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LATIN AMERICA ADVISOR

Energy ADVISOR

A daily publication Of the dialogue

September 26, 2025

Will a Gas Pipeline Across the Panama Canal Materialize?

Panama’s government is seeking bids for a pipeline to carry liquefied petroleum gas between the Atlantic and Pacific terminals of the Panama Canal. A ship carrying liquefied natural gas through the canal is pictured. // File Photo: Alvaro Ardisana via Adobe Stock.

Q

A

Victor Carlos Urrutia Guardia, president of VCU Ingenieros
and former national energy secretary of Panama:
“Regardless of the water-supply situation, capacity of the Panama Canal is limited—it soon may not be able to meet an increased demand of both conventional goods and fuel, which could force users to find alternative routes. Consumption of LPG (butane, propane and ethane) in Asia has been steadily increasing recently, and the U.S. Gulf Coast is the one of the principal suppliers of these products. If this situation continues, the proposed pipeline would be very beneficial to all parties, offering reliability to the LPG trade. The pipeline throughput would not be encumbered by unpredictable factors such as water shortages or the availability of canal transit slots. A fixed pipeline…”

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A sister publication of the Inter-American Dialogue’s daily Latin America Advisor, the weekly Energy Advisor captures fresh analysis from business leaders and government officials on the most important developments in oil and gas, biofuels, the power sector, renewables, new technologies, and the policy debates shaping the future of energy in the Western Hemisphere and beyond. To subscribe or for more information, contact Gene Kuleta, editor of the Advisor, at gkuleta@thedialogue.org.

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board of advisors

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Global Head, International Arbitration Group,
Freshfields Bruckhaus Deringer

Jimena Blanco
Chief Analyst,
Verisk Maplecroft

María José Cortés
Head of ESG,
Atlas Renewable Energy

Jeffrey Davidow
Senior Counselor,
The Cohen Group

Analia Gonzalez
Leader, Arbitration & Litigation,
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Jonathan C. Hamilton
Partner,
White & Case

Raul Herrera
Partner, Corporate &
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Arnold & Porter

James R. Jones
Chairman,
Monarch Global Strategies

Jorge Kamine
Partner, Corporate &
Financial Services,
Willkie Farr & Gallagher

Craig A. Kelly
Senior Director,
Int’l Government Relations,
Exxon Mobil

Jeremy Martin
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Energy Program,
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Larry Pascal
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Practice Group,
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R. Kirk Sherr
President,
Clearview Strategy Group

Daniela Stevens
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Energy Transition and Climate Program,
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Doris Rodríguez
Partner,
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Alexandra Valderrama
Director,
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