ConocoPhillips Buys 30% Stake in Sempra's Port Arthur LNG Project
(Reuters) — ConocoPhillips on Thursday agreed to take a 30% stake in Sempra Energy's proposed Port Arthur, Texas, LNG plant, advancing the long-delayed gas export project.
U.S. oil and gas producers this year have rushed to back projects to spur U.S LNG development and exports. Western sanctions on Russia have choked an already undersupplied market and put U.S. gas prices and exports into high gear.
Chevron last month agreed to buy 2 million tonnes per annum (MTPA) of LNG each from units of Cheniere Energy Inc. and Venture Global LNG. Exxon Mobil separately is co-developing a 15.6-MTPA Louisiana plant.
Financial terms of the preliminary, nonbinding agreement were not disclosed.
As part of the agreement, Conoco agreed to acquire 5 MTPA of the fuel produced by the project in its first phase, and would supply the natural gas for its share of output, the companies said.
Port Arthur LNG's first phase would have two LNG trains, storage tanks and facilities capable of producing around 13.5 MTPA of LNG. Construction is forecast to start in mid-2025.
The agreement would allow Conoco to acquire a stake in the project's second phase, which would bring total LNG capacity to about 27 MTPA.
Related News
Related News
- Phillips 66 to Shut LA Oil Refinery, Ending Major Gasoline Output Amid Supply Concerns
- FERC Sides with Williams in Texas-Louisiana Pipeline Dispute with Energy Transfer
- U.S. Appeals Court Blocks Kinder Morgan’s Tennessee Pipeline Permits
- ConocoPhillips Eyes Sale of $1 Billion Permian Assets Amid Marathon Acquisition
- Valero Considers All Options, Including Sale, for California Refineries Amid Regulatory Pressure
- U.S. Appeals Court Blocks Kinder Morgan’s Tennessee Pipeline Permits
- Malaysia’s Oil Exports to China Surge Amid Broader Import Decline
- U.S. LNG Export Growth Faces Uncertainty as Trump’s Tariff Proposal Looms, Analysts Say
- Marathon Oil to Lay Off Over 500 Texas Workers Ahead of ConocoPhillips Merger
- Valero Considers All Options, Including Sale, for California Refineries Amid Regulatory Pressure
Comments