Sempra Port Arthur LNG Phase 2 is ahead of Cameron LNG, according to CFO

Karen Sedgwick, Sempra Infrastructure’s finance chief, said that the Port Arthur LNG Phase 2 project is ahead of Cameron LNG expansion.

Sedgwick informed investors in a conference call that the Port Arthur project is moving faster because of a construction agreement that spans both phases with Bechtel.

She said that talks on LNG purchase and equity agreements are in progress, but the timing of a financial approval for the Cameron expansion is "uncertain."

Port Arthur Phase 2 may receive its non-Free Trade Agreement Export Permit early next year, and the company can make a financial determination by the second quarter in 2025.

Since signing a 20-year contract, the company has seen better terms.

Non-binding agreement

Sempra Infrastructure CEO Justin Bird said that the company agreed to supply Saudi Aramco with 5 million metric tonnes per annum of super chilled gas and the Saudi giant also agreed to take a 25 percent equity stake in the project.

Port Arthur Phase 2 is one of the projects that was affected by the decision of President Joe Biden’s administration to suspend reviews of LNG export licenses for economic and environment reasons.

Donald Trump, the president-elect, has promised that he will end the pause once he assumes office in January.

Jeffrey Martin, CEO of Sempra, said during the earnings call that he was "growingly confident" about getting the permits needed for Port Arthur Phase 2 by the first half next year. Curtis Williams reported from Houston and Sharon Singleton edited the story.

(source: Reuters)