LNG News Editor:
Sempra Infrastructure, the liquefaction and LNG export affiliate of California utility Sempra, has signed an agreement with French and Japanese partners to develop the expansion project of the Cameron LNG export plant in Hackberry in Louisiana.
The heads of agreement have been signed with Japanese trading house Mitsui & Co., French oil and gas major TotalEnergies, and Japan LNG Investment, a joint venture comprising Mitsubishi Corp. and Nippon Yusen Kabushiki Kaisha (NYK Line), the shipping company.
Excited
“We are excited to continue advancing Cameron LNG Phase 2 with our partners,” said Justin Bird, Chief Executive of Sempra Infrastructure.
“The announcement represents the shared focus of the Cameron LNG partners to increase the supply of cleaner US natural gas to global markets, while also facilitating the energy security of our allies,” added Bird. The HOA provides the commercial framework for the expansion of the Cameron LNG facility by adding a fourth liquefaction Train and increasing the production capacity of the existing three Trains through debottlenecking.
The expansion project is slightly reduced in capacity. Instead of the authorized two Trains at 4.98 MTPA each, Sempra has opted for one Train with over 6 MTPA of output.
The Cameron facility has three operating trains with a nameplate capacity 13.5 MTPA.
Shareholdings
Under the deal, Sempra Infrastructure will be allocated 50.2 percent of the projected fourth Train production capacity and 25 percent of projected debottlenecking capacity under tolling agreements, with the remaining capacity being allocated equally to the existing Cameron LNG Phase 1 customers.
“Sempra Infrastructure plans to sell the LNG corresponding to its capacity under long-term sale and purchase agreements prior to taking a final investment decision,” it stated.
Additionally, Sempra Infrastructure announced that Cameron LNG had awarded two front-end engineering and design (FEED) contracts to Bechtel Energy Inc. and a joint venture between an affiliate of JGC Corp. of Japan and US construction firm Zachry Industrial Inc.
“At the conclusion of this competitive FEED process, one contractor is expected to be selected to be the engineering, procurement and construction (EPC) contractor for the project,” explained Sempra.
The proposed Cameron LNG Phase 2 project will include a single LNG Train with a maximum production capacity of 6.75 MTPA of LNG.
“The project is expected to include certain design enhancements resulting in a more cost-effective and efficient facility, while also reducing overall greenhouse-gas emissions,” added Sempra.
