The British company Ineos Energy has signed a 20-year agreement with the US energy infrastructure group Sempra to purchase 1.4 Mt/year (1.9 bcm/year) of LNG from the 13.5 Mt/year (18.2 bcm/year) Port Arthur LNG project, located in Jefferson County, in the US state of Texas. In addition, the companies have signed a non-binding heads of agreement for Ineos Energy’s potential purchase of an additional 0.2 Mt/year from the Port Arthur LNG Phase 2 project, currently under development.
In October 2022, Sempra announced that it had finalized an engineering, procurement and construction (EPC) contract with Bechtel Energy for the proposed Port Arthur LNG Phase 1 project and in November 2022 that it has entered into a long-term agreement with the US company ConocoPhillips for the sale and purchase of approximately 5 Mt/year (6.8 bcm/year) of LNG from the project.
The first phase of the Port Arthur LNG project will consist of two liquefaction trains each capable of producing up to 6.75 Mt/year. Sempra is planning to take a final investment decision (FID) for the first phase of the project in the first quarter of 2023, for first LNG deliveries in 2027. The company also plans a similarly sized second phase of the project.