Energy infrastructure company, Sempra has announced that its subsidiary, Sempra Infrastructure, and multinational hydrocarbon corporation, ConocoPhillips have implemented a 20-year sale and purchase agreement (SPA) for 5 million tonnes per annum (mtpa) of liquefied natural gas (LNG). This will be from Phase 1 of the proposed Port Arthur LNG project under current development in Jefferson County, Texas, USA.
Phase 1 of the project is expected to include two natural gas liquefaction trains and LNG storage tanks, and associated facilities capable of producing, under optimal conditions, up to approximately 13.5 mtpa of LNG. The parties have also entered into an equity sale and purchase agreement in which ConocoPhillips will acquire 30% of the equity in Phase 1 of Port Arthur LNG, and a natural gas supply management agreement.
Jeffrey Martin, chairman and CEO of Sempra says: ‘At Sempra, we certainly believe that great projects are the result of great partnerships. That is why we are excited to announce a broad strategic relationship with ConocoPhillips, which has a growing global footprint across the LNG value chain…supporting global economies with energy supplies that advance both energy security and environmental goals.’
‘We are excited to partner with Sempra, and our participation in the Port Arthur LNG project will further enhance our portfolio as we continue to respond to global demand for reliable supply of natural gas,’ adds Ryan Lance, chairman and CEO of ConocoPhillips.