Saturday, February 4 2023 Sign In   |    Register
 

News Quick Search


 

News


Front Page
Power News
Gas News
Today's News
Yesterday's News
Week of Jan 30
Week of Jan 23
Week of Jan 16
Week of Jan 09
Week of Jan 02
By Topic
By News Partner
News Customization
Feedback

 

Pro Plus(+)


Add on products to your professional subscription.
  • Energy Archive News
  •  



    Home > News > Gas News > News Article

    Share by Email E-mail Printer Friendly Print

    Sempra's Port Arthur LNG lands deal with INEOS, bringing the project closer to reality


    December 2, 2022 - Amanda Drane, Houston Chronicle

     

      Dec. 1—Sempra's Port Arthur LNG said Thursday that it signed a long-term contract with British multinational energy company INEOS, the liquefied natural gas project's second such deal in less than two weeks.

      Under the 20-year sales and purchase agreement, INEOS committed to buy 1.4 million metric tons per year of LNG from the facility in Port Arthur. INEOS also signed a preliminary agreement for an additional 200,000 metric tons from the project's potential second phase.

      LNG LAND: Tellurian chief Charif Souki is selling new style LNG business, but so far no one's buying it

      The deal with INEOS follows a major agreement last month between San Diego-based Sempra and Houston-based oil and gas producer ConocoPhillips, which agreed to buy more than a third of the Port Arthur project's annual production and a 30 percent stake in the development. The partnership gave Sempra a firmer foundation for building the first phase of its 13.5 million metric ton facility in Port Arthur.

      The INEOS deal also demonstrates that some European buyers can still be tempted into long-term contracts with gas projects along the Gulf Coast. Deal-making with European buyers has been slow compared to Asian counterparts as Europe grapples with how to meet the continent's urgent energy needs while also easing off fossil fuels.

      The British company said its deal with Port Arthur LNG will help it "deliver cleaner and reliable energy to our businesses and customers."

      "We look forward to advancing this project so we can begin delivering new supplies of U.S. LNG to our European partners, as they pursue more secure energy for their customers," said Sempra CEO Justin Bird.

      Sempra said it expects to reach a final investment decision, which is a precursor to construction, during the first quarter of next year. It aims to launch the facility in 2027.

      amanda.drane@chron.com

      ___

      (c)2022 the Houston Chronicle

      Visit the Houston Chronicle at www.chron.com

      Distributed by Tribune Content Agency, LLC.

    TOP

    Other Articles - Generation


    TOP

       Home  -  Feedback  -  Contact Us  -  Safe Sender  -  About Energy Central   
    Copyright © 1996-2023 by CyberTech, Inc. All rights reserved.
    Energy Central® and Energy Central Professional® are registered trademarks of CyberTech, Incorporated. Data and information is provided for informational purposes only, and is not intended for trading purposes. CyberTech does not warrant that the information or services of Energy Central will meet any specific requirements; nor will it be error free or uninterrupted; nor shall CyberTech be liable for any indirect, incidental or consequential damages (including lost data, information or profits) sustained or incurred in connection with the use of, operation of, or inability to use Energy Central. Other terms of use may apply. Membership information is confidential and subject to our privacy agreement.