LNG / CNG

Saudi Aramco, Sempra Ink 20-Year U.S. LNG Deal

Email    |    Print    |    Bookmark

You Need to login first

   |    Wednesday,May 22,2019

Sempra Energy and Saudi Aramco have signed a 20-year LNG sale and purchase deal.

The HOA anticipates the negotiation and finalization of a definitive 20-year LNG sale-and-purchase agreement (SPA) for five million tonnes per annum of LNG offtake from Phase 1 of the Port Arthur LNG export-project under development.

It also includes the negotiation and finalization of a 25% equity investment in Phase 1 of Port Arthur LNG.

Amin Nasser, Saudi Aramco’s CEO & President, said, “The agreement with Sempra LNG is a major step forward in Saudi Aramco’s long term strategy to become a leading global LNG player. With global demand for LNG expected to grow by around 4% per year, and likely to exceed 500 million metric tons a year by 2035, we see significant opportunities in this market and we will continue to pursue strategic partnerships which enable us to meet rising global demand for LNG.“

Jeffrey W. Martin, chairman and CEO of Sempra Energy, added: “At Sempra Energy, we are developing one of the largest LNG export infrastructure portfolios in North America, with an eye towards connecting millions of consumers to cleaner, more reliable energy sources. We are pleased to partner with affiliates of Saudi Aramco, the largest oil & gas company in the world, to advance the development of Sempra LNG’s natural gas liquefaction facility in Texas and enable the export of American natural gas to global markets.”