[ LNG ]
[ LNG ]
LNG project sets up Texas as “ energy capital of the world ”
Massive investments in LNG projects are setting up Texas as an energy hub on a global scale .
By Joanne McIntyre , Stainless Steel World
US energy infrastructure company Sempra Infrastructure Partners ( SIP ) recently announced the start of Phase 1 of the Port Arthur LNG project in Port Arthur , Texas in a joint venture with an affiliate of ConocoPhillips . With the project estimated to cost USD13 billion , it ’ s yet another example of how the Lone Star State is becoming the energy capital for the US , and maybe the world . “ At Sempra , we believe bold , forwardlooking partnerships will be central to solving the world ’ s energy security and decarbonization challenges ,” said Jeffrey W . Martin , chairman and chief executive officer of Sempra . “ With strong customers , top-tier equity sponsors in ConocoPhillips and KKR and a world-class contractor in Bechtel , this project has the potential to become one of America ’ s most significant energy infrastructure investments over time , while creating jobs and spurring continued economic growth across Texas and the Gulf Coast region .” “ Sempra ’ s selection of Port Arthur as the location for a new natural gas liquefication
A rendering of the Port Arthur LNG liquefaction project in Texas . Image © SIP
and export terminal is a strategic decision that will cement Texas ’ position as the energy capital of the world ,” said Texas Gov . Greg Abbott . “ With a highly skilled workforce and business-friendly climate , and as a national leader in LNG exports , Texas is the prime location to expand LNG operations to unleash the United States ’ full economic potential in such a critical industry .”
Port Arthur Phase 1 The Port Arthur LNG Phase 1 project is designed to include two natural gas liquefaction trains , two LNG storage tanks and associated facilities with a capacity of approx . 13 million tonnes per annum ( Mtpa ). Total capital expenditures for the Port Arthur Phase 1 project are estimated at USD13 billion .
“ Our strategic LNG partnership with Sempra will help supply growing global demand for natural gas , a lower greenhouse gas emissions-intensity fuel expected to play a critical role in the energy transition and global energy mix going forward ,” said Ryan Lance , ConocoPhillips chairman and chief executive officer . Sempra Infrastructure has contracted with global engineering , construction and project management firm Bechtel Energy Inc . and has issued a final notice to proceed with the project . The expected commercial operation dates for Train 1 and Train 2 are 2027 and 2028 , respectively . “ We ’ re proud to partner with Sempra to deliver a world-class LNG facility . Building from mature , scalable energy technologies helps safeguard our energy supplies and promote the transition to lower-carbon energy ,” said Brendan Bechtel , Chairman and CEO of Bechtel . The Phase 1 project is expected to create an estimated 5,000 highly skilled jobs during construction and boost the economies in Port Arthur and Jefferson County .
Sempra ’ s Cameron LNG liquefaction site 18 miles north of the Gulf of Mexico is a dualpurpose import / export terminal to which a USD 10 billion 3-train liquefaction facility was added in 2019-2020 . Photo © SIP
Accelerating access Part of Sempra ’ s mission is to be a leader in North America ’ s growing liquefied natural gas ( LNG ) export market , developing the infrastructure to bring cleaner , more reliable and more affordable energy to the world . Sempra ’ s existing and proposed LNG projects are designed to leverage North America ’ s abundance of natural gas through LNG exports to reduce its trade deficit , create
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