FERC greenlights Sempra Infrastructure’s Port Arthur LNG phase 2 expansion

In a pivotal development, the United States Federal Energy Regulatory Commission (FERC) has granted approval for Sempra Infrastructure’s Port Arthur LNG Phase 2 expansion project in Jefferson County, Texas. This approval marks a crucial regulatory milestone for the proposed project and is bound to significantly impact the liquefied natural gas (LNG) sector.

Sempra Infrastructure is already in the midst of constructing Phase 1, and with this newfound approval, the proposed Phase 2 project is set to remarkably increase the total liquefaction capacity of the facility, doubling it from approximately 13 million tonnes per annum (Mtpa) to around 26 Mtpa.

This sanctioned expansion isn’t just about numbers; it’s about strategically enhancing the energy infrastructure. The proposed project is anticipated to incorporate an additional LNG storage tank and marine berth. It will also leverage the common facilities currently under construction as part of the approved Port Arthur LNG Phase 1, demonstrating an integrated approach to development.

Sempra Infrastructure is not stopping here. The company continues to explore and assess extensive opportunities to develop the entirety of the Port Arthur site. The aim is clear—to establish Port Arthur as a flagship hub for the energy transition, thereby contributing to a more secure and cleaner energy future.

Justin Bird, chief executive officer of Sempra Infrastructure, highlighted the significance of this FERC order as a step to advancing global energy transition. He emphasized how this creates opportunities to augment the supply of secure and reliable U.S. natural gas to global markets, meeting the surging demand and further solidifying the reputation of the State of Texas as a global energy leader.

This development is contingent on fulfilling commercial agreements, securing required permits, acquiring financing, and making a final investment decision, among other factors. Nonetheless, it unlocks substantial opportunities for economic growth and high-paying jobs in the region, propelling the state forward in innovative business and energy reliability.