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Author: Subject: Sempra LNG plant in Ensenada at center of showdown
Dave
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[*] posted on 3-6-2011 at 11:59 PM


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Originally posted by BajaGringo
They tell me that Pelayo doesn't necessarily want to push out Sempra but instead put pressure on them to pay Ensenada more $$$ in fees and permits, in line with what they would normally pay elsewhere.


I believe that Pelayo wants Sempra to put more $$$ in his pockets. ;D




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BajaGringo
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[*] posted on 3-7-2011 at 09:56 AM


Quote:
Originally posted by Dave
Quote:
Originally posted by BajaGringo
They tell me that Pelayo doesn't necessarily want to push out Sempra but instead put pressure on them to pay Ensenada more $$$ in fees and permits, in line with what they would normally pay elsewhere.


I believe that Pelayo wants Sempra to put more $$$ in his pockets. ;D


If that were his main objective then he handled this very badly. Making this a very public confrontation has now put a lot more eyes on the whole Sempra deal with many asking where is the economic benefit for Ensenada out of such a huge project?

Of course I have no doubt that they will be sure to make a nice "donation" to some "other" particular cause that Pelayo "suggests"...

;D




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Dave
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[*] posted on 3-7-2011 at 11:47 AM


Quote:
Originally posted by BajaGringo
If that were his main objective then he handled this very badly. Making this a very public confrontation has now put a lot more eyes on the whole Sempra deal with many asking where is the economic benefit for Ensenada out of such a huge project?


I'm sure it started out quietly and when Sempra didn't offer enough he went rogue. Sempra has a deal at the highest levels of the Mexican government and probably considers Pelayo a minor nuisance, at best. He'll probably get some political mileage out of it, though.

As I said before, this exercise is a waste of time. Sempra has invested a boatload and ain't going nowhere.




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[*] posted on 3-7-2011 at 01:43 PM


Quote:
Originally posted by Dave
Quote:
Originally posted by BajaGringo
If that were his main objective then he handled this very badly. Making this a very public confrontation has now put a lot more eyes on the whole Sempra deal with many asking where is the economic benefit for Ensenada out of such a huge project?


I'm sure it started out quietly and when Sempra didn't offer enough he went rogue. Sempra has a deal at the highest levels of the Mexican government and probably considers Pelayo a minor nuisance, at best. He'll probably get some political mileage out of it, though.

As I said before, this exercise is a waste of time. Sempra has invested a boatload and ain't going nowhere.


The original deal was cut with the PAN government and the balance of power has shifted both at the state and federal levels. Even with Calderon still president, the PAN party has been weakened significantly and has lost most of the control they once enjoyed. Pelayo may only be the presidente municipal of Ensenada but he has some serious clout backing him in Mexico City.

If Sempra is smart they will cut a deal with Pelayo / Ensenada IMHO. I say this as someone who is a vendor to Sempra so believe me that I am not interested in seeing them leave any time soon.

Just sharing what my sources are telling me...
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