June 27, 2019 / 1:11 PM / 4 months ago

Mexico president pushes back after Canada flags concern over contract dispute

MEXICO CITY, June 27 (Reuters) - Mexican President Andres Manuel Lopez Obrador said on Thursday that contracts awarded to build gas pipelines by the previous government were ‘abusive’ in response to concerns expressed by Canada’s ambassador about the contracts being honored.

On Tuesday, Mexican state power utility CFE said it would seek to negotiate a “fairer” resolution to contractual disputes over pipelines being built by companies including Mexico’s IEnova and Canada’s TC Energy.

The Canadian ambassador, Pierre Alarie, wrote on Twitter on Wednesday that the Mexican government appears “not to wish to respect natural gas pipeline contracts,” and said he was “deeply concerned” over the signal being sent. (Reporting by Dave Graham and Diego Ore)

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