Sempra Infrastructure LLC’s Phase 2 Port Arthur LNG expansion project in Jefferson County, Texas has received permit approval from the Federal Energy Regulatory Commission (FERC).
Sempra Infrastructure said the permit is an important regulatory milestone for the project, which includes the addition of two liquefaction trains, trains 3 and 4, capable of producing up to 13 million metric tons per year (mtpa) of natural gas liquefied (LNG). ), the company said in a recent press release. The Port Arthur LNG Phase 2 project is in active commercialization and development and “could help meet future demand for US LNG supplies expected to serve European, Asian and other global markets, already that countries are looking to improve energy reliability and security and replace coal in energy production,” the company said.
Phase 1 of the Port Arthur LNG project is currently under construction and is designed to include two natural gas liquefaction trains, two LNG storage tanks and associated facilities. The second phase would increase the total liquefaction capacity of the facility from approximately 13 mtpa to approximately 26 mtpa. The proposed project is also expected to include an additional LNG storage tank and marine pier and will benefit from some of the common facilities under construction that were previously approved as part of the permit process Port Arthur LNG Phase 1, Sempra Infrastructure said.
“Sempra Infrastructure is committed to investing in infrastructure opportunities that help enable a cleaner and more secure energy future,” said Justin Bird, CEO of Sempra Infrastructure. “Today’s FERC order is an important step in our ability to advance the global energy transition, creating an opportunity to double the amount of safe and reliable U.S. natural gas that Port Arthur LNG can help deliver to global markets “.
Sempra Infrastructure said it continues to evaluate opportunities to develop the entire Port Arthur site while exploring potential projects to reduce the carbon intensity of its LNG, with the aim of positioning Port Arthur as a flagship hub for the energy transition . The company is leveraging the integrated capabilities of its business segments to develop the proposed Port Arthur Pipeline Texas Connector project and the proposed Post Arthur Pipeline Louisiana Connector project, and to develop new gas storage facilities, which will serve the ·ation of Port Arthur LNG.
To further the advancement of the Port Arthur Energy Hub, the company recently acquired 38,000 acres of pore space and relevant surface rights to support the proposed Titan Carbon Sequestration Project, which is located near the Port facility Arthur LNG. The project is aimed at carbon capture from the Port Arthur LNG Phase 1 and 2 projects, and has the potential to unlock other clean energy infrastructure opportunities, according to the release.
“The value proposition of the proposed Port Arthur Energy Hub goes beyond monetary investment in the region,” Bird said. “Sempra Infrastructure’s proposed projects would create new high-paying jobs, increase innovative businesses in the region and continue to strengthen the state of Texas’ reputation as a global energy leader.”
Earlier this month, Sempra Infrastructure completed the sale of an indirect, non-controlling 42 percent stake in its Port Arthur LNG Phase 1 project to investment firm KKR & Co. Inc.
The transaction results in Sempra Infrastructure retaining an indirect 28% controlling interest in Phase 1 at the project level and ConocoPhillips Co. own the remaining 30%, Sempra Infrastructure and KKR said in separate press releases.
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