Sempra Infrastructure partners with Japan Bank for International Cooperation for cooperation on energy transition

Sempra Infrastructure, a key player in the energy sector and a subsidiary of Sempra (NYSE: SRE) (BMV: SRE), has announced a memorandum of understanding (MOU) with the Japan Bank for International Cooperation (JBIC). This strategic move aims to cooperate on opportunities that advance the energy transition, focusing on enhancing the global energy supply chain through initiatives involving liquefied natural gas (LNG), hydrogen, and broader decarbonization efforts across the United States and Japan.

Highlighting the significance of this collaboration, Justin Bird, CEO of Sempra Infrastructure, shared his enthusiasm about expanding the company’s partnership with JBIC. “Sempra Infrastructure is thrilled to expand its collaboration with JBIC as we look forward to advancing projects that lower the carbon intensity of our energy delivery assets in North America,” Bird stated. He further emphasized the importance of developing energy infrastructure that ensures access to safe, secure, and affordable energy for global partners, aligning with the company’s net-zero business objectives.

The partnership between Sempra and Japanese entities spans over half a century, showcasing a deep-rooted commitment to fostering collaborative efforts in the energy sector. Notably, Sempra Infrastructure’s engagement with Japanese companies has materialized in significant projects like the Cameron LNG facility and the innovative ReaCH4 Project, which explores enhancements to the energy supply chain in support of decarbonization through e-natural gas. Additionally, the Hackberry Carbon Sequestration Project, situated near the Cameron LNG facility, symbolizes another stride towards sustainability with the involvement of two Japanese companies.

This MOU not only reinforces the longstanding cooperation between Sempra Infrastructure and its Japanese partners but also aligns with the broader goals of the U.S. Department of Energy and Japan’s Ministry of Economy, Trade and Industry. These entities are actively implementing a Memorandum of Cooperation in the realms of carbon capture, storage, conversion and recycling, and carbon dioxide removal, aiming to fulfill the decarbonization objectives of both nations.

As a policy-based financial institution, JBIC’s mission encompasses supporting the creation of business opportunities for Japanese companies and ensuring a stable energy supply. This collaboration with Sempra Infrastructure is poised to make substantial contributions toward these objectives, enhancing the ability of both Sempra Infrastructure and its customers in Japan to meet the ambitious goals outlined in the bilateral Memorandum of Cooperation.

The MOU, while preliminary and non-binding, lays the groundwork for future projects contingent on fulfilling various prerequisites such as completing commercial agreements, obtaining necessary permits, securing financing, and making final investment decisions. This collaboration stands as a testament to the global efforts required to transition towards a more sustainable and decarbonized energy future, reflecting a shared commitment to innovation and environmental stewardship.

The memorandum of understanding between Sempra Infrastructure and the Japan Bank for International Cooperation marks a pivotal moment in the global energy sector’s journey towards sustainability. By focusing on LNG, hydrogen, and decarbonization, this collaboration is set to play a crucial role in improving the global energy supply chain, reducing carbon intensity, and advancing the energy transition in both the United States and Japan. This partnership not only underscores the importance of international cooperation in tackling climate change but also highlights the potential for innovative projects to drive the global shift towards a more sustainable energy landscape.