mexico's president says his government has reached a deal with private gas pipeline operators to solve a dispute over fees and payments.
The pipelines would allow Mexico to import U.S. natural gas and distribute gas throughout Mexico. But President Andres Manuel Lopez Obrador said the private companies had taken advantage of the country when the contracts were signed under previous administrations.
Lopez Obrador said Tuesday that companies from the U.S., Canada and Mexico agreed to restructure fees. He said the companies accepted about a 30% lower profit margin.
The dispute had threatened Mexico's reputation as a reliable place for private investment. The president said the deal would save Mexico — especially the national electricity utility — as much as $4.5 billion over the next three decades.